In a significant development, Tesla announced on October 23, 2025, that it will dual-source its next-generation AI5 chip from both TSMC and Samsung. This marks a departure from the previous expectation that TSMC would be the exclusive manufacturer. TSMC will reportedly handle its portion of the production at its facility in Arizona. The move is seen as a strategic decision by Tesla to diversify its semiconductor supply chain and reduce its reliance on a single foundry. While TSMC continues to be a crucial partner for Tesla, the inclusion of Samsung for the AI5 chip introduces a new dynamic in the high-stakes AI chip manufacturing landscape. There has been no specific market reaction analysis available regarding this announcement.