Jim Cramer stated that the market’s focus on “weakness in the Kospi” is overshadowing a “$40b pot of gold” directed by Elon Musk to Nvidia Corp. (NASDAQ:NVDA), declaring that rumors of Musk ending his Terafab partnership with Intel Corp. (NASDAQ:INTC) are “squashed.”
Cramer Addresses Market Focus
Cramer took to X on Wednesday afternoon to challenge market narratives surrounding Musk’s semiconductor manufacturing plans and capital expenditures. Addressing recent rumors that Musk was cutting ties with Intel in favor of a deeper partnership with Taiwan Semiconductor Manufacturing Co. Ltd. (NYSE:TSMC), Cramer indicated that the original partnership remains intact. “Intel still working with Musk on Terafab–false story about Musk leaving Intel fold squashed?” Cramer posted on Oct. 7.
Furthermore, the CNBC host expressed frustration that investors were allowing international market fluctuations to overshadow massive domestic tech investments.
Specifically, he questioned why market watchers were seemingly distracted by recent weakness in the Kospi—South Korea’s benchmark stock index, which is heavily weighted with semiconductor and memory chip suppliers — instead of focusing on Musk’s massive planned spending on AI hardware.
“No one cares about $40b pot of gold headed to NVDA from Musk because why, the weakness in the Kospi? Oh please,” Cramer wrote. By highlighting this dynamic, Cramer underscored his view that a temporary dip in South Korean markets should potentially not overshadow the billions in capital Musk is directing toward Nvidia for AI infrastructure.
Clarifying Terafab Operations
Cramer’s commentary aligns with Intel CEO Lip-Bu Tan, who confirmed to Bloomberg that the company will continue working with Musk on the Texas-based Terafab project. Tan made these remarks ahead of a Tokyo event commemorating Intel’s 50th year of operations in Japan.
Intel stock previously declined after Musk confirmed early-stage discussions with TSMC on Saturday regarding a potential role in Terafab, which spurred questions about Intel’s ongoing participation.
Musk clarified the operational structure on Wednesday in a response to Tesla Inc. (NASDAQ:TSLA) expert Herbert Ong on X. “We will build and run the fab. Let there be ZERO doubt about that,” Musk stated. “Maybe TSMC subleases part of the Terafab if they want, but nothing more than that.”
Project Background and Market Movement
First detailed in April, the Terafab initiative involves Intel working with Tesla Inc. and Space Exploration Technologies Corp. (NASDAQ:SPCX). Intel stated its chip design, manufacturing, and advanced packaging capabilities would enable the project’s goal of producing one terawatt of computing capacity for artificial intelligence (AI) and robotics per year.
How Has INTC Performed in 2026?
Intel’s stock dipped about 0.91% to $111.48 in pre-market trading on Wednesday. The shares have soared about 202% over the last year, and about 205% year-to-date.
Benzinga’s Edge Stock Rankings indicate that INTC maintains a strong price trend in the short, medium, and long term.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Image via Shutterstock
Login to comment