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Elon Musk teases an update to SpaceX’s Mars architecture later this year

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Elon Musk and SpaceX are aiming to provide a second update on the company’s Mars architecture plans in late September of this year, likely at the 2017 International Astronautical Congress (IAC) in Adelaide, Australia.

While 2017 has been extraordinarily busy and successful for SpaceX thus far, it has also been a somewhat quiet year for Mars and the technology being developed to colonize it affordably. There was a brief flurry of social media information focused on the testing of the ITS carbon composite test tank revealed at the 2016 IAC, with a few pictures and a video of its transport. This activity, as well as Elon Musk’s Ask Me Anything on /r/SpaceX, occurred a month or two after the 2016 IAC, in October and November.

https://www.instagram.com/p/BM4P6b_g2N9/?taken-by=spacex&hl=en

The only concrete information revealed about SpaceX’s Mars ambitions in 2017 have so far been distributed by Musk over Twitter and in an interview of SpaceX President and COO Gwynne Shotwell a few weeks ago. Musk offered tentative time frames for a possible update of the Mars architecture, stating that he believed it dealt with the far more crucial challenge of how to finance such a large endeavor’s significant R&D costs.

During his 2016 reveal, Musk estimated that something like $10 billion would be required to complete development and initial construction of the Raptor engine and ITS test articles. While it is believed that SpaceX has at least several hundred million dollars of liquid capital available, growing several billion dollars of capital is a much greater challenge that will likely require a different methodology than those typically employed by Musk.

Shotewell also discussed SpaceX’s Mars ambitions off and on during an hour-long interview on The Space Show. Of general interest, she mentioned that the current team working on Mars-related research and development was “tiny”, but that it would become a drastically more resource-intensive priority as the company completes work on the fifth and somewhat final “Block” of Falcon 9 and finishes the work necessary to begin routinely conducting Commercial Crew missions. Shotwell gave a timeline of “soon” for the beginning of Block 4 flights and “end of year” for the introduction of Block 5, which is intended to significantly increase the reusability of Falcon 9 (titanium grid fins are a feature of this strategy). Barring delays or setbacks for SpaceX, this implies that SpaceX will begin aggressively pursuing the concrete development of their Mars architecture as soon as the latter months of 2018 or sometime in 2019.

SpaceX revealed this stunning photo of Raptor’s first (partial) hot-fire test the night before Musk’s talk at Guadalajara. (SpaceX)

More specifically, however, Shotwell said that the Raptor test article revealed at the Guadalajara IAC has since conducted “dozens” of tests and is now more seriously considering the engine’s potential utility aboard Falcon 9. The current subscale Raptor components are approximately half the size of the final, operational design, and the need to scale up by as little as a factor of 2 should make the realization of the final design considerably less difficult, and make the testing of the current Raptor far more demonstrative of the operational engine. The exploration of vacuum Raptor as the engine of an upgraded second stage for Falcon 9 would further allow for true on-orbit testing of Raptor, and increasing the performance of S2 would allow for greater flexibility in exploring second stage reuse. Musk and Shotwell have expressed interest in this, particularly given that the second stage is approximately 30% of the cost of every Falcon 9, thus capping any potential cost savings first stage (and fairing) reuse may bring. If SpaceX wishes to lower the cost of launches by a factor of 10 to 100 and bring to life any form of the Mars architecture revealed in Guadalajara, they will have to develop second stage reusability that it is both as rapid, functional, and complete as they soon hope to make first stage reuse.

A fully reusable Falcon 9 would offer the company more cost-effective ways to launch their own profit-driving internet constellation, and could also simply provide deeper profit margins for their main business of commercial launches. However, with Musk having already publicly acknowledged that reusability cost SpaceX approximately $1 billion to develop, SpaceX is certainly already considering the plausibly diminishing returns of diverting more funds and human resources into the continued development of Falcon 9. The most likely outcome is almost certainly some combination of the above goals, whereby SpaceX would delay their Mars exploration timeline by several years and concurrently pursue Falcon 9 second stage reuse and the initial test article development for their Mars architecture, as well as exploring the challenges and intricacies of human spaceflight and deep space exploration with Dragon v2.

 

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Of note, the only known major testing event in 2017 related to SpaceX’s Mars program was observed by a SpaceX fan in February of this year. After successful November 2016 tests of the carbon composite tank in northern Washington state, fans noted that the tank had made an outdoors appearance once more in early February 2017. SpaceX mentioned on Instagram that the following test, the one SpaceX was preparing for in February, was a full cryo test of the tank, meaning that it involved actual high-pressure, supercooled liquid oxygen. Another fan noted several days later that the barge SpaceX was testing the tank aboard returned to port empty, and later observed what looked like several large pieces of the tank test article that reportedly had to be recovered from the sound by divers. The logical conclusion is that the tank was destroyed during its second phase of testing, but the crucial and currently unknown fact of the matter is whether the failure was a result of intentionally destructive testing or defects in what was effectively an experimental engineering article. Further SpaceX talks later this year will likely reveal some level of detail as to what transpired in the testing of that prototype carbon composite tank.

Reasoned speculation aside, the latter months of 2017 have multiple talks, speeches, and hearings planned by SpaceX members like Elon Musk and Tim Hughes, and information on SpaceX’s Mars ambitions and other future prospects will almost certainly be offered. Hughes is to attend a hearing at 9am EST on July 13th for the U.S. Senate on commercial space and will be testifying on the subject as a representative and employee of SpaceX. Just under a week later, Elon Musk is scheduled to be the main keynote speaker at the 2017 ISS R&D Conference. His talk is set to begin at 12:30pm EST on July 19th. A handful of months after that, as mentioned above, Musk may also provide a detailed update on SpaceX’s Mars architecture at the 2017 International Astronautical Congress.

In other words, on top of an aggressive 12 possible launches between August and the end of December, SpaceX fans also can look forward to details, photos, and possibly even more about the company’s Mars efforts over the next several months.

Eric Ralph is Teslarati's senior spaceflight reporter and has been covering the industry in some capacity for almost half a decade, largely spurred in 2016 by a trip to Mexico to watch Elon Musk reveal SpaceX's plans for Mars in person. Aside from spreading interest and excitement about spaceflight far and wide, his primary goal is to cover humanity's ongoing efforts to expand beyond Earth to the Moon, Mars, and elsewhere.

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Investor's Corner

Tesla stock closes at all-time high on heels of Robotaxi progress

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Credit: Tesla

Tesla stock (NASDAQ: TSLA) closed at an all-time high on Tuesday, jumping over 3 percent during the day and finishing at $489.88.

The price beats the previous record close, which was $479.86.

Shares have had a crazy year, dipping more than 40 percent from the start of the year. The stock then started to recover once again around late April, when its price started to climb back up from the low $200 level.

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This week, Tesla started to climb toward its highest levels ever, as it was revealed on Sunday that the company was testing driverless Robotaxis in Austin. The spike in value pushed the company’s valuation to $1.63 trillion.

Tesla Robotaxi goes driverless as Musk confirms Safety Monitor removal testing

It is the seventh-most valuable company on the market currently, trailing Nvidia, Apple, Alphabet (Google), Microsoft, Amazon, and Meta.

Shares closed up $14.57 today, up over 3 percent.

The stock has gone through a lot this year, as previously mentioned. Shares tumbled in Q1 due to CEO Elon Musk’s involvement with the Department of Government Efficiency (DOGE), which pulled his attention away from his companies and left a major overhang on their valuations.

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However, things started to rebound halfway through the year, and as the government started to phase out the $7,500 tax credit, demand spiked as consumers tried to take advantage of it.

Q3 deliveries were the highest in company history, and Tesla responded to the loss of the tax credit with the launch of the Model 3 and Model Y Standard.

Additionally, analysts have announced high expectations this week for the company on Wall Street as Robotaxi continues to be the focus. With autonomy within Tesla’s sights, things are moving in the direction of Robotaxi being a major catalyst for growth on the Street in the coming year.

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Tesla needs to come through on this one Robotaxi metric, analyst says

“We think the key focus from here will be how fast Tesla can scale driverless operations (including if Tesla’s approach to software/hardware allows it to scale significantly faster than competitors, as the company has argued), and on profitability.”

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Tesla needs to come through on this one Robotaxi metric, Mark Delaney of Goldman Sachs says.

Tesla is in the process of rolling out its Robotaxi platform to areas outside of Austin and the California Bay Area. It has plans to launch in five additional cities, including Houston, Dallas, Miami, Las Vegas, and Phoenix.

However, the company’s expansion is not what the focus needs to be, according to Delaney. It’s the speed of deployment.

The analyst said:

“We think the key focus from here will be how fast Tesla can scale driverless operations (including if Tesla’s approach to software/hardware allows it to scale significantly faster than competitors, as the company has argued), and on profitability.”

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Profitability will come as the Robotaxi fleet expands. Making that money will be dependent on when Tesla can initiate rides in more areas, giving more customers access to the program.

There are some additional things that the company needs to make happen ahead of the major Robotaxi expansion, one of those things is launching driverless rides in Austin, the first city in which it launched the program.

This week, Tesla started testing driverless Robotaxi rides in Austin, as two different Model Y units were spotted with no occupants, a huge step in the company’s plans for the ride-sharing platform.

Tesla Robotaxi goes driverless as Musk confirms Safety Monitor removal testing

CEO Elon Musk has been hoping to remove Safety Monitors from Robotaxis in Austin for several months, first mentioning the plan to have them out by the end of 2025 in September. He confirmed on Sunday that Tesla had officially removed vehicle occupants and started testing truly unsupervised rides.

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Although Safety Monitors in Austin have been sitting in the passenger’s seat, they have still had the ability to override things in case of an emergency. After all, the ultimate goal was safety and avoiding any accidents or injuries.

Goldman Sachs reiterated its ‘Neutral’ rating and its $400 price target. Delaney said, “Tesla is making progress with its autonomous technology,” and recent developments make it evident that this is true.

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Investor's Corner

Tesla gets bold Robotaxi prediction from Wall Street firm

Last week, Andrew Percoco took over Tesla analysis for Morgan Stanley from Adam Jonas, who covered the stock for years. Percoco seems to be less optimistic and bullish on Tesla shares, while still being fair and balanced in his analysis.

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Credit: Tesla

Tesla (NASDAQ: TSLA) received a bold Robotaxi prediction from Morgan Stanley, which anticipates a dramatic increase in the size of the company’s autonomous ride-hailing suite in the coming years.

Last week, Andrew Percoco took over Tesla analysis for Morgan Stanley from Adam Jonas, who covered the stock for years. Percoco seems to be less optimistic and bullish on Tesla shares, while still being fair and balanced in his analysis.

Percoco dug into the Robotaxi fleet and its expansion in the coming years in his latest note, released on Tuesday. The firm expects Tesla to increase the Robotaxi fleet size to 1,000 vehicles in 2026. However, that’s small-scale compared to what they expect from Tesla in a decade.

Tesla expands Robotaxi app access once again, this time on a global scale

By 2035, Morgan Stanley believes there will be one million Robotaxis on the road across multiple cities, a major jump and a considerable fleet size. We assume this means the fleet of vehicles Tesla will operate internally, and not including passenger-owned vehicles that could be added through software updates.

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He also listed three specific catalysts that investors should pay attention to, as these will represent the company being on track to achieve its Robotaxi dreams:

  1. Opening Robotaxi to the public without a Safety Monitor. Timing is unclear, but it appears that Tesla is getting closer by the day.
  2. Improvement in safety metrics without the Safety Monitor. Tesla’s ability to improve its safety metrics as it scales miles driven without the Safety Monitor is imperative as it looks to scale in new states and cities in 2026.
  3. Cybercab start of production, targeted for April 2026. Tesla’s Cybercab is a purpose-built vehicle (no steering wheel or pedals, only two seats) that is expected to be produced through its state-of-the-art unboxed manufacturing process, offering further cost reductions and thus accelerating adoption over time.

Robotaxi stands to be one of Tesla’s most significant revenue contributors, especially as the company plans to continue expanding its ride-hailing service across the world in the coming years.

Its current deployment strategy is controlled and conservative to avoid any drastic and potentially program-ruining incidents.

So far, the program, which is active in Austin and the California Bay Area, has been widely successful.

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