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NASA head calls out SpaceX CEO Elon Musk over Starship event in bizarre statement

SpaceX CEO Elon Musk presented an update on Starship on September 28th. NASA's administrator did not approve. (Teslarati - Eric Ralph)

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Roughly 24 hours before SpaceX CEO Elon Musk was scheduled to present an update on the company’s Starship launch vehicle development, NASA administrator Jim Bridenstine tweeted a bizarre and wholly unprovoked statement on the subject.

Seemingly equating SpaceX’s recent Crew Dragon delays with the distribution of Elon Musk’s public attention, the NASA administrator’s comment was almost universally criticized by the spaceflight community at large – and rightfully so.

https://twitter.com/JimBridenstine/status/1177711106300747777

First, some context. Created in 2010 and first supported with serious funding some 12-24 months later, NASA’s Commercial Crew Program (CCP) exists to replace the astronaut transport capabilities once offered by Space Shuttle and now achieved with contracts for seats on Russian Soyuz launches. Primarily the result of inept bureaucracy in NASA and Congress, the Space Shuttle was “retired” in 2011 in full knowledge that the US would have to rely on Russia to get NASA astronauts to the ISS until 2015 (at the absolute earliest).

Congress shut down multiple 2010 proposals to continue Shuttle flights until the late 2010s, choosing instead to kill the Shuttle and divert its associated funding to the expendable Ares V rocket (now the Space Launch System, SLS) and Orion crew capsule. More on that later...

Retweeted by Bridenstine’s official Twitter account, above is the absolute best-case interpretation of the NASA administrator’s comment. Although Eric Berger means well, the interpretation gives NASA far too much credit. Specifically, Bridenstine (or whoever fed him the statement) went out of his way to make it entirely one-sided in its focus on SpaceX. By all appearances, it would have never been posted if not for Elon Musk’s plans to present on Starship. Bridenstine additionally notes that “Commercial Crew is years behind schedule” and indicates that “NASA expects to see the same level of enthusiasm focused on [its] investments”.

Altogether, it’s simply impossible to interpret it as anything less than Bridenstine scolding SpaceX – and SpaceX alone – for not falling to the floor, kissing NASA’s feet, and pretending that Crew Dragon and Falcon 9 are the only things in existence. Absent from Bridenstine’s criticism was NASA’s other (and even more delay-complicit) Commercial Crew Partner, Boeing, who has yet to complete a pad abort or orbital flight test of its Starliner spacecraft. SpaceX completed Crew Dragon’s pad abort in 2015 and completed a flawless orbital flight test in March 2019.

A render of Boeing’s Starliner spacecraft. (Boeing)
An actual photo of Crew Dragon in orbit. (NASA)

In essence, Bridenstine is publicly implying that SpaceX needs to stop being (or appearing to be) distracted by Starship and focus 100% on Crew Dragon. Boeing was not mentioned, despite being a minimum of six months behind SpaceX and dramatically more ‘distracted’ in the Bridenstine-style interpretation of the word. For reference, Boeing is a publicly-traded company with 150,000 employees, annual revenue of more than $100B, and a market cap of $206B. Boeing has 14 subsidiaries, a handful of which are involved in spaceflight, and has no less than one or two dozen products that are each more fiscally important to shareholders and board members than Starliner.

Compared to Boeing’s annual ~$100B revenue, the entirety of the Starliner development program – from the drawing board in 2010 to crewed, orbital spaceflight sometime in 2020 – is ~$4.8B. On the scale of corporate focus, Starliner has likely been a blip at most in 2019, with the company probably far more focused on the systematic organizational failures that lead to the deaths of hundreds of people in two near-identical 737 MAX crashes. Alas, NASA administrator Jim Bridenstine did not release a statement publicly implying that Boeing needs to devote the “same level of enthusiasm” to Starliner after the second fatal 737 MAX crash in March 2019. Nor did Bridenstine release a statement charging Boeing with a lack of focus after continuous reports of issues with the company’s KC-46 Pegasus tanker program, nor Boeing’s recent $9.2B US Air Force trainer jet contract, or myriad other corporate focuses.

A Boeing Starliner test article prepares for thermal vacuum (TVac) testing in January 2019. Starliner’s uncrewed orbital flight test (OFT) – comparable to Crew Dragon’s March 2019 DM-1 launch – is unlikely to occur until November or December 2019. (NASA)

On the other hand, as Musk noted in his relatively subtle September 28th responses to Bridenstine’s implicitly derisive comment, something like 50-80% of the entirety of SpaceX’s workforce and resources are focused on Crew Dragon, the Falcon 9 rockets that will launch it, or a combination of both. At present, Starship is – at most – a side project, even if its strategic importance to SpaceX is hard to exaggerate. The same is largely true for Starlink, SpaceX’s ambitious internet satellite constellation program. It may be true that Starship will eventually make Crew and Cargo Dragon (as well as Falcon 9 and Falcon Heavy) wholly redundant, but that is likely years away and SpaceX will support NASA – as it is contractually required to – for as long as the space agency has vested interest in using Crew Dragon.

At the same time, NASA has explicitly and publicly chosen to prioritize safety over schedule with the Commercial Crew Program, accepting the possibility of delays and cost overruns to ensure that SpaceX and Boeing can build the safest spacecraft possible.

In a September 28th interview with CNN, Musk bluntly noted that the hardware was – at this point in time – more or less ready for flight and will be on-site at SpaceX’s Pad 39A Florida launch site within the next two months. According to Musk, from then on, any additional launch delays can almost entirely be attributed to the paperwork and reviews NASA must complete before giving SpaceX the go-ahead. If Bridenstine wants SpaceX to launch astronauts sooner, one – and possibly the only – solution is to tackle the roadblocks created by NASA’s own self-enforced red tape. The question, then, is whether Bridenstine wants to cut away red tape that may (or may not) be there for good reason.

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When the pot calls the kettle black

Detached from whining about a contractor’s CEO presenting about a non-NASA program, complaining about Commercial Crew delays is at least slightly more reasonable. Originally intended to launch as early as 2015, Congress systematically underfunded the Commercial Crew Program by more than 50% for over half a decade, dispersing $2.4B of the $5.8B NASA requested from 2011 to 2016. Unsurprisingly, this completely upended Boeing and SpaceX development schedules. By September 2014, SpaceX aimed to have Crew Dragon certified by NASA for astronaut transport before the end of 2017, but even then, NASA already saw that schedule as overly optimistic.

It would be another two years before Congress began to seriously fund Commercial Crew at its requested levels, beginning in FY2016. In response to Bridenstine, former NASA deputy administrator Lori Garver noted that over the ~5 years Congress consistently withheld hundreds of millions of dollars of critical funds from Commercial Crew, NASA’s SLS rocket and Orion spacecraft were just as consistently overfunded above and beyond their budget requests. From 2011 to 2016 alone, SLS and Orion programs requested $11B and received an incredible $16.3B (148%) from Congress, while Commercial Crew requested $5.8B and received $2.4B (41%).

NASA’s SLS rocket seen in its Block 1 configuration with on Orion capsule on top. (NASA)

Ironically, despite literally receiving almost seven times as much funding as Crew Dragon and Starliner, SLS and Orion are arguably just as – if not more – delayed than their commercial brethren. Originally intended to launch an uncrewed test flight in 2017, there is now little to no chance that that mission (known then as EM-1 and now as Artemis-1) will launch before 2022, a delay of roughly half a decade. The cost of the SLS/Orion program recently crested $30B, a figure likely to grow to ~$40B before it has conducted a single launch. Of that funding, approximately a third has gone to Boeing, the primary contractor responsible for NASA’s comically-delayed SLS Core Stage – the orange booster pictured above.

The Commercial Crew development program will likely cost NASA $8B total over 9-10 years and produce two clean-sheet, high-performance, (relatively) low-cost crewed spacecraft. After their demonstration launches are completed, NASA will transition to fixed-price service contracts with SpaceX and Boeing to routinely send astronauts to the ISS several times per year.

Put simply, if Bridenstine actually cared about defending “the investments of the American taxpayer” more than wielding their sanctity as a political weapon, he wouldn’t have folded like a house of cards at the slightest resistance to his attempts to cull SLS/Orion delays and cost overruns, and he certainly wouldn’t be wasting breath complaining about what SpaceX’s CEO is or isn’t talking about.

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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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Elon Musk

Tesla finally clarifies fatal Texas crash, confirms driver manually overrode acceleration

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Credit: CNBC

Tesla has finally clarified the situation regarding the viral crash in Texas where a Model 3 slammed into a home.

CEO Elon Musk replied to reports on Monday that stated the crash was due to the company’s Full Self-Driving or Autopilot suite, which seemed unlikely to those who are familiar with it. Video showed the car slamming into a house at an excessive rate of speed, making it highly unlikely the crash was due to the suite’s operation, as it does not travel at those speeds in residential areas.

Musk said:

“This makes no sense. FSD drives slowly through neighborhood streets, and this was a high-speed crash!”

Tesla’s Head of AI, Ashok Elluswamy, added context, revealing that the company’s data shows the driver “manually overrode self-driving by pressing the accelerator all the way to 100%.”

He revealed the speed reached by the car was 73 MPH, and the accelerator was still pressed “even after the crash.”

Authorities are reportedly investigating “whether Tesla’s Autopilot system played a role after a Model 3 left the roadway…slammed through a brick house at high speed and fatally struck Matha Avila as she sat inside,” the New York Post reported.

The National Highway Traffic Safety Administration (NHTSA) is now investigating the crash. Tesla will work with the agency to provide them with whatever information they need in order to clarify the cause of the crash.

Similarly, Tesla had claims of a fatal accident in Harris County, Texas, a few years ago. Early reports indicated that Full Self-Driving was the cause of the crash. After the National Transportation Safety Board (NTSB) worked with Tesla, the agency proved there was “no use of the Autopilot system at any time during this ownership period of the vehicle, including the time frame up to the last transmitted timestamp on April 17, 2021.”

Tesla alleged “driverless” crash in Texas: What is known so far

“Application of the accelerator pedal was found to be as high as 98.8 percent,” the NTSB said in their findings. The highest recorded speed in the five seconds leading up to the impact was 67 miles per hour. The area where the crash occurred is residential, and Texas State laws have default speed limits of 30 MPH in residential streets.

This appears to be a similar situation. However, an investigation will prove what happened for sure.

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Investor's Corner

SpaceX makes $20 billion move to optimize its balance sheet

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Credit: SpaceX

SpaceX announced today that it commenced its first-ever public bond offering, marking a significant step in the newly public company’s capital markets strategy.

The company announced an offering of senior unsecured notes expected to raise at least $20 billion.

The move comes just a short time after SpaceX completed one of the largest initial public offerings in history. In mid-June, the company priced shares at $135 and raised more than $85 billion, propelling founder Elon Musk’s net worth past the trillion-dollar mark and giving the firm substantial liquidity.

According to the company’s SEC filing, the net proceeds from the notes will be used primarily to repay in full the outstanding borrowings under its existing bridge loan facility, cover related fees and expenses, and fund general corporate purposes. The offering is being conducted under Rule 144A, as well as Regulation S, targeting qualified institutional buyers and non-U.S. investors. Notes will be unsecured obligations ranking equally with other unsubordinated debt.

The $20 billion bridge loan was used to refinance approximately $17.5 billion in higher-cost “junk” debt tied to X and xAI. SpaceX had merged with xAI in February 2026 in an all-stock deal. The bridge facility, which matures in September 2027, had represented the bulk of SpaceX’s long-term debt.

SpaceX officially acquires xAI, merging rockets with AI expertise

In connection with the bond launch, SpaceX disclosed it held approximately $100.8 billion in cash and cash equivalents as of June 19. Investor calls began on the announcement date, with pricing and launch expected shortly thereafter. Rating agencies have assigned investment-grade ratings to the proposed bonds, reflecting confidence in SpaceX’s dominant position in commercial launches and the growth trajectory of its Starlink internet offering.

The debt raise also allows SpaceX to optimize its balance sheet by replacing short-term, higher-cost bridge financing with longer-date, lower-cost fixed-income securities. This provides greater financial flexibility to support capital-intensive initiatives, including the development of Starship, the expansion of the Starlink constellation, and the integration of AI capabilities following the xAI combination.

SpaceX shares (NASDAQ: SPCX) fell sharply on the news, dropping over 16 percent overall on the market on Monday. The stock had surged initially after debuting but pulled back amid profit-taking and broader market dynamics.

Overall, the bond offering underscores SpaceX’s transition to a mature public company with access to diverse funding sources. It positions the firm to pursue its long-term vision of multiplanetary expansion and AI infrastructure, while maintaining a disciplined approach to its capital structure in a high-growth but capital-heavy industry.

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Elon Musk

SpaceX confirms third massive compute deal at Colossus data center

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Credit: xAI Memphis

SpaceX confirmed today that it has officially signed its third massive compute deal, providing compute at its Colossus data center in Southaven, Mississippi.

Reflection AI will gain immediate access to NVIDIA GB300 chips at SpaceX’s Colossus 2 data center. In return, Reflection will pay SpaceX $150 million per month starting on July 1, with total payments reaching approximately $6.3 billion if the contract runs through its duration, which is until 2029. Either party can terminate the agreement with 90 days’ notice after the initial three-month period.

CNBC first reported the deal.

This latest partnership highlights SpaceX’s strategy of commercializing its massive Colossus supercomputing infrastructure, originally developed to power Elon Musk’s Grok AI models. The company has rapidly expanded its customer base in the AI sector following its February 2026 merger with xAI, a transaction that valued the combined entity at $1.25 trillion.

SpaceX has previously signed significant compute deals with other major players.

It granted Anthropic exclusive access to the full capacity of its Colossus 1 data center, which exceeds 300 megawatts and includes over 220,000 NVIDIA GPUs. Details from SpaceX’s IPO filings indicate Anthropic will pay $1.25 billion per month through May 2029, potentially generating around $45 billion over the term of the deal.

Additionally, Google agreed to pay SpaceX $920 million per month for compute capacity from October 2026 through June 2029. This 32-month period will provide Google access to roughly 110,000 NVIDIA GPUs, along with supporting processors and memory. Capacity ramps up through September at a reduced fee, with termination options after the first year.

SpaceXA also established arrangements for computing power with Cursor, an AI coding startup. SpaceX acquired them in a $60 billion all-stock deal.

SpaceX makes first acquisition post-IPO

These arrangements position SpaceX’s collective position as an AI infrastructure powerhouse with high-margin revenue potential. The Google deal alone could generate nearly $29.5 billion over its term, while the Reflection contract adds another $6.3 billion.

Combined with the Anthropic arrangement, SpaceX stands to realize tens of billions in revenue from compute leasing in the coming years, which diversifies beyond SpaceX’s traditional rocket launches and Starlink operation.

The deals underscore growing demand for advanced AI training and inference capacity amid chip shortages and surging model development needs. Reflection, valued at $25 billion and focused on “American open intelligence” with government and national security ties, cited recent restrictions on closed models as validation for open-source approaches.

For SpaceX, the partnerships transform capital-intensive data centers into flexible revenue sources while supporting its broader AI ambitions after the company has gone public.

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