SpaceX Sets Up Chip Manufacturing Equipment in Texas, Targets Late 2024 Launch

Elon Musk’s SpaceX has started setting up machinery at its new semiconductor packaging plant in Bastrop, Texas, with company insiders revealing plans to launch manufacturing operations before 2024 comes to a close.

According to two individuals with knowledge of the project who spoke to Reuters, the space exploration company is moving forward with equipment installation at the advanced chip facility, though the timeline has experienced some setbacks.

The Texas plant will handle the packaging of radio frequency chips that power SpaceX’s Starlink satellite internet network, according to the sources who requested anonymity since the details haven’t been made public.

Currently, outside contractors handle the packaging of these RF chips, but SpaceX intends to move at least a portion of this work to its own facility once operations begin, a third source confirmed.

SpaceX has not yet provided a response to requests for comment about the project.

Earlier this year, Texas Governor Greg Abbott announced that SpaceX would invest over $280 million to expand the Bastrop location by one million square feet over the next three years. The expansion will focus on manufacturing Starlink equipment and components, including sophisticated packaged silicon products.

This development aligns with Musk’s broader strategy to enhance SpaceX’s semiconductor manufacturing capabilities. Last month, the billionaire entrepreneur revealed plans to construct cutting-edge chip production facilities at a large complex in Austin, Texas.