diff --git a/Makefile b/Makefile
index 6773e5a2..b0d6100c 100644
--- a/Makefile
+++ b/Makefile
@@ -80,7 +80,7 @@ validate-newsfragments:
 check-docs: build-docs validate-newsfragments
 
 build-docs:
-	sphinx-apidoc -o docs/ . setup.py "*conftest*"
+	sphinx-apidoc -o docs/ . setup.py "*conftest*" tests/
 	$(MAKE) -C docs clean
 	$(MAKE) -C docs html
 	$(MAKE) -C docs doctest
diff --git a/docs/conf.py b/docs/conf.py
index 8a9af857..9bd69c11 100644
--- a/docs/conf.py
+++ b/docs/conf.py
@@ -278,6 +278,9 @@ texinfo_documents = [
     ),
 ]
 
+# Prevent autodoc from trying to import module from tests.factories
+autodoc_mock_imports = ["tests.factories"]
+
 # Documents to append as an appendix to all manuals.
 # texinfo_appendices = []
 
diff --git a/docs/libp2p.tools.rst b/docs/libp2p.tools.rst
index c0457fb8..3571309e 100644
--- a/docs/libp2p.tools.rst
+++ b/docs/libp2p.tools.rst
@@ -22,14 +22,6 @@ libp2p.tools.constants module
    :undoc-members:
    :show-inheritance:
 
-libp2p.tools.factories module
------------------------------
-
-.. automodule:: libp2p.tools.factories
-   :members:
-   :undoc-members:
-   :show-inheritance:
-
 libp2p.tools.utils module
 -------------------------
 
diff --git a/libp2p/tools/pubsub/dummy_account_node.py b/libp2p/tools/pubsub/dummy_account_node.py
index 17dab92d..c208d327 100644
--- a/libp2p/tools/pubsub/dummy_account_node.py
+++ b/libp2p/tools/pubsub/dummy_account_node.py
@@ -16,7 +16,7 @@ from libp2p.tools.async_service import (
     Service,
     background_trio_service,
 )
-from libp2p.tools.factories import (
+from tests.factories import (
     PubsubFactory,
 )
 
diff --git a/newsfragments/503.internal.rst b/newsfragments/503.internal.rst
new file mode 100644
index 00000000..c991d16b
--- /dev/null
+++ b/newsfragments/503.internal.rst
@@ -0,0 +1 @@
+moved ``libp2p/tools/factories`` to ``tests``.
diff --git a/tests/__init__.py b/tests/__init__.py
new file mode 100644
index 00000000..e69de29b
diff --git a/tests/conftest.py b/tests/conftest.py
index 8b34953a..c1993b88 100644
--- a/tests/conftest.py
+++ b/tests/conftest.py
@@ -1,6 +1,6 @@
 import pytest
 
-from libp2p.tools.factories import (
+from tests.factories import (
     HostFactory,
 )
 
diff --git a/tests/core/examples/test_examples.py b/tests/core/examples/test_examples.py
index 6120572d..4dc526f6 100644
--- a/tests/core/examples/test_examples.py
+++ b/tests/core/examples/test_examples.py
@@ -7,12 +7,12 @@ from libp2p.host.exceptions import (
 from libp2p.peer.peerinfo import (
     info_from_p2p_addr,
 )
-from libp2p.tools.factories import (
-    HostFactory,
-)
 from libp2p.tools.utils import (
     MAX_READ_LEN,
 )
+from tests.factories import (
+    HostFactory,
+)
 
 CHAT_PROTOCOL_ID = "/chat/1.0.0"
 ECHO_PROTOCOL_ID = "/echo/1.0.0"
diff --git a/tests/core/host/test_connected_peers.py b/tests/core/host/test_connected_peers.py
index a9663dde..990c7079 100644
--- a/tests/core/host/test_connected_peers.py
+++ b/tests/core/host/test_connected_peers.py
@@ -3,7 +3,7 @@ import pytest
 from libp2p.peer.peerinfo import (
     info_from_p2p_addr,
 )
-from libp2p.tools.factories import (
+from tests.factories import (
     HostFactory,
 )
 
diff --git a/tests/core/host/test_ping.py b/tests/core/host/test_ping.py
index b181a96e..358ab9cf 100644
--- a/tests/core/host/test_ping.py
+++ b/tests/core/host/test_ping.py
@@ -8,7 +8,7 @@ from libp2p.host.ping import (
     PING_LENGTH,
     PingService,
 )
-from libp2p.tools.factories import (
+from tests.factories import (
     host_pair_factory,
 )
 
diff --git a/tests/core/host/test_routed_host.py b/tests/core/host/test_routed_host.py
index d7ccde0d..e0f87bce 100644
--- a/tests/core/host/test_routed_host.py
+++ b/tests/core/host/test_routed_host.py
@@ -6,7 +6,7 @@ from libp2p.host.exceptions import (
 from libp2p.peer.peerinfo import (
     PeerInfo,
 )
-from libp2p.tools.factories import (
+from tests.factories import (
     HostFactory,
     RoutedHostFactory,
 )
diff --git a/tests/core/identity/identify/test_protocol.py b/tests/core/identity/identify/test_protocol.py
index 58592d70..a6f07320 100644
--- a/tests/core/identity/identify/test_protocol.py
+++ b/tests/core/identity/identify/test_protocol.py
@@ -7,7 +7,7 @@ from libp2p.identity.identify.protocol import (
     ID,
     _mk_identify_protobuf,
 )
-from libp2p.tools.factories import (
+from tests.factories import (
     host_pair_factory,
 )
 
diff --git a/tests/core/network/conftest.py b/tests/core/network/conftest.py
index 42ea8730..dac403b1 100644
--- a/tests/core/network/conftest.py
+++ b/tests/core/network/conftest.py
@@ -1,6 +1,6 @@
 import pytest
 
-from libp2p.tools.factories import (
+from tests.factories import (
     net_stream_pair_factory,
     swarm_conn_pair_factory,
     swarm_pair_factory,
diff --git a/tests/core/network/test_notify.py b/tests/core/network/test_notify.py
index f74f3aec..381b70f8 100644
--- a/tests/core/network/test_notify.py
+++ b/tests/core/network/test_notify.py
@@ -22,12 +22,12 @@ from libp2p.tools.async_service import (
 from libp2p.tools.constants import (
     LISTEN_MADDR,
 )
-from libp2p.tools.factories import (
-    SwarmFactory,
-)
 from libp2p.tools.utils import (
     connect_swarm,
 )
+from tests.factories import (
+    SwarmFactory,
+)
 
 
 class Event(enum.Enum):
diff --git a/tests/core/network/test_swarm.py b/tests/core/network/test_swarm.py
index d3d6a7f8..c2e908a2 100644
--- a/tests/core/network/test_swarm.py
+++ b/tests/core/network/test_swarm.py
@@ -10,12 +10,12 @@ from trio.testing import (
 from libp2p.network.exceptions import (
     SwarmException,
 )
-from libp2p.tools.factories import (
-    SwarmFactory,
-)
 from libp2p.tools.utils import (
     connect_swarm,
 )
+from tests.factories import (
+    SwarmFactory,
+)
 
 
 @pytest.mark.trio
diff --git a/tests/core/protocol_muxer/test_protocol_muxer.py b/tests/core/protocol_muxer/test_protocol_muxer.py
index 1700453d..1bea50a5 100644
--- a/tests/core/protocol_muxer/test_protocol_muxer.py
+++ b/tests/core/protocol_muxer/test_protocol_muxer.py
@@ -6,12 +6,12 @@ from trio.testing import (
 from libp2p.host.exceptions import (
     StreamFailure,
 )
-from libp2p.tools.factories import (
-    HostFactory,
-)
 from libp2p.tools.utils import (
     create_echo_stream_handler,
 )
+from tests.factories import (
+    HostFactory,
+)
 
 PROTOCOL_ECHO = "/echo/1.0.0"
 PROTOCOL_POTATO = "/potato/1.0.0"
diff --git a/tests/core/pubsub/test_floodsub.py b/tests/core/pubsub/test_floodsub.py
index 2833def4..c056a62a 100644
--- a/tests/core/pubsub/test_floodsub.py
+++ b/tests/core/pubsub/test_floodsub.py
@@ -6,9 +6,6 @@ import trio
 from libp2p.peer.id import (
     ID,
 )
-from libp2p.tools.factories import (
-    PubsubFactory,
-)
 from libp2p.tools.pubsub.floodsub_integration_test_settings import (
     floodsub_protocol_pytest_params,
     perform_test_from_obj,
@@ -16,6 +13,9 @@ from libp2p.tools.pubsub.floodsub_integration_test_settings import (
 from libp2p.tools.utils import (
     connect,
 )
+from tests.factories import (
+    PubsubFactory,
+)
 
 
 @pytest.mark.trio
diff --git a/tests/core/pubsub/test_gossipsub.py b/tests/core/pubsub/test_gossipsub.py
index 8dc1b575..fff2029a 100644
--- a/tests/core/pubsub/test_gossipsub.py
+++ b/tests/core/pubsub/test_gossipsub.py
@@ -6,10 +6,6 @@ import trio
 from libp2p.pubsub.gossipsub import (
     PROTOCOL_ID,
 )
-from libp2p.tools.factories import (
-    IDFactory,
-    PubsubFactory,
-)
 from libp2p.tools.pubsub.utils import (
     dense_connect,
     one_to_all_connect,
@@ -17,6 +13,10 @@ from libp2p.tools.pubsub.utils import (
 from libp2p.tools.utils import (
     connect,
 )
+from tests.factories import (
+    IDFactory,
+    PubsubFactory,
+)
 
 
 @pytest.mark.trio
diff --git a/tests/core/pubsub/test_gossipsub_backward_compatibility.py b/tests/core/pubsub/test_gossipsub_backward_compatibility.py
index 09c40579..af115d17 100644
--- a/tests/core/pubsub/test_gossipsub_backward_compatibility.py
+++ b/tests/core/pubsub/test_gossipsub_backward_compatibility.py
@@ -5,13 +5,13 @@ import pytest
 from libp2p.tools.constants import (
     FLOODSUB_PROTOCOL_ID,
 )
-from libp2p.tools.factories import (
-    PubsubFactory,
-)
 from libp2p.tools.pubsub.floodsub_integration_test_settings import (
     floodsub_protocol_pytest_params,
     perform_test_from_obj,
 )
+from tests.factories import (
+    PubsubFactory,
+)
 
 
 @pytest.mark.parametrize("test_case_obj", floodsub_protocol_pytest_params)
diff --git a/tests/core/pubsub/test_pubsub.py b/tests/core/pubsub/test_pubsub.py
index af369d56..02fbe661 100644
--- a/tests/core/pubsub/test_pubsub.py
+++ b/tests/core/pubsub/test_pubsub.py
@@ -21,11 +21,6 @@ from libp2p.pubsub.pubsub import (
 from libp2p.tools.constants import (
     MAX_READ_LEN,
 )
-from libp2p.tools.factories import (
-    IDFactory,
-    PubsubFactory,
-    net_stream_pair_factory,
-)
 from libp2p.tools.pubsub.utils import (
     make_pubsub_msg,
 )
@@ -35,6 +30,11 @@ from libp2p.tools.utils import (
 from libp2p.utils import (
     encode_varint_prefixed,
 )
+from tests.factories import (
+    IDFactory,
+    PubsubFactory,
+    net_stream_pair_factory,
+)
 
 TESTING_TOPIC = "TEST_SUBSCRIBE"
 TESTING_DATA = b"data"
diff --git a/tests/core/security/noise/test_msg_read_writer.py b/tests/core/security/noise/test_msg_read_writer.py
index a356f657..6d84fffc 100644
--- a/tests/core/security/noise/test_msg_read_writer.py
+++ b/tests/core/security/noise/test_msg_read_writer.py
@@ -4,7 +4,7 @@ from libp2p.security.noise.io import (
     MAX_NOISE_MESSAGE_LEN,
     NoisePacketReadWriter,
 )
-from libp2p.tools.factories import (
+from tests.factories import (
     raw_conn_factory,
 )
 
diff --git a/tests/core/security/noise/test_noise.py b/tests/core/security/noise/test_noise.py
index ba15622b..94dde19b 100644
--- a/tests/core/security/noise/test_noise.py
+++ b/tests/core/security/noise/test_noise.py
@@ -3,7 +3,7 @@ import pytest
 from libp2p.security.noise.messages import (
     NoiseHandshakePayload,
 )
-from libp2p.tools.factories import (
+from tests.factories import (
     noise_conn_factory,
     noise_handshake_payload_factory,
 )
diff --git a/tests/core/security/test_secio.py b/tests/core/security/test_secio.py
index e2fd75b4..f2df71a6 100644
--- a/tests/core/security/test_secio.py
+++ b/tests/core/security/test_secio.py
@@ -14,7 +14,7 @@ from libp2p.security.secio.transport import (
 from libp2p.tools.constants import (
     MAX_READ_LEN,
 )
-from libp2p.tools.factories import (
+from tests.factories import (
     raw_conn_factory,
 )
 
diff --git a/tests/core/security/test_security_multistream.py b/tests/core/security/test_security_multistream.py
index 38727f9b..62fb959f 100644
--- a/tests/core/security/test_security_multistream.py
+++ b/tests/core/security/test_security_multistream.py
@@ -12,7 +12,7 @@ from libp2p.security.secio.transport import ID as SECIO_PROTOCOL_ID
 from libp2p.security.secure_session import (
     SecureSession,
 )
-from libp2p.tools.factories import (
+from tests.factories import (
     host_pair_factory,
 )
 
diff --git a/tests/core/stream_muxer/conftest.py b/tests/core/stream_muxer/conftest.py
index 8d9625e9..c0bcbc32 100644
--- a/tests/core/stream_muxer/conftest.py
+++ b/tests/core/stream_muxer/conftest.py
@@ -1,6 +1,6 @@
 import pytest
 
-from libp2p.tools.factories import (
+from tests.factories import (
     mplex_conn_pair_factory,
     mplex_stream_pair_factory,
 )
diff --git a/tests/core/test_libp2p/test_libp2p.py b/tests/core/test_libp2p/test_libp2p.py
index 0025f878..cd7a2156 100644
--- a/tests/core/test_libp2p/test_libp2p.py
+++ b/tests/core/test_libp2p/test_libp2p.py
@@ -10,13 +10,13 @@ from libp2p.network.stream.exceptions import (
 from libp2p.tools.constants import (
     MAX_READ_LEN,
 )
-from libp2p.tools.factories import (
-    HostFactory,
-)
 from libp2p.tools.utils import (
     connect,
     create_echo_stream_handler,
 )
+from tests.factories import (
+    HostFactory,
+)
 
 PROTOCOL_ID_0 = TProtocol("/echo/0")
 PROTOCOL_ID_1 = TProtocol("/echo/1")
diff --git a/libp2p/tools/factories.py b/tests/factories.py
similarity index 99%
rename from libp2p/tools/factories.py
rename to tests/factories.py
index 6744ddc3..08a5b67e 100644
--- a/libp2p/tools/factories.py
+++ b/tests/factories.py
@@ -102,7 +102,14 @@ from libp2p.tools.async_service import (
     background_trio_service,
 )
 from libp2p.tools.constants import (
+    FLOODSUB_PROTOCOL_ID,
     GOSSIPSUB_PARAMS,
+    GOSSIPSUB_PROTOCOL_ID,
+    LISTEN_MADDR,
+)
+from libp2p.tools.utils import (
+    connect,
+    connect_swarm,
 )
 from libp2p.transport.tcp.tcp import (
     TCP,
@@ -111,16 +118,6 @@ from libp2p.transport.upgrader import (
     TransportUpgrader,
 )
 
-from .constants import (
-    FLOODSUB_PROTOCOL_ID,
-    GOSSIPSUB_PROTOCOL_ID,
-    LISTEN_MADDR,
-)
-from .utils import (
-    connect,
-    connect_swarm,
-)
-
 DEFAULT_SECURITY_PROTOCOL_ID = PLAINTEXT_PROTOCOL_ID
 
 
diff --git a/tests/interop/conftest.py b/tests/interop/conftest.py
index 372135aa..728dddda 100644
--- a/tests/interop/conftest.py
+++ b/tests/interop/conftest.py
@@ -17,7 +17,7 @@ from libp2p.io.abc import (
 )
 from libp2p.security.noise.transport import PROTOCOL_ID as NOISE_PROTOCOL_ID
 from libp2p.security.secio.transport import ID as SECIO_PROTOCOL_ID
-from libp2p.tools.factories import (
+from tests.factories import (
     HostFactory,
     PubsubFactory,
 )
diff --git a/tests/interop/test_bindings.py b/tests/interop/test_bindings.py
index 759cf5de..f38fad5c 100644
--- a/tests/interop/test_bindings.py
+++ b/tests/interop/test_bindings.py
@@ -1,7 +1,7 @@
 import pytest
 import trio
 
-from libp2p.tools.factories import (
+from tests.factories import (
     HostFactory,
 )
 from tests.utils.interop.utils import (
diff --git a/tests/interop/test_pubsub.py b/tests/interop/test_pubsub.py
index 2b70b815..485d48f4 100644
--- a/tests/interop/test_pubsub.py
+++ b/tests/interop/test_pubsub.py
@@ -19,12 +19,12 @@ from libp2p.pubsub.pb import (
 from libp2p.pubsub.subscription import (
     TrioSubscriptionAPI,
 )
-from libp2p.tools.factories import (
-    PubsubFactory,
-)
 from libp2p.utils import (
     read_varint_prefixed_bytes,
 )
+from tests.factories import (
+    PubsubFactory,
+)
 from tests.utils.interop.utils import (
     connect,
 )