Elon Musk Says Tesla, SpaceX's Terafab Will Be Grimes County's Largest Revenue Driver As SpaceX Defends Tax Deal
Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below. SpaceX and Tesla Inc. CEO Elon Musk on Wednesday said the EV giant’s Terafab chip fabrication facility in Grimes County, Texas, would become the county’s largest source of revenue. Terafab To Account For 25% Tax Revenue In a response to influencer Sawyer Merritt, who posted about the Terafab facility getting tax breaks in the form of no property taxes for the facility from the County. Musk said that if the location works out, “SpaceX will still be paying an annual amount” to the County that would increase its tax revenue by 25%, adding that the amount would be “the biggest source of revenue for the county.” The billionaire then noted that, when accounting for the taxes paid by SpaceX employees and contractors to the County, “Terafab will far exceed ALL revenue that Grimes County currently earns!” Don't Miss: Musk then expanded on why SpaceX asked for property tax breaks, which he said was “standard practice” for investments of that magnitude. “Terafab will have a large number of extremely expensive machines for making chips,” Musk said, adding that property taxes on the machines would put the company “at a serious competitive disadvantage” compared to other fabs. Something that perhaps isn't clear is that, if this location works out (other locations are still in the running), SpaceX will still be paying an annual amount that increases tax revenue for Grimes County by ~25% and will be by far the biggest source of revenue for the county.…— Elon Musk (@elonmusk) June 4, 2026 Trending: Avoid the #1 Investing Mistake: How Your ‘Safe' Holdings Could Be Costing You Big Time SpaceX IPO, Tesla Merger Talks SpaceX, in filings with the Securities and Exchange Commission (SEC), said that the company would be selling more than 555 million shares of the commercial space flight giant at $135/share. The company would also be targeting raising over $75 billion via the listing. Meanwhile, talks of a possible merger between Tesla and SpaceX have been in the headlines, with investors like Dan Ives of Wedbush Securities being bullish on such an event. Ives predicted that there was an 80% chance the merger happens next year. However, a merger between the two enterprises could also result in Musk's $1 trillion CEO pay package automatically kicking into effect without the EV giant meeting the stipulated milestones in the package, according to the contract terms of the award. Read Next: Building Wealth Across More Than Just the Market Building a resilient portfolio means thinking beyond a single asset or market trend. Economic cycles shift, sectors rise and fall, and no one investment performs well in every environment. That's why many investors look to diversify with platforms that provide access to real estate, fixed-income opportunities, precious metals, and even self-directed retirement accounts. By spreading exposure across multiple asset classes, it becomes easier to manage risk, capture steady returns, and create long-term wealth that isn't tied to the fortunes of just one company or industry. Arrived Backed by Jeff Bezos, Arrived Homes makes real estate investing accessible with a low barrier to entry. Investors can buy fractional shares of single-family rentals and vacation homes starting with as little as $100. This allows everyday investors to diversify into real estate, collect rental income, and build long-term wealth without needing to manage properties directly. Vinovest Fine wine and rare whiskey have historically moved independently of the stock market, making them a compelling alternative asset. Vinovest manages authenticated, insured portfolios of investment-grade wine and whiskey starting at $5,000 — sourcing, storage, and insurance all handled for you. FarmTogether Farmland has historically held its value through market volatility and delivered returns uncorrelated to stocks and bonds. For accredited investors, FarmTogether offers direct access to high-quality U.S. farmland starting at $15,000 — fully managed, with no landlord headaches. EquityMultiple For accredited investors looking beyond stocks and bonds, EquityMultiple provides access to vetted commercial real estate deals starting at $5,000, with only ~5% of opportunities passing their due diligence process. Bitcoin IRA For investors who want crypto exposure with tax advantages, Bitcoin IRA allows you to trade 60+ cryptocurrencies inside a self-directed IRA or roll over an existing 401(k), with 24/7 trading and institutional cold storage. Minimum $3,000 to start. Crypto investing involves substantial risk of loss and early withdrawal penalties apply. © 2026 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
