SpaceX Texas chip packaging plant enters installation stage! Paving the way for Musk's cosmic-level AI computing power ambitions.

Media reports cited informed sources as saying that SpaceX, led by Tesla's leader and the world's richest man, Elon Musk, has begun installing core production and manufacturing equipment at an advanced chip packaging factory in Bastrop, Texas. The satellite and space rocket leader company is aiming to start large-scale production at the factory by the end of this year, as per insiders. Despite some delays in the schedule, the company is still targeting to start large-scale production by the end of the year. The installation of equipment can be seen as a crucial preparation stage before production, indicating that the SpaceX advanced chip packaging factory in Bastrop, Texas has progressed from construction/expansion to a stage closer to the landing and mass production of advanced packaging technology. This factory, which focuses on advanced packaging technology, will deeply integrate with SpaceX's Starlink semiconductor and terminal supply chain, aiming to complete the RF chip advanced packaging, core chip terminal manufacturing, and packaging, as well as chip supply chain autonomy for the potential SpaceX's Starlink valued at up to $2 trillion. Insiders said SpaceX is starting the RF and wide-core chip advanced packaging production line for Starlink in Bastrop, Texas and aims to commence production by the end of the year, which will play a critical role in the construction of the "space AI data center" process. The large manufacturing factory will package RF chips or other high-end core chips for products related to SpaceX's satellite-based internet system Starlink (also known as "Starlink"). As the information is not public yet, they requested anonymity. Insiders generally said that the RF chips to be packaged in Bastrop will be handled by external suppliers initially but once the factory is ready, SpaceX plans to bring at least some of the packaging processes in-house. SpaceX did not immediately respond to requests for comments. In 2025, Texas Governor Greg Abbott stated that in the next three years, SpaceX's large manufacturing facility in Bastrop will expand by approximately 1 million square feet for the production of Starlink kits and related core components, focusing on advanced packaging silicon products. Abbott said that this expansion project is expected to cost more than $280 million. Elon Musk has been enhancing the semiconductor manufacturing capabilities of this space exploration company and last month announced a plan to build an advanced chip factory in Austin, Texas. Musk's "Terafab" chip manufacturing dream reveals a major reality of AI chip supply shortage and production capacity crisis. The world's richest man announced ambitious plans to enter the high-end semiconductor manufacturing field, calling it the "most epic chip manufacturing project in history," named "Terafab." Musk seems to be trying to transform the "AI computing power shortage" into an extraordinary industrial wager that reshapes the semiconductor supply landscape. Musk's goal is not simply to manufacture higher-performing chips but to rewrite the AI, Siasun Robot & Automation, and space data center era's computing power supply-demand map with extraordinary vertical integration. However, the larger the cross-epoch-level vision, the harsher the reality of global advanced semiconductor production capacity shortages and high manufacturing thresholds are exposed. According to informed sources, SpaceX's IPO could take place as early as June, with the company having secretly filed for an IPO and aiming for a valuation of over $2 trillion. Investing in technology companies founded by Elon Musk whether Tesla, SpaceX, or xAI merged with SpaceX is not just a bet on financial fundamentals outperforming the market but also a vote of confidence in his growth vision for the future. The current typical case of "Musk faith" is SpaceX, where investors flock around assets associated with SpaceX through Tesla and the Destiny Tech 100ETF, not just for today's satellite broadband empire and rocket launch business but also to pay premiums for long-term blueprints such as "1 million satellites, super-large space cloud servers, CECEP Solar Energy-driven space orbit AI computing system, a lunar satellite factory, and even the Kardashev II civilization." With Musk's AI computing infrastructure plan, as the AI hype begins to face increasing infrastructure and energy supply bottlenecks at a larger scale, the next major leap in AI may not happen on land but in space. SpaceX plans to launch an astonishing 1 million satellites, which will act as a distributed space-level cloud computing super-server system. These space orbital data centers are said to utilize nearly unlimited CECEP Solar Energy to process massive amounts of AI workloads. Musk believes that to achieve this goal, a super satellite factory must be built on the moon to accelerate AI satellites to lunar escape velocity using a mass driver (electromagnetic railgun) without the need for rockets. Undoubtedly, his Hollywood-like science fiction visions will require significant cash and the potential SpaceX initial public offering (IPO) will be a major source of funds. Musk's ambitious plans for the "space AI data center" SpaceX is considering going public in June, potentially raising up to $50 billion, making it the largest IPO in history. The expected valuation is as high as a staggering $2 trillion, surpassing Tesla's current valuation of around $1.3 trillion. The combination of Tesla, SpaceX, and xAI into a "Musk super business empire" could be the ultimate fate of these three companies founded by Musk. With Musk recently showing positive progress in areas such as space AI data centers, large-scale energy storage, artificial intelligence, fully autonomous driving (FSD), Robotaxi, and innovative "Optimus" humanoid Siasun Robot & Automation, he seems to be weaving a "super vertical integrated asset chain" that can be financed and explained clearly for leverage in both the capital market and the industry. This unified narrative system of "AI, communication, space, energy, Siasun Robot & Automation" as a global mega hot investment theme or narrative is expected to greatly aid the valuation, pricing of the large-scale SpaceX IPO, the early to mid-stage IPO roadshows, and the investor structure. "Launching 1 million tons of satellites per year, each equipped with 100 kilowatts of power, can add 100 gigawatts of AI computing power each year without any operational or maintenance costs, connected to the Starlink constellation with high-bandwidth laser links. Furthermore, a satellite factory can be built on the moon and use a mass driver (electromagnetic railgun) to accelerate AI satellites to lunar escape velocity, achieving over 100 terawatts of AI computing power annually and taking an important step towards the Kardashev II civilization." Musk responded to fans in a recent post on SpaceX's platform. The IPO's timing coincides with the global stock market's increasing enthusiasm for space exploration. The NASA "Artemis II" spacecraft with four astronauts on board flew on a personal voyage trajectory to the moon for the first time in over 50 years. As of Monday local time, they had flown a distance in space greater than any astronaut in history. Simultaneously, the US and Chinese governments are investing billions in trying to send humans back to the moon and actively supporting tech enterprises of all scales in exploring space, boosting investments in the commercial space industry as a whole. Therefore, the soon-to-be-commissioned Bastrop factory, where equipment is being installed, will be crucial infrastructure for Musk's space AI data center blueprint and will also be crucial support for SpaceX's $2 trillion valuation myth. The full-scale production at the Bastrop factory will greatly help reduce Starlink costs, enhance delivery pace, strengthen internal control of RF and advanced packaging, thus enhancing SpaceX's autonomy in global connectivity networks and future space computing architecture and infrastructure systems, which are crucial for acquiring endless CECEP Solar Energy, orbit-level AI infrastructure construction, sustainable launch capabilities, space-specific computing chips, and the AI computing power system on a massive scale.