Tesla partnered with Samsung and TSMC to manufacture its next-generation AI5 chip.

The dual-foundry approach aims for record production volumes. The custom silicon is critical for autonomous vehicles, the Optimus robot, and other AI applications.

Initial production begins in 2026. A significant ramp-up is expected in 2027.

Speaking at the World Economic Forum, CEO Elon Musk anticipates regulatory approval for Full Self-Driving (FSD) software in Europe and China. Approval could arrive as early as next month. This step is key to monetizing the technology globally.

Musk updated the timeline for the Optimus humanoid robot. A production-ready prototype is expected for demonstration by March 2026. Consumer sales could begin by the end of 2027.

These announcements underscore Tesla’s focus on long-term AI and robotics initiatives.