Connect with us

News

US Air Force awards SpaceX $20m contract to support its biggest spy satellites

Published

on

Slipping beneath the watchful eye of many skilled defense journalists, the government contracting database FPDS.gov indicates that the US Air Force awarded SpaceX more than $20 million in November 2017 to conduct a design study of vertical integration capabilities (VIC). Describing what exactly this means first requires some background.

Vertical whaaaat?

The flood of acronyms and technical terminology that often follow activities of the Federal government should not detract from the significance of this contract award. First and foremost, what exactly is “vertical integration” and why is significant for SpaceX? Not to be confused with more abstract descriptions of corporate organization (vertical integration describes one such style), integration here describes the literal process of attaching satellite and spacecraft payloads to the rockets tasked with ferrying them to orbit.

Likely as a result of its relative simplicity, SpaceX has used a system of horizontal integration for as long as they have been in the business of launching rockets, be it Falcon 1, Falcon 9, or Falcon Heavy. In order to integrate payloads to the rocket horizontally, SpaceX has a number of horizontal integration facilities (HIF) directly beside each of their three launch pads – two in Florida, one in California. After being transported from the company’s Hawthorne, CA rocket factory, Falcon 9 and Heavy boosters, second stages, payload fairings, and other miscellaneous components are all brought into a HIF, where they are craned off of their transporters (a semi-trailer in most cases) and placed on horizontal stands inside the building.

While in the HIF, all three main components are eventually attached together (integrated). The booster or first stage (S1) has its landing legs and grid fins installed soon after arrival at the launch site, followed by the mating of the first and second stages. Once these two primary components of the rocket are attached, the entire stack – as the mated vehicle is called – is once again lifted up by cranes inside the facility and placed atop what SpaceX calls the strongback (also known as the Transporter/Launcher/Erector, or TEL). A truly massive steel structure, the TEL is tasked with carrying the rocket to the launch pad, typically a short quarter mile trek from the integration facility. Once it reaches the pad, the TEL uses a powerful hydraulic lift system to rotate itself and its rocket payload from horizontal to vertical. It may look underwhelming, but it serves to remember that a complete Falcon 9/Heavy and its TEL are both considerably more than twice as tall as a basketball court is long.

Once at the pad, the TEL serves as the rocket’s connection to the pad’s many different ground systems. Crucially, it is tasked with loading the rocket with at least four different fuels, fluids, and gases at a broad range of temperatures, as well as holding the rocket down with giant clamps at its base, providing connection points to transmit a flood of data back to SpaceX launch control. SpaceX’s relatively unique TEL technology is to some extent the foundation of the company’s horizontal integration capabilities – such a practice would be impossible without reliable systems and methods that allow the rocket to be easily transported about and connected to pad systems.

Still, after the Amos-6 mishap in September 2016, which saw a customer’s payload entirely destroyed by a launch vehicle anomaly ahead of a static fire test, SpaceX has since changed their procedures, and now conducts those static fire tests with just the first and second stages – the payload is no longer attached until after the test is completed. For such a significant decrease in risk, the tradeoff of an additional day or so of work is minimal to SpaceX and its customers. Once completed, the rocket is brought horizontal and rolled back into the HIF, where the rocket’s payload fairing is finally attached to the vehicle while technicians ensure that the rocket is in good health after a routine test-ignition of its first stage engines.

Before being connected to the rocket, the payload itself must also go through its own integration process. Recently demonstrated by a flurry of SpaceX images of Falcon Heavy and its Roadster payload, this involves attaching the payload to a payload adapter, tasked with both securing the payload and fairing to the launch vehicle. Thankfully, the fairing is far smaller than the rocket itself, and this means it can be vertically integrated with the payload and adapter. The final act of joining and bolting together the two fairing halves is known as encapsulation – at which point the payload is now snug inside the fairing and ready for launch. Finally, the integrated payload and fairing are lifted up by cranes, rotated horizontally, and connected to the top of the rocket’s second stage, marking the completion of the integration process.

A different way to integrate

Here lies the point at which the Air Force’s $20m contract with SpaceX comes into play. As a result of certain (highly classified) aspects of some of the largest military satellites, the Department of Defense (DoD) and National Reconnaissance Office (NRO) prefer or sometimes outright require that their payloads remain vertical while being attached to a given rocket. The United Launch Alliance (ULA), SpaceX’s only competition for military launches, almost exclusively utilizes vertical integration for all of their launches, signified by the immense buildings (often themselves capable of rolling on tracks) present at their launch pads. SpaceX has no such capability, at present, and this means that they are effectively prevented from competing for certain military launch contracts – contracts that are often the most demanding and thus lucrative.

Advertisement
-->

It’s clear that the Air Force itself is the main impetus pushing SpaceX to develop vertical integration capabilities, a reasonable continuation of the military’s general desire for assured access to orbit in the event of a vehicle failure grounding flights for the indefinite future. For example, if ULA or SpaceX were to suffer a failure and be forced to ground their rockets for months while investigating the incident, the DoD could choose to transfer time-sensitive payload(s) to the unaffected company for the time being. With vertical integration, this rationale could extend to all military satellites, not simply those that support horizontal integration.

Fittingly, the ability to vertically integrate satellites is likely a necessity if SpaceX hopes to derive the greatest possible value from its recently and successfully introduced Falcon Heavy rocket, a highly capable vehicle that the government is likely very interested in. Although the specific Air Force contract blandly labels it a “Design Study,” (FPDS.gov account required) its hefty $21 million award may well be far more money than SpaceX needs to design a solution. In fact, knowing SpaceX’s famous ability to develop and operate technologies with exceptional cost efficiency, it would not be shocking to discover that the intrepid launch company has accepted the design study grant and instead jumped head-first into prototyping, if not the construction of an operational solution. More likely than not, SpaceX would choose to take advantage of the fixed tower (known as the Fixed Service Structure, FSS) currently present at Pad 39A, atop which a crane and work platforms could presumably be attached

Intriguingly, it is a real possibility that Fairing 2.0 – its first launch scheduled to occur as early as Feb. 21 – could have been upgraded in part to support present and future needs of the Department of Defense, among numerous other benefits. Fairing 2.0’s larger size may have even been precipitated by physical requirements for competing for and dealing with the largest spysats operating by the DoD and NRO, although CEO Elon Musk’s characterization of that change as a “slightly larger diameter” could suggest otherwise. On the other hand, Musk’s offhand mention of the possibility of significantly lengthening the payload fairing is likely aimed directly at government customers in both the civil and military spheres of space utilization. Time will tell, and it certainly will not hurt SpaceX or its customers if Fairing 2.0 is also considerably easier to recover and reuse.

Advertisement
-->

Ultimately, it should come as no surprise that SpaceX would attempt to leverage this contract and the DoD’s interest in ways that might also facilitate the development of the company’s futuristic BFR rocket, intended to eventually take humans to the Moon, Mars, and beyond. As shown by both 2016 and 2017 iterations of the vehicle, it appears that SpaceX intends to use vertical integration to attach the spaceship (BFS) to the booster (BFR). While it’s unlikely that this Air Force contract will result in the creation of a vertical integration system that could immediately be applied to or replicated for BFS testing, the experience SpaceX would gain in the process of building something similar for the Air Force would be invaluable and essentially kill two birds with one stone.

While now outdated, SpaceX’s 2016 Mars rocket featured a giant crane used for vertical integration. BFR appears to use the same approach. (SpaceX)

Follow along live as I and launch photographers Tom Cross and Pauline Acalin cover these exciting proceedings live and in person.

Teslarati   –   Instagram Twitter

Tom CrossTwitter

Pauline Acalin  Twitter

Eric Ralph Twitter

Advertisement
-->

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.

Advertisement
Comments

News

Tesla officially publishes Q4 2025 vehicle delivery consensus

By releasing these numbers directly, Tesla establishes a clear, transparent benchmark ahead of its actual results.

Published

on

Credit: Tesla

Tesla has taken the rather unusual step of officially publishing its company-compiled Q4 2025 delivery consensus on the Investor Relations site. As per analyst estimates, Tesla is expected to deliver 422,850 vehicles and deploy 13.4 GWh of battery storage systems this Q4 2025. 

By releasing these numbers directly, Tesla establishes a clear, transparent benchmark ahead of its actual results, making it harder for narratives to claim a “miss” based on outlier estimates.

Official consensus sets the record straight

Tesla’s IR press release detailed the consensus from 20 analysts for vehicle deliveries and 16 analysts for energy deployments. As per the release, full-year 2025 consensus delivery estimates come in at 1,640,752 vehicles, an 8.3% decline from 2025’s FY deliveries of 1,789,226 cars. 

Tesla noted that while it “does not endorse any information, recommendations or conclusions made by the analysts,” its press release does provide a notable reference point. Analysts contributing to the company compiled consensus include Daiwa, DB, Wedbush, Oppenheimer, Canaccord, Baird, Wolfe, Exane, Goldman Sachs, RBC, Evercore ISI, Barclays, Wells Fargo, Morgan Stanley, UBS, Jefferies, Needham, HSBC, Cantor Fitzgerald, and William Blair.

Credit: Tesla Investor Relations

Tesla’s busy Q4 2025

Tesla seems to be pushing hard to deliver as many vehicles as possible before the end of 2025, despite the company’s future seemingly being determined not by vehicle deliveries, but FSD and Optimus’ rollout and ramp. Still, reports from countries such as China are optimistic, with posts on social media hinting that Tesla’s delivery centers in the country are appearing packed as the final weeks of 2025 unfold.

The Tesla Model Y and Model 3 are also still performing well in China’s premium EV segment. Based on data from January to November, the Model Y took China’s number one spot in the RMB 200,000-RMB 300,000 segment for electric vehicles, selling 359,463 units. The Model 3 sedan took third place, selling 172,392. This is quite impressive considering that both the Model Y and Model 3 command a premium compared to their domestic rivals. 

Advertisement
-->
Continue Reading

Elon Musk

Tesla’s Elon Musk accepts invitation to Israel’s Smart Transportation Conference

The announcement was shared by the Israeli Prime Minister in a post on social media platform X. 

Published

on

Gage Skidmore, CC BY-SA 4.0 , via Wikimedia Commons

Elon Musk has reportedly accepted an invitation from Israeli Prime Minister Benjamin Netanyahu to participate in the country’s Smart Transportation Conference in March 2026. 

The announcement was shared by the Israeli Prime Minister in a post on social media platform X. 

A call and an invitation

Netanyahu posted on X about Musk, stating in Hebrew: “Last night, I held a joint conference call from Florida with entrepreneur Elon Musk, Minister of Transportation Miri Regev, and the head of the National AI Headquarters, Erez Askal. In the framework of the conversation, Musk responded to my invitation and Minister Regev’s invitation to participate in the Smart Transportation Conference that will be held in March.”

Netanyahu added that he and Musk discussed continuing initiatives such as the promotion of autonomous vehicle laws and the boosting of AI technologies in Israel. This, according to the Prime Minister, is aimed at making the country a global leader in emerging technologies.

“Additionally, we discussed the continuation of collaborations with Tesla and the promotion of the law pertaining to autonomous vehicles. I spoke at length with Musk about promoting and developing artificial intelligence technologies in Israel, and I said in our conversation: We intend to catapult Israel and turn it into a global leader in the field, just as we did in cyber and other technologies,” Netanyahu added.

Advertisement
-->

Tesla FSD’s upcoming rollout in Israel

Elon Musk’s upcoming conference appearance in Israel could hint at Tesla’s upcoming rollout of FSD and its Robotaxi service in the country. Previous reports have hinted that FSD is nearing regulatory approval in Israel, following strong advocacy from local owners and direct intervention from the government. 

Nearly 1,000 Tesla drivers petitioned authorities, highlighting FSD’s potential to enhance road safety. Transport and Road Safety Minister Miri Regev responded positively on X, writing “I’ve received the many referrals from Tesla drivers in Israel! Tesla drivers? Soon you won’t need to hold the steering wheel.”

Minister Regev has instructed the ministry’s Director-General to accelerate the approval process, including necessary tests. A dedicated working group, led by Moshe Ben-Zaken, is also coordinating with regulatory and safety agencies to meet international standards.

Continue Reading

News

Tesla China delivery centers look packed as 2025 comes to a close

Needless to say, it appears that Tesla China seems intent on ending 2025 on a strong note.

Published

on

Credit: @Tslachan/X

Tesla’s delivery centers in China seem to be absolutely packed as the final days of 2025 wind down, with photos on social media showing delivery locations being filled wall-to-wall with vehicles waiting for their new owners. 

Needless to say, it appears that Tesla China seems intent on ending 2025 on a strong note.

Full delivery center hints at year-end demand surge

A recent image from a Chinese delivery center posted by industry watcher @Tslachan on X revealed rows upon rows of freshly prepared Model Y and Model 3 units, some of which were adorned with red bows and teddy bears. Some customers also seem to be looking over their vehicles with Tesla delivery staff. 

The images hint at a strong year-end push to clear inventory and deliver as many vehicles as possible. Interestingly enough, several Model Y L vehicles could be seen in the photos, hinting at the demand for the extended wheelbase-six seat variant of the best-selling all-electric crossover. 

Strong demand in China

Consumer demand for the Model Y and Model 3 in China seems to be quite notable. This could be inferred from the estimated delivery dates for the Model 3 and Model Y, which have been extended to February 2026 for several variants. Apart from this, the Model Y and Model 3 also continue to rank well in China’s premium EV segment

Advertisement
-->

From January to November alone, the Model Y took China’s number one spot in the RMB 200,000-RMB 300,000 segment for electric vehicles, selling 359,463 units. The Model 3 sedan took third place, selling 172,392. This is quite impressive considering that both the Model Y and Model 3 are still priced at a premium compared to some of their rivals, such as the Xiaomi SU7 and YU7. 

With delivery centers in December being quite busy, it does seem like Tesla China will end the year on a strong note once more. 

Continue Reading