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Relativity’s first 3D-printed rocket aims to debut a new rocket fuel
Relativity can almost taste the vacuum of space. A substantial amount of work remains, but the startup continues to defy expectations with its relentless and methodical push towards the first orbital launch of a 3D-printed rocket.
Founded in 2015, the Los Angeles-based aerospace company has taken its few years of obligatory delays in stride while pursuing a 2020 debut for its (relatively) small Terran 1 rocket. In a world with dozens of serious rocket startups, missing one’s initial launch target is practically a rite of passage – the path to orbit is never as straight and bump-free as the highway on-ramps that are often promised in pitch decks. Relativity Space, however, is no average rocket startup.
Save for SpaceX, which operates in a league of its own, no other private rocket startup has come close to matching the $1.3 billion Relativity has raised to develop Terran 1 and the much larger Terran R. More importantly, in a recent interview with Aviation Week, CEO Tim Ellis (a former Blue Origin engineer) revealed that the company could be “weeks away” from the first launch of Terran 1, a rocket that is 85% 3D-printed by mass and could simultaneously debut a new kind of rocket fuel.
Once fully assembled, Terran 1 – weighing around 9.3 tons (~20,500 lb) empty and measuring 33.5 meters (110 ft) tall – will be the largest metal 3D-printed object in the history of the technology. From that perspective, it’s hardly surprising that Relativity Space is a few years behind schedule. In fact, it’s odd that the startup isn’t more delayed, and it’s even more impressive that Terran 1’s first launch campaign has gone as smoothly as it has.
Slow, Smooth and Fast
Terran 1 Flight 1’s booster stage and upper stage both arrived at the company’s leased Cape Canaveral Space Force Station LC-16 pad sometime in May 2022. Terran 1’s first stage came directly from the California factory. The second stage (S2), however, first shipped to a Mississippi test stand a few months prior and, on its first try, completed a full-duration multi-minute static fire test known as a mission duty cycle (MDC) – about as close as it’s possible to get to replicating orbital upper stage operations on the ground. The flawless MDC was preceded by a number of simpler precursor tests, of course, but the rocket performed more or less as expected throughout the entire qualification program. If Terran’s second stage ignites again, it’ll be at the edge of space.
Since June, the critical path for Terran 1’s launch debut has thus been qualifying the first finished Terran booster. Rather than modify its Mississippi test facilities, Relativity decided to temporarily modify its heavily upgraded LC-16 pad to support booster qualification testing. Thanks to the heroic work of a shockingly small team of five people, the pad was ready to kick off testing as soon as the Terran 1 booster arrived in Florida. Even more surprisingly, senior manager Lorenzo Locante says that LC-16 – practically a new pad after Relativity’s extensive modifications – has “performed perfectly” during every booster qualification test attempted thus far.
That testing has included pneumatic proofing (an ambient-temperature gas pressure test), possible cryogenic proof tests, multiple rounds of propellant loading, preignition testing of its nine Aeon engines, and multiple spin-start tests (the last step before static fire testing) with the same engines. Given that LC-16 and Terran 1 must handle cryogenic oxidizer (liquid oxygen) and cryogenic fuel (liquid methane), which can easily create a flammable and bomb-like mixture of gases from even the smallest of leaks, it’s difficult to emphasize just how difficult it is to ensure that a complex launch pad and rocket perform nominally during their first joint testing.
According to engineers onsite during a private Teslarati tour of Relativity’s Florida launch facilities, Terran 1 S1’s next goal is to fully ignite its Aeon engines. After one or more successful static fires, the booster will be integrated with the upper stage and nosecone for a final full-duration static fire test that will also double as a full wet dress rehearsal (WDR). Testing the fully-integrated Terran 1 rocket will only be possible once LC-16’s full strongback and launch mount (also known as a transporter/erector) is completed, but that final piece of the puzzle should be ready any day now.
De Terra Ad Astra
The coming weeks will likely be some of the company’s riskiest and most difficult yet. If the rocket and LC-16 continue to operate as smoothly as they have been, however, there’s a nonzero chance that Terran 1 could beat the likes of SpaceX (Starship), Blue Origin (New Glenn), and the United Launch Alliance (Vulcan Centaur) to the punch to become the first methane and oxygen-fueled rocket in history to attempt an orbital launch.*
*While SpaceX’s Starship is technically the first large-scale suborbital methalox rocket to attempt (and complete) a launch, there has never been an orbital methalox launch attempt.
Capable of carrying up to 1.25 tons (~2750 lb) to low Earth orbit for as little as $12 million, Terran 1 also has a shot at becoming the first new privately-developed 1-ton-class rocket of any kind to successfully reach orbit. On that front, though, Relativity is in a neck-and-neck race with Firefly Aerospace and ABL Space, both of which intend to launch similarly-sized rockets at some point in the next few months. It’s never been less clear who will cross the finish line first but one would be hard-pressed to count Relativity out.
Elon Musk
SpaceX to launch military missile tracking satellites through new Space Force contract
SpaceX wins a $178.5M Space Force contract to launch missile tracking satellites starting in 2027.
The U.S. Space Force awarded SpaceX a $178.5 million task order on April 1, 2026 to launch missile tracking satellites for the Space Development Agency. The contract, designated SDA-4, covers two Falcon 9 launches beginning in Q3 2027, one from Cape Canaveral Space Force Station in Florida and one from Vandenberg Space Force Base in California. The satellites, built by Sierra Space, are designed to bolster the nation’s ability to detect and track missile threats from orbit.
The award falls under the National Security Space Launch Phase 3 Lane 1 program, which Space Force uses to move payloads to orbit on faster timelines and at more competitive prices. “Our Lane 1 contract affords us the flexibility to deliver satellites for our customers, like SDA, more easily and faster than ever before to all the orbits our satellites need to reach,” said Col. Matt Flahive, SSC’s system program director for Launch Acquisition, in the official press release.
SpaceX is quietly becoming the U.S. Military’s only reliable rocket
The SDA-4 contract is the latest in a long string of national security wins for SpaceX. As Teslarati reported last month, the Space Force recently shifted a GPS III satellite launch from ULA’s Vulcan rocket to SpaceX’s Falcon 9 after a significant Vulcan booster anomaly grounded ULA’s military missions indefinitely. That move made it four consecutive GPS III satellites transferred to SpaceX after contracts were originally awarded to its competitor.
This didn’t come without a fight and dates back years. SpaceX originally had to sue the Air Force in 2014 for the right to compete for national security launches, at a time when United Launch Alliance held a near monopoly on the market. Since then, the company has steadily displaced ULA as the dominant provider, and last year the Space Force confirmed SpaceX would handle approximately 60 percent of all Phase 3 launches through 2032, worth close to $6 billion.
With missile defense satellites now part of its launch manifest alongside GPS, communications, and reconnaissance payloads, SpaceX is giving hungry investors something to chew on before its imminent IPO.
Elon Musk
Tesla’s Q1 delivery figures show Elon Musk was right
On the surface, the numbers reflect a mature EV market facing competition, softening demand, and the loss of certain incentives. Yet they also quietly validate a prediction Elon Musk has repeated for years: Tesla’s traditional auto business is becoming far less central to the company’s future.
Tesla reported its Q1 delivery figures on Thursday, and the figures — solid but unspectacular — show that CEO Elon Musk was right about what the company’s most important production and division would be.
We are seeing that shift occur in real time.
Tesla delivered 358,023 vehicles in the first quarter of 2026, according to the company’s official report released April 2.
The figure represents modest year-over-year growth of roughly 6 percent from Q1 2025’s 336,681 deliveries but a sharp sequential drop from Q4 2025’s 418,227. Production reached 408,386 vehicles, while energy storage deployments hit 8.8 GWh.
On the surface, the numbers reflect a mature EV market facing competition, softening demand, and the loss of certain incentives. Yet they also quietly validate a prediction Elon Musk has repeated for years: Tesla’s traditional auto business is becoming far less central to the company’s future.
Musk has long argued that vehicles alone will not define Tesla’s value.
Optimus Will Be Tesla’s Big Thing
In September 2025, Musk stated bluntly on X that “~80% of Tesla’s value will be Optimus,” the company’s humanoid robot.
He has described Optimus as potentially “more significant than the vehicle business over time.” Those comments were not abstract futurism. In January 2026, during the Q4 2025 earnings call, Musk announced the end of Model S and X production, framing it as an “honorable discharge,” he called it.
Those are the biggest factors.
~80% of Tesla’s value will be Optimus.
— Elon Musk (@elonmusk) September 1, 2025
The Fremont factory space, once dedicated to those flagship sedans, is being converted into an Optimus manufacturing line, with a long-term target of one million robots per year from that single facility alone.
The Q1 2026 numbers arrive at precisely the moment this strategic pivot is accelerating. Model 3 and Y deliveries totaled 341,893 units, while “other models” (including Cybertruck, Semi, and the final wave of S/X) added 16,130.
Growth is no longer explosive because Tesla is no longer chasing volume at all costs. Instead, the company is reallocating capital and factory floor space toward autonomy, energy storage, and robotics, businesses Musk believes will command far higher margins and enterprise value than incremental car sales.
Delivery Hits and Misses are Becoming Less Important
Wall Street’s pre-release consensus had pegged deliveries near 365,000. Coming in below that estimate might have rattled investors focused solely on automotive metrics. Yet Musk’s thesis has never been about maximizing quarterly vehicle shipments.
Tesla, he has insisted, “has never been valued strictly as a car company.”
The modest Q1 auto performance, paired with the deliberate wind-down of legacy programs and the ramp of Optimus, underscores that point. While EV demand stabilizes, Tesla is building the infrastructure for Robotaxis and humanoid robots that could dwarf today’s car business.
The future is here, and it is happening. It’s funny to think about how quickly Tesla was able to disrupt the traditional automotive business and force many car companies to show their hand. But just as fast as Tesla disrupted that, it is now moving to disrupt its own operation.
Cars, once the only recognizable and widely-known division of Tesla, is now becoming a background effort, slowly being overtaken by the company’s ambitions to dominate AI, autonomy, and robotics for years to come.
Critics may still view the shift as risky or premature. But the Q1 figures, solid but unspectacular in the auto segment, illustrate exactly what Musk has been signaling: the era when Tesla’s valuation rose and fell with every Model Y delivery is ending.
The company’s long-term bet is on AI-driven products that turn vehicles into high-margin robotaxis and factories into robot foundries. Thursday’s delivery report did not just meet the market’s tempered expectations; it proved Elon Musk was right all along.
The car business, once everything, is quietly becoming an important piece of a much larger puzzle.
Investor's Corner
Tesla reports Q1 deliveries, missing expectations slightly
The figure, however, fell short of Wall Street’s consensus estimate of 365,645 units, reflecting ongoing headwinds in the global EV market.
Tesla reported deliveries for the first quarter of 2026 today, missing expectations set by Wall Street analysts slightly as the company aims to have a massive year in terms of sales, along with other projects.
Tesla delivered 358,023 vehicles in the first quarter of 2026, marking a 6.3 percent increase from 336,681 vehicles in Q1 2025.
The figure, however, fell short of Wall Street’s consensus estimate of 365,645 units, reflecting ongoing headwinds in the global EV market. Production reached approximately 362,000 vehicles, with Model 3 and Model Y accounting for the vast majority. The results come as Tesla navigates softening demand, intensifying competition in China and Europe, and the expiration of key U.S. federal tax incentives.
🚨 BREAKING: Tesla delivered 358,023 vehicles in Q1 2026
Tesla also reported record energy deployments of 8.8 GWh
Wall Street had delivery consensus estimates of 365,645 pic.twitter.com/EVNAu5L3UT
— TESLARATI (@Teslarati) April 2, 2026
Energy storage deployments provided a bright spot, hitting a record 8.8 GWh in Q1. This underscores the accelerating momentum in Tesla’s energy segment, which has become a critical growth driver even as automotive volumes stabilize.
Year-over-year, the energy business continues to outpace vehicle sales, with analysts noting strong backlog demand for Megapack systems amid rising grid-scale needs for renewables and AI data centers.
Looking ahead, analysts project full-year 2026 vehicle deliveries in the range of 1.69 million units—a modest 3-5% rise from roughly 1.64 million in 2025.
Growth is expected to accelerate in the second half as production ramps and new incentives emerge in select markets. However, risks remain: persistent high interest rates, price competition from legacy automakers and Chinese EV makers, and potential margin pressure could cap upside.
Tesla has not issued official full-year guidance, but executives have signaled confidence in sequential quarterly improvements driven by cost reductions and refreshed lineups.
By the end of 2026, Tesla plans several major product launches to reignite momentum. The refreshed Model Y, including a new 7-seater variant already rolling out in select markets, is expected to boost family-oriented sales with updated styling, efficiency gains, and interior enhancements.
Autonomous ambitions remain central to Tesla’s mission, and that’s where the vast majority of the attention has been put. Volume production of the Cybercab (Robotaxi) is targeted to begin ramping in 2026, potentially unlocking new revenue streams through unsupervised Full Self-Driving (FSD) deployment.
A next-generation affordable EV platform, possibly under $30,000, is also in advanced planning stages for 2026 or 2027 introduction. On the energy front, the Megapack 3 and larger Megablock systems will drive further deployment scale.
While Q1 highlights transitional challenges in autos, Tesla’s diversified roadmap, spanning refreshed consumer vehicles, commercial trucks, Robotaxis, and explosive energy growth, positions the company for a stronger second half and beyond. Investors will watch Q2 closely for signs of sustained recovery, especially with new vehicles potentially on the horizon.
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