Elon Musk has announced that Tesla and Samsung Electronics have entered into a $16.5 billion chip deal, sending ripples through both tech and financial markets. The deal, which had been previously hinted at by Samsung but kept under wraps due to client confidentiality, will see Samsung manufacture Tesla’s upcoming AI6 chips at its new facility in Taylor, Texas.

Samsung’s stock jumped nearly 7% following the announcement—its highest since September of last year—while Tesla shares also edged up in U.S. premarket trading.

“This is a critical point,” Musk wrote on X. “I will walk the line personally to accelerate the pace of progress.” He also hinted that the actual value of the deal may far exceed the initial $16.5 billion estimate, calling it “just the bare minimum.” Continue reading Elon Musk Confirms $16.5 Billion Tesla Chip Deal with Samsung →