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Elon Musk’s Tesla ‘Alien Dreadnought’ factory is coming to form–just not where critics expect it
There are many aspects of the Tesla ecosystem and Elon Musk’s past forecasts that critics love to attack. Among the most notable of these is the CEO’s vision of an “Alien Dreadnought” factory, an electric car production facility that is so automated, it resembles the extraterrestrial machines depicted in pop culture. Contrary to what critics today would say, Tesla’s hyper-automated factory is actually coming to form — it’s just not where it was initially expected to be.
Elon Musk’s Alien Dreadnought concept was initially intended for the production of the Model 3. Perhaps this is the reason why Musk originally announced an incredibly aggressive timeframe for the all-electric sedan’s ramp. Those who have followed the Tesla story over the past few years would know that the dreadnought did not come to pass. As issues mounted and delays became more prominent in the Model 3 ramp, Tesla and Elon Musk were forced to abandon the idea and instead adopt a manufacturing system that uses machines and people.
The Fremont factory continues to function in this manner until today. Just recently, Tesla critics were discussing how much Tesla is failing since it still maintains its sprung structure-based GF4 line. Others mocked the fact that some Model Y were getting accessories such as floormats installed on the grounds of the Fremont factory. While some criticism is warranted considering that Elon Musk’s Alien Dreadnought factory is yet to pass in its main vehicle plant, one thing is conveniently forgotten by critics: the Fremont factory is not the only Tesla facility that’s producing vehicles today.
Over in China, Tesla’s Gigafactory Shanghai is now back to full operations. And true to its reputation, the facility’s buildout continues to be insanely quick. The production of the Made-in-China Model 3 is already ongoing, with recent reports stating that around 3,000 units of the all-electric sedan are being manufactured every week. The construction of the Phase 2 zone, widely considered to be a facility intended for Model Y production, is also continuing at a rapid pace. Based on the way Gigafactory Shanghai is designed and the way that it’s ramping, it appears that the facility is well on its way towards becoming the first of Elon Musk’s Alien Dreadnought factories.
One thing that may be worth considering is the fact that the Fremont factory was not designed by Tesla. The California-based car factory’s history dates as far back as 1962, when it operated as the General Motors Fremont Assembly site until 1982, when it was closed. The plant was reopened in 1984 as the New United Motor Manufacturing, Inc. (NUMMI) plant, a joint venture between Toyota and General Motors, where it continued to produce vehicles until 2010. Tesla later bought the factory to produce the Model S sedan, a decision that was panned by critics then as an unnecessary expense.
With this in mind, it could be said that Tesla was not able to start with a blank canvas for its electric car production activities in the Fremont factory. The facility was constructed with conventional car making in mind, and Tesla essentially had to adapt its processes to the factory’s layout. Elon Musk’s admitted hubris aside, it would be quite a challenging endeavor to convert an automotive factory that was initially opened in 1962 into a hyper-automated, futuristic electric vehicle manufacturing machine. These challenges do not exist in Gigafactory Shanghai.
For its China-based site, Tesla was able to design a factory that’s optimized from the ground up for EV production. A look at the activities in the Phase 1 building would show that the site has notable similarities with the Fremont factory’s “tent-based” GA4 line, with its straightforward production process and its easy access to supply trucks. In a way, Gigafactory Shanghai’s Phase 1 zone is GA4 on steroids, and it seems to be working very well so far. With Gigafactory 3 now running, and with the facility’s Model Y production site coming to form, Tesla now has another opportunity to pursue Elon Musk’s Alien Dreadnought idea. But this time around, the company will be attempting the concept from a blank slate. And that might make all the difference.
The signs are already there. Recent drone flyovers in the Gigafactory Shanghai site show deep excavations connected to the Phase 1 building’s stamping area. Tesla has not revealed that the area is intended for, though speculations among the electric car community suggest that the location may host the company’s giant casting machine, which is designed to make vehicles easier to produce.
Elon Musk and Tesla have teased that the massive casting machine will be used for the Model Y, but the company may be looking to adopt such a technique for the Made-in-China Model 3 as well. And this is just the tip of the iceberg. Considering that it’s working with a blank canvas in Gigafactory Shanghai, Tesla can explore and develop automated vehicle production processes that would make the facility deserving of Musk’s Alien Dreadnought title.
Ultimately, it may not be too long before Tesla critics would have to swallow yet another bitter pill. Elon Musk’s Alien Dreadnought concept lives on, and while it may not be starting at the Fremont Factory as initially intended, there is very little that could stop the electric car maker from adopting the idea in facilities beyond Gigafactory Shanghai. Gigafactory Berlin will undoubtedly be incredibly automated as well, and there’s a good chance the Cybertruck Gigafactory will be too.
SpaceX (NASDAQ: SPCX) will report its second public earnings call today since its IPO earlier this year, and there are a few things we expect to hear about, as well as Wall Street analysts, who have already outlined their expectations for the call.
Wall Street analysts have a consensus of $12.72 billion in revenue and an earnings per share (EPS) of $0.13. These are broken down into three sectors: Space, Connectivity, and AI/SI, which are perceived in this way:
- Space: $1.41 billion
- Connectivity: $4.84 billion
- AI/SI: $6.47 billion
Other outlets cluster near $12.8 or $12.9 billion in revenue and $0.14 – $0.15 EPS. This implies a roughly 65 percent sequential growth from Q2’s $7.81 billion, driven mostly by AI/SI, with the first post-IPO positive EPS expected.
Here are the three things to watch for on the call:
AI Revenue Ramp and the $100B+ ARR target
AI is truly the swing factor for SpaceX, and analysts expect it to roughly double from Q2’s $2.56 billion and become about half of total revenue. Management previously guided to a $100 billion+ annualized run rate by December, including the Cursor acquisition, which was $60 billion, to close the quarter.
Listen for updates on SpaceX’s compute capacity, especially pertaining to its contracts with Google, Anthropic, and others, revenue per watt, any new deals, and Cursor’s early contribution.
Starlink/Connectivity Metrics and Mobile Expansion
Connectivity remains a main profit engine for SpaceX. Subscriber additions will be something to pay attention to, as Q2 ended at 12 million and previews are looking at 14 million for this quarter. Additionally, ARPU trends, enterprise and government growth, and any commentary on Starlink Mobile will be something to pay attention to, especially following the recent low-band spectrum deal and FCC-related constellation approvals.
Capex Trajectory, Cash Burn/FCF, and Starship/Operational Updates
Q2 capex of roughly $18.4 billion weighed on the stock. Investors will look to scrutinize Q3 spending levels, any guidance on the pace into Q4/2027, free cash flow, backlog, and liquidity. Operational color on Starship (Flight 14 milestones and Flight 15 timing/reusability progress), Falcon cadence, and government/NASA contracts are also in focus.
Of course, there will also be some speculation on the potential Tesla-SpaceX merger, but there was nothing mentioned in the company’s proxy it sent earlier this week.
SpaceX will report earnings after market close today and will stream the call on X.
Watch live as SpaceX discusses our Q3 2026 earnings at 3:30pm CT today → https://t.co/Qrb0qeVG15
— SpaceX (@SpaceX) October 20, 2026
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News
SpaceX just launched its secret Starfall saucer again
SpaceX launched its Starfall capsule again on Bandwagon-5, this time listed openly beside rideshare customers.
SpaceX launched its Starfall reentry capsule for the second time on Tuesday morning, flying it as the payload of the Bandwagon-5 rideshare mission. Falcon 9 lifted off from Space Launch Complex 40 in Florida at 7:04 a.m. ET with 32 payloads, and the first stage booster, on its 19th flight, landed on the droneship A Shortfall of Gravitas about nine minutes later.
Starfall was scheduled to separate last, 2 hours and 48 minutes after liftoff. The final customer satellite on SpaceX’s mission timeline comes off the upper stage about an hour and nine minutes in, which left a long gap before the capsule was due to be released alone. SpaceX later posted that the payload deployment sequence is complete. At liftoff, the company said Starfall “enables affordable, routine access to a microgravity environment, providing unique opportunities for on-orbit manufacturing, scientific research, and testing.”
Starfall enables affordable, routine access to a microgravity environment, providing unique opportunities for on-orbit manufacturing, scientific research, and testing https://t.co/y8kJg3QDor
— SpaceX (@SpaceX) October 20, 2026
As Teslarati reported before the first Starfall flight, SpaceX made no public announcement about the vehicle then, and nearly everything known came from FAA and FCC filings. This time Starfall is an item name on the official mission page, listed beside paying rideshare customers. SpaceX has still not said what, if anything, is aboard this Starfall, Spaceflight Now noted.
The FAA’s environmental assessment from May describes a disk about 10.2 feet wide and 2.5 feet tall that weighs roughly 4,600 pounds and can bring 2,200 pounds of payload back to Earth.
Interestingly, the same rocket also carries a competitor’s hardware. Varda Space Industries launched its W-Series 7 capsule on Bandwagon-5, a spacecraft about three times smaller than Starfall that will test whether microgravity can improve the solubility of a cancer drug called Protac. It is Varda’s ninth reentry capsule, and W-8 and W-9 launched earlier this month on Transporter-18. SpaceX has been Varda’s launch provider since the company’s first Falcon 9 rideshare contract in 2021.
SpaceX has not published where or how this Starfall will come down. The preview we ran in June described a recovery from the Pacific Ocean, and the company has not said whether this flight follows the same plan. The launch also arrives hours before SpaceX posts its third quarter results after the market closes, a report we previewed earlier this week.
Elon Musk
The Boring Company’s latest Tesla tunnel truck mod “fits like a glove”
The Boring Company has modified a Tesla powered tunnel truck to carry freight containers underground.
The Boring Company has found a second job for the Tesla hardware it already runs underground. In a post on X, Elon Musk’s tunneling company showed its latest Prufrock Liner Truck modified to carry a standard 20 foot shipping container. “Using TBC tunnels to transport freight,” the company wrote. “The latest Prufrock Liner Truck (using Tesla Model 3 batteries and drive units) has been modified to carry a standard 20′ shipping container. Fits like a glove!”
The photo shows a red container sitting on a long, low white chassis parked outside, with drive hardware visible at one end. The Boring Company did not say where or when freight hauling would start, which customers it has in mind, or how many trucks it is converting.
Using TBC tunnels to transport freight.
The latest Prufrock Liner Truck (using Tesla Model 3 batteries and drive units) has been modified to carry a standard 20’ shipping container.
Fits like a glove! https://t.co/VV0phWK4fc
— The Boring Company (@boringcompany) October 19, 2026
Until now, the liner trucks have hauled concrete. Teslarati reported in August on Liner Truck 3, which uses Model 3 battery packs and drive units to move more than 22,000 pounds of precast tunnel segments to the boring machine. It has 28 miles of range, tops out at 12 mph, and is piloted remotely from the company’s operations center in Texas. The freight version appears to be the same platform with a different bed, and The Boring Company has not said whether it will also be remotely piloted.
Freight has been on the company’s menu for years. When TBC updated its product lineup in 2021, its freight tunnel was described as sized to fit a standard shipping container, “barely.” The company later used the idea at Tesla’s own factory, where Prufrock 3 dug a tunnel to Giga Texas that now moves finished Cybertrucks away from the production line.
The Boring Company closed a $3 billion Series D in September at a $23 billion valuation, and Teslarati has covered how that money is tied to a UAE tunneling push and a faster Nashville build. In Nashville, Prufrock MB1 and MB2 are mining at the same time, and a third machine is expected to launch in late October. Each machine needs a steady supply of liner trucks, so any design that works for segments and containers alike gives the company more use out of the same Tesla parts.
The Vegas Loop remains the only Boring Company system open to the public, and it moves passengers in Tesla vehicles. A freight service would be a separate product, and the post gave no indication that one is close to launch. For now, it is a truck, a container and a short caption saying they fit together.
SpaceX reports its second earnings today: here’s what to expect
SpaceX just launched its secret Starfall saucer again
The Boring Company’s latest Tesla tunnel truck mod “fits like a glove”
SpaceX reveals how its 1 Million AI satellite network will work and prevent space collisions
Tesla Roadster: Three configs, one can fly, 0-60 in 0.8 seconds
