Musk\u2019s Terafab To Stretch Toolmakers\u2019 Capacity, Says Fouquet<\/p>\n
Fouquet added that projects like Musk\u2019s Terafab will stretch the capacity of chip toolmakers in the coming years, adding that the Tesla CEO is \u201cvery serious\u201d about these projects, referring to Starlink satellites and Terafab.<\/p>\n
He said the first logic chips produced using ASML\u2019s next-generation High-NA EUV lithography machines are expected within months, marking a major milestone for advanced chipmaking.<\/p>\n
The High-NA EUV systems, which enable smaller and more powerful semiconductors, are expected to become a key long-term growth driver for ASML, with Intel among the earliest adopters of the technology.<\/p>\n
ASML CEO Sees Tight Supply Due To Strong AI Demand<\/p>\n
Fouquet said that he sees the chip market to remain supply-constrained for the foreseeable future due to strong AI demand. He also sees demand from robotics and satellites as contributing to this tight supply situation.<\/p>\n
\u201cDemand on AI is coming so strongly that we will be in a supply-limited market for quite \u200ba while,\u201d Fouquet said.<\/p>\n
He added that ASML is ramping up production and improving the efficiency of its chipmaking tools to meet surging demand, while continuing to roll out next-generation technologies.<\/p>\n
However, Fouquet warned that the scale and speed of the AI-driven semiconductor boom remain difficult to forecast and could outpace the industry\u2019s ability to plan capacity and supply chains effectively.<\/p>\n
What Does ASML Do?<\/p>\n
ASML is a Dutch technology company that makes highly advanced machines used to manufacture semiconductor chips.<\/p>\n
The company is best known for its EUV lithography machines, which are extremely complex systems that use ultraviolet light to print tiny transistor patterns onto silicon wafers.<\/p>\n
Chipmakers like Nvidia Corp. (NVDA), Taiwan Semiconductor Manufacturing Co. (TSMC), Intel Corp. (INTC), Micron Technology Inc. (MU), and others use ASML\u2019s tools.<\/p>\n
TSLA Loops In INTC For Terafab Project<\/p>\n
Last month, Tesla\u00a0entered<\/a> into a partnership with Intel for the Terafab project to make processors to power the EV giant\u2019s robotics and data center ambitions.<\/p>\n \u201cOur ability to design, fabricate, and package ultra-high-performance chips at scale will help accelerate Terafab\u2019s aim to produce 1 TW\/year of compute to power future advances in AI and robotics,\u201d Intel said.<\/p>\n ASML stock<\/a> is up 36% year-to-date, while\u00a0TSLA stock<\/a> is down 9%. The iShares Semiconductor ETF (SOXX) is up 142% over the past 12 months, while the Global X Artificial Intelligence & Technology ETF (AIQ) is up 49%.<\/p>\n Also See:\u00a0Jeff Bezos Backs Elon Musk’s ‘Very Realistic’ Plan For Space-Based Data Centers Ahead Of SpaceX IPO<\/a><\/p>\n For updates and corrections, email newsroom[at]stocktwits[dot]com.<\/p>\n
![\"Follow](\"https:\/\/chunks-prd.stocktwits-cdn.com\/_next\/static\/media\/google-news-icon.d9c2bfd1.svg\"\/){kind=icon}
<\/a><\/p>\n