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SpaceX is turning oil rigs into floating Starship spaceports named after Mars’ moons

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Update: Responsible for initially connecting Phobos and Deimos to SpaceX, NASASpaceflight has all the details in a new article published earlier today. Check out their coverage for more information and some excellent photos – from the ground and the air – of one of the newest additions to SpaceX’s seagoing fleet.

Six months after CEO Elon Musk revealed that “SpaceX is building floating, superheavy-class spaceports” for its next-generation Starship rocket, the company has already purchased and begun converting at least two retired oil rigs.

In a rapid-fire series of investigations spurred by recent photos and suspicions published by photographer Jack Beyer, it was quickly determined that an oil rig mothballed for years in Port of Brownsville and a twin ship in nearby Galveston were purchased by “an undisclosed buyer” for ~$7 million in July 2020. Weeks later, owner Valaris (formerly EnscoRowan) officially filed for bankruptcy, explaining the sale of multiple half-billion-dollar assets for scrap prices.

An offshore drilling contractor and owner of one the largest fleets of oil and gas drilling rigs in the world, ENSCO built seven 8500-series deep-water, semi-submersible oil rigs in the late 2000s and early 2010s. ENSCO 8506, the last in the series, was built for an incredible $560 million from 2008 to 2012. Thanks to the crashing oil and gas market, SpaceX is now the proud owner of 8500 and 8501 – the first two ships in the series – for a mere $7 million.

It was quickly determined by NASASpaceflight reporter Michael Baylor that shell company Lone Star Mineral Development purchased the rigs. In the tweet’s replies, another user discovered that the LLC was directly connected to SpaceX CFO Bret Johnsen, indisputably confirming that SpaceX was the new owner of both oil rigs.

In its first act as owner, SpaceX fittingly renamed the rigs Deimos (8500) and Phobos (8501). While subverting the SpaceX norm of naming rocket landing platforms after starships from science fiction author Iain Banks’ Culture universe, the moons of Mars are a more than fitting alternative given the company’s intense focus on building a sustainable city on the planet.

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Measuring just 15 miles in diameter, Phobos is pictured on the edge of Mars’ limb in 2007. (ESA/Mars Express)
Starship’s primary purpose is to enable the sustainable human exploration and settlement of Mars. (SpaceX)

The purpose of the newest additions to SpaceX’s fleet is both simple and unclear. While the company is currently hard at work building out a land-based launch complex for orbital Starship-Super Heavy launches, vast floating launch and landing platforms have also featured in SpaceX’s official artist concepts of the rocket for the last several years. At first centered on enabling suborbital airline-style Starship flights to and from coastal cities, where sea-based platforms would be a necessity to avoid domestic regulations and extreme noise pollution, Musk ultimately positioned sea-launch as a viable alternative or complement to any and all land-based Starship launch operations.

Most recently, in June 2020, the CEO stated that SpaceX “is building floating, superheavy-class spaceports for Mars, Moon, & hypersonic travel around Earth.” Now, with work already clearly underway to convert at least two oil rigs into Starship launch and landing platforms, that concept is far closer to reality. It remains to be seen how extensive (and thus expensive) the changes SpaceX needs to make to the platforms will be but it’s safe to say that the venture is a whole lot more plausible when a dying industry’s asset depreciation is so intense that a billion dollars worth of oil rig hardware can be bought for a mere $7 million just a decade after completion.

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

SpaceX just cleared a key FCC hurdle in its fight with Verizon and AT&T

The FCC accepted SpaceX’s bid for Grain’s 800 MHz spectrum, opening review for Starlink Mobile.

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A hand holds a smartphone displaying the Starlink Mobile app interface showing a strong “Connected – Direct to Cell” signal, with a Starlink satellite beaming connectivity signals down to Earth from orbit. The background features the planet’s night side glowing with city lights against the curve of the atmosphere, set above a scenic twilight landscape.

The Federal Communications Commission has formally opened its review of SpaceX’s plan to buy a nationwide block of 800 MHz spectrum from Grain Management, moving Starlink Mobile one step closer to operating as a full U.S. wireless carrier.

In a public notice issued Tuesday, the FCC’s Wireless Telecommunications Bureau said it accepted for filing the applications to transfer control of two Grain license companies, Prism License Co. 1 and Prism License Co. 2, to Starlink Spectrum Holdings, a wholly owned SpaceX subsidiary. The deal covers 546 paired licenses across 3,224 counties, reaching roughly 100% of the U.S. population in all 50 states, Washington, D.C., Puerto Rico and the U.S. Virgin Islands. The proceeding sits under WT Docket No. 26-313.

Acceptance is not approval. It means the applications cleared an initial review and the public comment window is now open. Comments and petitions to deny are due December 1, and oppositions are due December 8. The bureau also said the conditions attached to Grain’s July purchase of the licenses from T-Mobile, which require rapid buildout for terrestrial and direct to device service, would carry over to SpaceX if the transfer is approved.

SpaceX announced the agreement on October 8, saying the new airwaves would let Starlink Mobile’s signal reach phones inside buildings, something its 2 GHz spectrum from EchoStar cannot do as well. The portfolio includes up to 14 MHz of paired spectrum in the 817 to 824 MHz and 862 to 869 MHz bands, which most existing phones already support. Elon Musk called it “the last critical piece of the spectrum puzzle needed for SpaceX to provide complete phone coverage in America.”

According to the filing, SpaceX would hold up to 89 MHz of total spectrum in any given market after the deal closes, including up to 14 MHz below 1 GHz. That is far under the 385 MHz threshold the FCC uses to flag a transaction for closer competitive scrutiny, and well short of the roughly 300 MHz each of AT&T, Verizon and T-Mobile holds.

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Tuesday’s notice does not decide how SpaceX can use the spectrum from orbit. A separate application SpaceX filed on October 27 seeking authority to provide supplemental coverage from space on the same frequencies, along with related waiver requests, is still pending before the commission.

The ground network is already taking shape. Last week, SpaceX picked Qualcomm to supply radios, baseband units and software for a nationwide 5G build, with deployment across tens of thousands of U.S. cell sites starting in 2027. The FCC also voted on October 29 to advance a proposal opening another 482 MHz to direct to device service, though AT&T, Verizon and T-Mobile hacritive pushed to strip nearly 300 MHz from it. SpaceX President Gwynne Shotwell has said service on SpaceX’s own airwaves is targeted for early 2028.

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Tesla upfitter offers to keep Cybertruck alive

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Credit: Unplugged Performance

A Tesla upfitter has offered to take over Cybertruck lines from the company in a last-ditch effort to save the all-electric pickup from being completely canceled in the middle of 2027.

Unplugged Performance, the Hawthorne, California-based Tesla aftermarket specialist, has publicly offered to take over Cybertruck production from Tesla, funding the effort “through a consortium of investors.”

The proposal comes as Tesla prioritizes its Cybercab Robotaxi program and prepares to wind down Cybertruck assembly at Gigafactory Texas around mid-2027.

Founded in 2013 by Ben Schaffer and located adjacent to Tesla’s Design Studio and SpaceX, Unplugged Performance has become a leading provider of premium upgrades for Tesla vehicles, including extensive Cybertruck packages under its UP INVINCIBLE line.

Through its UP.FIT division, the company has also developed purpose-built police and fleet versions of the Cybertruck, including deliveries to agencies such as the Las Vegas Metropolitan Police Department.

In an X post on Tuesday, Unplugged said:

“An open offer to Tesla: We fully support putting Cybercab first, and we’d be glad to take the Cybertruck line off your hands. We’d fund it with a consortium of investors and run it at no cost to Tesla’s floor space, headcount, or focus. All of that goes to Cybercab. Cybercab gets first call on battery cells too. We’ll wait our turn. Tesla gains incremental profit: a license fee, plus FSD and Robotaxi network revenues on every vehicle built. We’d build the Cybertruck, a three-row CyberSUV, and an unmanned CyberCargo hauler. More autonomous miles, across every surface of this planet and beyond. Worth a conversation?”

The arrangement would free Tesla resources and manufacturing capacity for Cybercab while allowing continued production of the stainless-steel pickup and expanded variants. Unplugged Performance indicated it would wait for battery cells after Cybercab needs are met and would generate ongoing revenue for Tesla through licensing and software/network services on the vehicles it produces.

Following strong initial interest, Unplugged Performance posted a follow-up inviting potential investors and strategic partners to email cyber@unpluggedperformance.com. The company clarified that the outreach is solely to gauge interest and does not constitute an offer to sell securities or acceptance of funds at this stage.

The proposal arrives shortly after Elon Musk indicated that Cybertruck production in Texas would be phased out by roughly the middle of 2027 to expand Cybercab output.

Whether Tesla engages with the offer remains to be seen, but the public overture highlights both the aftermarket specialist’s deep experience with the Cybertruck platform and the growing focus on autonomy within Tesla’s manufacturing plans.

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Elon Musk says Tesla Cybercab future is ‘obvious to anyone with eyes and a brain’

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Elon Musk said the Tesla Cybercab will perform “a majority of all passenger miles” where it is allowed to operate and that point is “obvious to anyone with eyes and a brain.”

Musk used the point to double down on the company’s decision to ax the cult-favorite Cybertruck, as its production space will be removed and transitioned into additional Cybercab lines. The move has catalyzed a polarizing conversation on whether its right or wrong.

Whatever side you are on — it’s happening.

Regardless, Musk seems to be getting to the point that he is done talking about the choice. At some point, you have to think that this was truly a difficult decision for him and the company as well, and this is not something he took lightly. In fact, he’s probably a little bit disappointed with it, too.

But the point remains that the Cybertruck is gone. Musk’s focus is purely on developing an autonomous platform that the world will utilize for transportation, and he’s telling you that anyone “with eyes and a brain” can see it:

Tesla is betting that all of its passengers in the future will be okay with not owning their own personal cars and will be fine with ride-hailing for the rest of their lives. Every dinner, every errand, every trip to the airport and transportation thereafter, will all be operated by ride-sharing, and in Tesla’s perfect world, it will happen in a Cybercab.

As of now, Cybercab is only active in Austin, but it has been spotted all over the country with a driver behind the wheel in those prototypes. In Austin, the car has no steering wheel or pedals for people to control the vehicle.

The Cybertruck dilemma is one that has truly come across the entire Tesla community and while it seems to be a great idea to keep it because people love it, the business side of things is steering Musk and Tesla in another direction.

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