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Elon Musk reveals SpaceX Starship production well underway inside new Texas factory
SpaceX CEO Elon Musk has offered a new glimpse inside the company’s rapidly-expanding South Texas Starship factory, revealing the beginnings of the next-generation rocket’s first true assembly line — and a wealth of spacecraft hardware.
Situated two or so miles from the Gulf of Mexico (and Mexico itself) in Boca Chica, Texas, SpaceX has been seriously planning a presence in South Texas for more than five years. Originally meant to host the United States’ first private orbital launch complex for Falcon 9 and Falcon Heavy rockets, only a small amount of work – known as soil surcharging – was done in the four years that followed SpaceX’s 2014 announcement. In late 2018, however, work began in earnest to build basic launch and manufacturing facilities.
Less than six months later, the first true Starship prototype – known as Starhopper and built from scratch out in the South Texas elements – ignited its Raptor engine for a brief static fire test, bringing the first to facilities and rocket to life less than half a year after they were little more than a pile of dirt and steel sheets. Now, barely nine months after Starhopper’s first static fire test, SpaceX is working around the clock to erect a full-scale rocket factory and build what could become the first orbital-class Starships. On February 9th, Elon Musk offered the best glimpse yet of the incredible progress SpaceX has made in a matter of weeks.
Barely a month ago, the rocket hardware pictured above did not exist, while the giant Tesla-inspired tent containing those Starship parts was a half-finished skeleton. Now, Elon Musk says that SpaceX has effectively completed three of the hardest parts of its first upgraded Starship prototype (SN01), while an additional two (of three) of those parts – known as propellant tank domes – are already in work for a second Starship (SN02).
Outside of the ‘sprung structure’ (i.e. tent) shown in Musk’s February 9th photo, SpaceX contractors appear to be just days away from completing the shell of a second identical tent, ultimately doubling the space available for enclosed manufacturing operations. At the same time as both Starship hardware and production facilities are rapidly coming together, SpaceX is also erecting what is presumed to be a Vehicle Assembly Building – a potentially massive structure that will protect vertical Starships and Super Heavy boosters from the elements while workers assemble them into finished rockets.
Inside the finished tent, SpaceX appears to have set up the first true Starship assembly line (of sorts), expanding from working on a single kind of prototype at a time to concurrent (serial) production of major components. Visible are three Starship bulkheads (tank domes) – two completed instances of which have already been transported outside and integrated with finished ring segments, forming two halves of Starship SN01’s complete liquid methane (LCH4) tank.
Near the back of the tent, work is also ongoing on several Starship SN01 tank rings. In the center, technicians are outfitting Starship SN01’s engine and ‘skirt’ section, where the bottommost tank dome will attach to three (up to six) Raptor engines. To the left, a stack of two rings appears to be stored off to the side, while – only slightly visible in Musk’s photo – another pair of rings is being welded together with the help of a rotating table.
Far from its full capacity and working out of a much smaller tent, SpaceX’s dedicated ringforming station – tasked with turning coils of steel into finished Starship rings – has finished no less than 34 steel rings since the January 1st. SpaceX is still clearly learning and at least third of those rings wound up being scrapped due to defects, but the material cost of all of those rings (~55 tons of steel) is probably less than $150,000. Additionally, those 34 completed segments would reach more than 60 meters (200 ft) tall if stacked, enough to build almost two Starship tank and engine sections – domes excluded.
In simple terms, SpaceX has pivoted away from the more boutique style of prototype fabrication used for Starhopper and Starship Mk1 and is now building Starship SNxx hardware extremely quickly. At the same time, the enclosed manufacturing space available to SpaceX is probably going to double before this week is out. Ultimately, SpaceX’s March 2020 Starship SN01 flight debut target is quickly becoming less and less crazy by the day.
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Elon Musk
Tesla and xAI team up on massive new project
It is the latest move by a Musk company to automate, streamline, and reduce the manual, monotonous, and tedious work currently performed by humans through AI and robotics development. Digital Optimus will be capable of processing and actioning the past five seconds of a real-time computer screen video and keyboard and mouse actions.
Elon Musk teased a massive new project, to be developed jointly by Tesla and xAI, called “Digital Optimus” or “Macrohard,” the first development under Tesla’s investment agreement with xAI.
Musk announced on X that Digital Optimus will “be capable of emulating the function of entire companies.”
Macrohard or Digital Optimus is a joint xAI-Tesla project, coming as part of Tesla’s investment agreement with xAI.
Grok is the master conductor/navigator with deep understanding of the world to direct digital Optimus, which is processing and actioning the past 5 secs of…
— Elon Musk (@elonmusk) March 11, 2026
It is the latest move by a Musk company to automate, streamline, and reduce the manual, monotonous, and tedious work currently performed by humans through AI and robotics development. Digital Optimus will be capable of processing and actioning the past five seconds of a real-time computer screen video and keyboard and mouse actions.
Essentially, it will be an AI version of a desk worker in many capacities, including accounting, HR tasks, and others.
Musk said:
“Grok is the master conductor/navigator with deep understanding of the world to direct digital Optimus, which is processing and actioning the past 5 secs of real-time computer screen video and keyboard/mouse actions. Grok is like a much more advanced and sophisticated version of turn-by-turn navigation software. You can think of it as Digital Optimus AI being System 1 (instinctive part of the mind) and Grok being System 2. (thinking part of the mind).”
Its key applications would be used for enterprise automation, simulating entire companies, high-volume repetitive tasks, and potentially, future hybrid use with the Optimus robot, which would handle physical tasks, while Digital Optimus would handle the clerical work.
The creation of a digital AI suite like Digital Optimus would help companies save time and money, as well as become more efficient in their operations through massive scalability. However, there will undoubtedly be concerns from people who are skeptical of a fully-integrated AI workhorse like this one.
From an energy consumption perspective and just a general concern for the human workforce, these types of AI projects are polarizing in nature.
However, Digital Optimus would be a great digital counterpart to Tesla’s physical Optimus robot, as it would be a hyper-efficient addition to any company that is looking for more production for less cost.
Musk maintains that there is no other company on Earth that will be able to do this.
Elon Musk
Tesla China posts strong February wholesale growth at Gigafactory Shanghai
The update was shared by Tesla observers on social media platform X, citing monthly China Passenger Car Association (CPCA) data.
Tesla China sold 58,599 vehicles wholesale in February, reflecting strong year-over-year growth. The figure includes both domestic deliveries in China and vehicles exported to international markets.
The update was shared by Tesla observers on social media platform X, citing monthly China Passenger Car Association (CPCA) data.
Tesla’s February wholesale result represents a 91% increase year over year, compared with 30,688 vehicles in February 2025. Month over month, the result was down 15.2% from January, when Tesla China recorded 69,129 wholesale units.
The February total reflects combined sales of the Model 3 and Model Y produced at Gigafactory Shanghai. The facility produces the two vehicles for both domestic sales and exports.
Gigafactory Shanghai continues to serve as Tesla’s primary vehicle export hub, supplying vehicles to markets across Asia and Europe. Data compiled by Tesla watchers shows that 18,485 vehicles were sold domestically in China in January 2026, while exports accounted for 50,644 units during the same period.
Tesla has also been extending financing programs in China as it pushes to strengthen domestic demand. The company recently extended its seven-year ultra-low-interest and five-year interest-free financing programs through March 31, marking the second extension of the promotion this year.
The financing initiative was first introduced on January 6 as a strategy aimed at offsetting higher ownership costs ahead of China’s planned 5% NEV purchase tax in 2026. The promotion was originally scheduled to expire at the end of January before being extended to February and then again through the end of the first quarter.
Tesla’s efforts come amid growing competition in China’s EV market. According to data compiled by CNEV Post, Tesla’s 2025 retail sales in China reached 625,698 vehicles, representing a 4.78% year-over-year decline. Part of that decline was linked to the Model Y changeover to its updated variant in early 2025, which temporarily reduced deliveries during the transition period.
News
Tesla Model Y L spotted on transport trucks in Australia
One of the sightings was reported along Victoria Parade in Melbourne, and it showed multiple Model Y L vehicles on a transport carrier.
Tesla’s upcoming Model Y L has been spotted on transport trucks in Australia. Sightings of the six-seat extended wheelbase Model Y variant have been reported on social media platform X by members of the Australian Tesla community.
One of the sightings was reported along Victoria Parade in Melbourne, and it showed multiple Model Y L vehicles on a transport carrier.
The sighting follows earlier observations by Tesla enthusiasts in Sydney, where a covered vehicle believed to be a Model Y L was spotted at a Supercharger.
The Sydney sighting drew attention after observers noted that the vehicle’s tare weight appeared to match the ADR approval listing for the Model Y L, suggesting it could indeed be the extended wheelbase variant of the electric SUV.
Tesla has previously confirmed that the Model Y L will launch in Australia and New Zealand in 2026. The confirmation was reported by techAU following a media release from Tesla Australia and New Zealand.
The Model Y L expands the existing Model Y lineup with seating for six passengers. The vehicle features a longer body compared with the standard Model Y in order to accommodate a spacious second and third row.
Tesla has opted for a 2-2-2 seating configuration instead of a traditional seven-seat layout for the Model Y L. The design includes two individual seats in the middle row to provide easier access to the third row and additional passenger space.
Tesla Australia and New Zealand has also stated that the Model Y L will be covered under the company’s updated warranty structure beginning in 2026.
Tesla has not yet announced pricing or official range figures for the Model Y L in Australia.
Tesla and xAI team up on massive new project
Tesla China posts strong February wholesale growth at Gigafactory Shanghai
