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Relativity Space reveals plans to rapidly upgrade 3D-printed Terran 1 rocket
Relativity Space has announced that it will only launch the first version of its small Terran 1 rocket a handful of times before upgrading the vehicle in ways that will aid work on a much larger, fully reusable rocket.
Relativity co-founder and CEO Tim Ellis revealed the news in a recent interview, explaining that while the original Terran 1 rocket is still an integral part of the company’s vision and success, it will mainly serve as a bridge to the larger and more capable Terran R – a rare rocket with the potential to compete head-to-head with SpaceX’s Falcon 9.
“We’ve always envisioned Terran 1 being a development platform,” stated Ellis in an interview with Ars Technica. The Terran 1 rocket, which is thrust into orbit using nine proprietary Aeon-1 engines is designed to carry payloads into Low Earth Orbit (LEO). The first launch of Terran 1 is anticipated to take place by the end of 2022, with Ellis stating that Relativity is “definitely launching this year.” Terran 1’s first launch won’t carry payloads, indicating its experimental nature, but it will be serving as the startup’s first orbital launch attempt.
Assuming the rocket’s debut is mostly successful, Terran 1’s second mission will carry a “Venture Class Launch Services” small satellite payload for NASA. The third and final mission for the first version of Terran 1 will also carry payloads, though Relativity has yet to reveal its customer(s).
Once completed, Ellis says Relativity will shift its focus away from the Aeon-1 engine setup on Terran 1’s booster. Instead, they will remove the nine Aeon-1 engines from the vehicle and replace them with a single 135-ton-thrust (~300,000 lbf) Aeon-R engine – seven of which will eventually power Terran R’s reusable booster.
When asked why the startup didn’t simply start with the Aeon-R engine, Ellis noted that developing a booster with nine smaller Aeon-1 engines was “definitely not the optimum choice in hindsight to get to orbit as simply and quickly as possible for the Terran 1 program.” He added, “But it’s been part of our plans to do a much larger reusable rocket for a long time. So we chose to do liquid oxygen and liquid methane engines, as well as the nine-engine configuration on Terran 1 so that we could learn as a company how to do something that complex early on before we had to go build this 20,000-kilogram payload-to-orbit vehicle.”
There are many benefits that come from using the single Aeon-R engine on Terran 1, including reduced cost, processes, and more capable rockets. By scaling down the number of engines from nine Aeon-1s to one Aeon-Rs, they are also scaling down the number of turbopumps, which will reduce labor and cost. The Aeon-R engine, seven of which will power the Terran R rocket, will also produce nearly ~300,000 pounds of thrust. This will provide the company with more capable small launch vehicles.
Ultimately, Relativity’s goal is to launch Terran R, a much larger, more powerful, and (in theory) fully-reusable rocket. Ellis stated that both the first and second stages of Terran R will be reusable, potentially allowing the rocket to directly compete with Falcon 9 – and maybe even the company’s fully-reusable Starship. SpaceX’s workhorse rocket has successfully launched 142 times and the company appears to be more confident in it than ever before. In 2022 alone, SpaceX hopes to launch an average of one Falcon rocket per week.
Despite the fact that SpaceX successfully landed its first Falcon booster in 2015 and reused a booster on a commercial launch in 2017, traditional competitors like Arianespace and ULA have done little to respond and continue to develop new rockets – Vulcan Centaur and Ariane 6 – that are fully expendable, substantially more expensive than SpaceX’s offerings, and still without a clear path to reusability. Alongside Blue Origin’s New Glenn vehicle and Rocket Lab’s Neutron, Relativity’s Terran R rocket may actually be able to compete with Falcon 9.
Ellis further revealed that Terran R already has at least one signed customer, with many others expressing interest behind the scenes. Though the company’s official timeline is incredibly ambitious, Relativity says Terran R could launch as early as 2024, giving the company less than three years to develop the giant rocket from scratch.
It is still unclear how either stage of Terran R will be recovered, nor how the rocket will integrate into the already existing launch facilities being built for Terran 1 at the Cape Canaveral Space Force Station’s (CCSFS) LC-16 pad. Nonetheless, Ellis and the entire Relativity team seem determined to deliver on their promises. Ellis didn’t shy away from bold and undeniable claims, either, stating that “we are definitely launching this year.” “I have no doubt about that…at this point, barring an act of nature or something going seriously wrong in stage testing.”
In a major development that will inevitably strengthen Tesla’s dominant position in the American EV market, Polestar has been effectively banned from selling new vehicles in the United States, starting with the 2027 model year.
The U.S. Department of Commerce denied Polestar authorization under the Connected Vehicle Rule, which prohibits vehicles containing certain connected technologies (Cellular, Wi-Fi, Bluetooth, etc.) linked to China or Russia due to national security risks, including potential data collection on American drivers.
🚨 A Tesla competitor goes down
Polestar will no longer sell new vehicles in the United States starting with the 2027 model year.
The U.S. Department of Commerce denied the brand authorization under the Connected Vehicle Rule, which restricts the sale of cars with software and… pic.twitter.com/TrwnQeoiES
— TESLARATI (@Teslarati) June 25, 2026
Polestar, which is majority-owned by China’s Geely Holding, could not obtain the required exemption despite producing some models domestically.
Polestar confirmed it will sell off any remaining inventory of the Polestar 3 and Polestar 4 models, while continuing service and warranty support for existing customers. No new models or major refreshes will reach U.S. buyers, and the company is pivoting its growth strategy to Europe, where it already generates the vast majority of its sales.
The outcome removes a direct premium EV competitor that had positioned itself as a stylish, performance-oriented alternative to Tesla’s lineup. The Polestar 2 challenged the Model 3, while the Polestar 3 and 4 targeted segments overlapping with the Model Y and upcoming Tesla offerings. Polestar’s U.S. sales had already been sluggish amid intense competition and slower demand, representing just 6 percent of its global volume in the first quarter of 2026.
While Polestar was not on Tesla’s level in the U.S., it still places a dent in the evergrowing field of Tesla competitors in the country, where it has long dominated EV sales.
Tesla faces none of these hurdles. As a U.S.-founded and U.S.-headquartered company with major manufacturing in Fremont, Austin, and Nevada, Tesla’s vehicles are built with compliant domestic and allied supply chains. Its Full Self-Driving technology, over-the-air software updates, and vertically integrated ecosystem were developed entirely in-house without foreign ownership entanglements that trigger national security reviews, at least in the U.S.
Of course, it did face a similar threat in China a few years back:
Elon Musk responds to reports of Tesla ban among China’s military over security concerns
The Connected Vehicle Rule, first advanced under the prior administration and upheld under the current one, is part of a broader U.S. effort to protect the domestic auto industry and critical technology from Chinese influence. High tariffs on Chinese-made EVs and related restrictions have already reshaped the market. Tesla benefits directly: it avoids these barriers while continuing to lead in U.S. EV sales volume, Supercharger network expansion, and energy storage integration.
By clearing Polestar from the new-vehicle playing field, the policy reduces competitive pressure in the premium and performance EV segments where Tesla has invested billions. American consumers seeking cutting-edge electric vehicles now have one fewer option tied to foreign adversaries — and one clearer path to the market leader that has driven the EV transition from the start.
For Tesla, this is more than regulatory relief. It is a strategic tailwind that reinforces its position as America’s premier EV innovator at a time when domestic manufacturing and technological independence matter most.
Tesla Cybercab stands to gain from new rules that the Trump Administration is aiming to enforce on autonomous vehicles. On Thursday, NHTSA, under the Trump Administration’s U.S. Department of Transportation, commenced rulemaking on the Federal Motor Vehicle Safety Standards (FMVSS).
This effort aims to eliminate the mandate for manual brake pedals in vehicles that are designed to be driven exclusively by automated driving systems. This would impact the Tesla Cybercab, which the company has stated would operate without a steering wheel or pedals.
Tesla Cybercab launch is imminent after latest sighting at Giga Texas
The Trump Administration is looking to revise FMVSS No. 135, which requires standard braking systems on light-duty vehicles.
Currently, the regulation requires light-duty cars to use traditional manual braking systems that allow operators to slow the vehicle. With the advent of self-driving in the U.S., these regulations need updating, and these are the changes that could come to FMVSS No. 135:
- Removes requirements for hand- or foot-operated brake controls for vehicles designed never to be operated by a human. Existing rules still apply to AVs that retain manual controls.
- All subject vehicles must still meet the same stopping distance performance criteria via alternative testing procedures.
- While this update ensures AVs can physically stop when commanded, NHTSA is separately developing safety performance requirements for AVs in real-world driving scenarios.
- NHTSA will continue to use its broad defect enforcement authority to investigate unsafe ADS behavior and oversee recalls.
As autonomy becomes a greater part of passenger travel, these types of rule adjustments will be more than reasonable. It will give manufacturers the ability to self-certify their vehicles and avoid any red tape that could ultimately delay the deployment of these vehicles.
Administrators are also incredibly excited about the opportunity to play a role in the advancement of self-driving vehicles.
“We are at the cusp of the greatest technological revolution in vehicle technology since the innovation of the Model T,” NHTSA Administrator Jonathan Morrison said. “If we want America to lead the way, we have to reimagine our regulatory framework. That’s why under Secretary Sean Duffy’s AV Framework, NHTSA is tearing down pointless barriers to innovative designs while strengthening the fundamental safety requirements that matter and holding AV developers accountable for safe performance.”
The Cybercab entered mass production at Gigafactory Texas in April. Tesla ultimately plans to push the vehicle into its Robotaxi fleet, potentially when frameworks like these are established.
Tesla plans to boost production at its Gigafactory Berlin plant in Germany following a sharp rebound in sales and demand in Europe after a softer 2025.
The plans put Tesla in a better position to compete with strengthening companies in Europe and potentially other markets; demand indicators show Tesla is much better off than in 2025.
Last year was a tough year for Tesla in terms of overall demand in Europe. The company produced over 200,000 vehicles at the German plant last year, a soft figure compared to the 375,000 vehicles Tesla lists as its current capacity at the factory.
🚨 Tesla said this morning it will ramp up production at Gigafactory Berlin to a volume of 7,500 vehicles per week.
This is a 20 percent boost in production. Tesla will hire 1,000 new employees to help with the increase.$TSLA pic.twitter.com/kravKfRO5n
— TESLARATI (@Teslarati) June 25, 2026
Tesla’s overall European sales dropped significantly last year due to a variety of factors. However, sales are rebounding, and demand is strong once again, and only getting stronger. Tesla is now planning to bump production of Model Y vehicles at Giga Berlin upward by about 20 percent. It will also bring 1,000 new jobs to the plant.
Tesla confirmed the details of its planned production expansion in Germany this morning. It is a strategy to keep up with strengthening demand.
In Q1, Tesla saw a record 61,000 vehicles produced at Giga Berlin. European registrations rebounded sharply, with Model Y seeing 117 percent increases in March 2026 compared to last year. Germany alone saw stark increases, with a quadrupling in registrations to 9,252 units.
This trend continued in other key European markets, including France, Denmark and Sweden. Tesla registrations were up over 46 percent in some of these markets, and Model Y continued its trend as a top BEV in the market.
Demand has been recovering strongly in 2026, giving Tesla a reason to expand production efforts at the factory. These increases signal management’s confidence in sustained or growing European pull for Berlin-built vehicles.
One of Tesla’s biggest threats just got banned in the U.S.
Tesla Cybercab stands to gain from new Trump autonomy rules
