At the launch of his new chip factory in Austin this March, Elon Musk called it "the most epic chip-building exercise in history by far."
On Tesla's October 21 earnings call, he went further: "The Terafab I think will be the most valuable building in the world."
It sounds like typical Elon. But a former tech executive who says he picked Bitcoin, Tesla and Nvidia before their big runs takes him seriously.
Jeff Brown spent more than two decades as a senior executive at Qualcomm, NXP Semiconductors and Juniper Networks. In his free presentation, he rides a Cybercab, a car with no steering wheel and no pedals, to the first site of the project. He says he's found a little-known company in "a perfect position to profit" from it.
And it isn't Tesla.
Watch the free presentation
Watch Jeff's Cybercab Ride, Free »Why Elon Is Building His Own Chip Factory
Most investors still think of Elon as the car and rocket guy. But Jeff says step one of his AI plan is about something else: chips.
Jeff says Elon's companies need far more AI chips than the world's chipmakers can supply. So Elon decided to make them himself.
Elon put it this way:
Jeff visited the first phase, Elon's Advanced Technology Fab in Austin. He says it's where Elon is getting ready to begin making his own AI chips.
So the Cybercab ride isn't really a car story. Jeff says it's the opening of Elon's three-step AI plan:
- The chips. Jeff says Elon is getting ready to make his own AI chips, the first phase of a project called Terafab.
- The energy. Jeff says Elon plans to put AI chips on satellites, powered by the sun.
- The applications. Jeff says nobody comes close to Elon in physical AI: self-driving cars like the Cybercab, and Optimus, Tesla's humanoid robot.
Why Not Just Buy Tesla?
Jeff calls Tesla a great company over the long term.
But he says it was "dirt cheap" when he first recommended it in 2018. "It's not that cheap anymore."
He says the better way in is through the little-known companies Elon will need along the way, like the one that will help Elon make his own chips.
Jeff believes he's found them.
Watch the free presentation
See Why Jeff Says It Isn't Tesla »One Little-Known Company for Each Step
Step 1: Chips
"If Elon wants to build chips, he will need that machine," Jeff says. He believes he's found the company that will supply it.
Step 2: Energy
A company Jeff says has worked with SpaceX for more than a decade, on chips used in every Starlink satellite and ground terminal. He believes it's positioned for the AI satellites too.
Step 3: Robots
A company Jeff says already supplies Tesla with a key piece of sensor technology. He wouldn't be surprised if it ends up supplying Optimus too.
The three aren't the same kind of call. One is Jeff's prediction of a new supplier. One, he says, already works with SpaceX. One, he thinks, could end up supplying Optimus.
Elon Musk hasn't endorsed Jeff's research or these picks. The picks are Jeff's.
Which companies are they?
Jeff's presentation is free to watch. His full research, including the names of all three companies, is available through a paid subscription to The Near Future Report, which renews automatically each year.
Jeff's Record on Elon
In November 2018, while the media was mocking Elon, Jeff told his readers:
"When I think about Tesla, I see one of the leading artificial intelligence companies in the world." (Jeff Brown, November 2018)
He calls it "the most hated and controversial recommendation I had ever made."
Jeff's earlier calls, as he describes them
| Bitcoin | as high as 52,400% |
| Tesla | almost 2,200% |
| Nvidia | as high as 37,800% |
Selected peak figures, not typical results or subscriber returns. Investing involves risk, including the possible loss of principal. Past performance does not guarantee future results.
Jeff's End-of-October Forecast
Jeff believes Elon will officially announce a partnership with his step 1 pick, the chip-machine company, by the end of October.
That's his forecast, not a confirmed event.
Jeff's presentation is free to watch. It covers the Cybercab ride, the Terafab site and all three steps of Elon's plan.
Free to watch · Investing involves risk
