News
Rocket Lab shares Q2 results results
Rocket Lab’s (NASDAQ: RKLB) Q2 results are out, and the company is looking good following a positive quarter.
The company had 100% mission success with three launches in Q2, including a new type, the suborbital HASTE Electron variant.
While the stock market may not react immediately, Rocket Lab is set for a strong 3rd quarter. The company has signed ten new launches, including 9 Electron launches and 1 HASTE launch. The launches come from returning customers, Black Sky Inc. with 5, Synspective with 2, 1 unconfirmed customer, and one government customer. The HASTE launch is also from an unknown customer.
As for Electron’s future reusability prospects, the company is planning on flying the first flight-proven engine on an Electron launch later this year and the first full booster re-flight in 2024. The most recent Electron that was recovered showed positive results in new waterproofing methods and was recovered from the ocean using a new hoisting method, expediting the process.
Founder and CEO Peter Beck also provided new information regarding Neutron, the company’s new medium-lift rocket currently in the design and testing phases.
As we reported not too long ago, the Neutron design has been slightly modified, Beck mentioned they made the changes a few months ago based on customer feedback and through their testing analysis program. The landing legs are now optimized for barge landings, and the fairing section is being changed from 4 segments to 2 to allow for simpler mechanisms.
The company has completed the stage 2 carbon composite qualification tank, with testing expected to begin in Q3, and completed the cryogenic tank test stand. The company has begun the Earthworks for Launch Complex 3 and is grading the launch pad area ahead of construction.
The carbon composite 2nd stage for Neutron (Credit Rocket Lab)
The engine that will power Neutron, the liquid methane and liquid oxygen-fueled Archimedes engine, has had its first full-scale thrust chamber completed using additive manufacturing. Pre-burner tests have been successful thus far and continue in association with Purdue University. Teams are also conducting simulations with the avionics hardware.
Coming up in Q3, the company looks to begin the test campaign for Archimedes, have the Stage 1 qualification infrastructure completed, and the Stage 2 structural and cryogenic test campaign.
The company also acquired the former Virgin Orbit headquarters and production facility in Long Beach, California. The production site is 144,000 square feet and was acquired for $16.1 million following the Virgin Orbit bankruptcy sale. The company will produce both Electron and Neutron rockets at the facility.
Qualification testing is now underway on their twin Mars spacecraft. The ESCAPADE mission will study Mars’ magnetosphere and is due for launch in late 2024 on a Blue Origin New Glenn rocket. The spacecraft is based on the company’s Photon satellite.
Disclosure: Richard Angle is not an RKLB shareholder.
Questions or comments? Shoot me an email at rangle@teslarati.com, or Tweet me @RDAnglePhoto.
News
Starlink gets its latest airline adoptee for stable and reliable internet access
The company said it plans to “rapidly integrate Starlink into its fleet,” and that the first Starlink-equipped aircraft will enter service this Summer.
SpaceX’s Starlink, the satellite internet program launched by Elon Musk’s company, has gotten its latest airline adoptee, offering stable and reliable internet to passengers.
Southwest Airlines announced on Wednesday that it would enable Starlink on its aircraft, a new strategy that will expand to more than 300 planes by the end of the year.
The company said it plans to “rapidly integrate Starlink into its fleet,” and that the first Starlink-equipped aircraft will enter service this Summer.
Tony Roach, Executive Vice President, Chief Customer and Brand Officer for the airline, said:
“Free WiFi has been a huge hit with our Rapid Rewards Members, and we know our Customers expect seamless connectivity across all their devices when they travel. Starlink delivers that at-home experience in the air, giving Customers the ability to stream their favorite shows from any platform, watch live sports, download music, play games, work, and connect with loved ones from takeoff to landing.”
Southwest also said that this is just one of the latest upgrades it is making to provide a more well-rounded experience to its aircraft. In addition to Starlink, it is updating cabin designs, offering more legroom, and installing in-seat power to all passengers.
Southwest became one of several airlines to cross over to Starlink, as reviews for the internet provider have raved about reliability and speed. Over the past year, Hawaiian Airlines, United Airlines, Alaska Airlines, airBaltic, Air France, JSX, Emirates, British Airways, and others have all decided to install Starlink on their planes.
This has been a major move away from unpredictable and commonly unreliable WiFi offerings on planes. Starlink has been more reliable and has provided more stable connections for those using their travel time for leisure or business.
Jason Fritch, VP of Starlink Enterprise Sales at SpaceX, said:
“We’re thrilled to deliver a connectivity experience to Southwest Airlines and its Customers that really is similar, if not better, than what you can experience in your own home. Starlink is the future of connected travel, making every journey faster, smoother, and infinitely more enjoyable.”
Starlink recently crossed a massive milestone of over 10 million subscribers.
Elon Musk
Tesla nears closure of Full Self-Driving purchasing option
The move to bring FSD to this type of purchasing program comes after CEO Elon Musk noted in January that Tesla would move away from the outright purchase option.
Tesla is nearing the closure of its Full Self-Driving outright purchasing option, which will be removed on February 14, meaning Saturday will be the last time it can be bought as a non-subscription.
Tesla is aiming to move its Full Self-Driving suite to a subscription-only platform, a move that will enable people to only pay monthly for the semi-autonomous driving functionality.
The move to bring FSD to this type of purchasing program comes after CEO Elon Musk noted in January that Tesla would move away from the outright purchase option.
It is currently priced at $8,000 for the outright option to use Full Self-Driving, a substantial decrease compared to the $15,000 it was priced at one time. For the monthly subscription, it is just $99 per month, but that price will change, likely increasing as things get more advanced.
Tesla is overhauling its Full Self-Driving subscription for easier access
We say it will likely increase because there is no indication of how Tesla will price FSD. There has been some speculation that Tesla could utilize a tiered system to price FSD, which would potentially allow owners to pick and choose a set of features that would be most ideal for them.
This would potentially introduce an even more affordable option for FSD use, but this is unconfirmed. The reason many say this could be an option for Tesla is the fact that if the price goes up further, the take rate, which is currently around 12 percent at its most recent estimate, could be lower.
Musk needs 10 million active Full Self-Driving subscriptions to unlock one of the tranches of his newest compensation package.
The move to a subscription-only platform has its positives and negatives, and owners have been more than vocal about these since Musk confirmed the move.
Positives
- Lower barrier to entry and higher potential adoption
- Financially better for many users
- Easier transfers and brand loyalty
- Predictable recurring revenue for Tesla
- Access to the latest features
Negatives
- Higher long-term cost for loyal/long-term owners
- No true “ownership” or permanence
- Risk of future price hikes or even deactivation
- Perceived as of less value
- Impact on resale and used market
Overall, there is a split among the Tesla community in terms of what they see as the “right” way to handle this. Tesla is likely to shed more details on what its plans for the subscription-only platform will be, including pricing, in the coming weeks.
Elon Musk
Elon Musk’s Boring Company selected for Universal Orlando tunnel project
The underground transport tunnel is designed to address the persistent gridlock surrounding International Drive.
Elon Musk’s The Boring Company has been selected for a proposed underground transit system connecting Universal Orlando Resort and the newly opened Universal Epic Universe.
The underground transport tunnel is designed to address the persistent gridlock surrounding International Drive.
As noted in a blooloop report, Universal’s Shingle Creek Transit and Utility Community Development District approved a resolution showing its intent to designate The Boring Company as the contractor for the project.
The agreement covers the full scope of the project, from the tunnel’s design, construction, and maintenance. The project has also been described in public documents as a “point-to-point innovative transportation” initiative with a 25-year agreement.
The proposed Boring Company tunnels would directly link Universal’s existing parks with Epic Universe, which sits roughly three miles away from Universal Orlando Resort. Today, buses are the only direct connection between the two destinations.
Project requirements were quite stringent. Bidders were required to demonstrate at least $75 million in bonding capacity, have a minimum of seven years of operational experience, and show prior delivery of a comparable project valued at $25 million or more within the past 15 years. The Boring Company, thanks in no small part to the Vegas Loop, meets these requirements.
The Orlando selection adds to The Boring Company’s growing portfolio of Loop-style systems. In Las Vegas, the Las Vegas Convention Center Loop has transported more than two million passengers in Tesla vehicles through underground tunnels since 2021. The greater Vegas Loop system is also under construction.
For now, residents in the area seem enthusiastic about the upcoming project. In a comment to Fox35, residents noted that the tunnels could improve traffic in the area.
“We are very congested at certain times and certain hours and that would certainly help with people not having to budget their time,” Mary Walters-Clark, a resident, stated. Another resident, Scott Heinz, echoed similar sentiments. “I think it would be a new opportunity to lessen traffic load and good for visitors as well,” he said.
The tunneling startup has started bringing its Loop projects to international locations. It recently signed a memorandum of understanding with Dubai’s Roads and Transport Authority to explore the development of a 17-kilometer underground Loop network beneath Dubai.