Elon Musk said Wednesday that Tesla and SpaceX will build and operate the Terafab AI chip complex themselves. The project is based in Texas, and the announcement rules out TSMC running the facility.

Musk said TSMC could potentially sublease part of the Terafab, but would have no larger role. The clarification follows earlier reports of discussions between Musk and the Taiwanese chipmaker about possible collaboration. TSMC had also been considered for a more significant partnership, including potentially owning and operating the plant.

Intel’s CEO confirmed that the company, an existing Terafab partner, would remain involved in the venture.