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SpaceX CEO Elon Musk kills mini BFR spaceship 12 days after announcing it
Less than two weeks after SpaceX CEO Elon Musk announced that Falcon 9’s “second stage [would] be upgraded…like a mini-BFR Ship” to prove lightweight heatshield and hypersonic control surface technologies, Musk took to Twitter to assert that the mini BFR spaceship project was dead, despite having stated that SpaceX was working to launch that test article into orbit as early as June 2019 just 12 days prior.
From a public perspective, the status of SpaceX’s next-gen rocket program (known as BFR) is effectively up in the air after several cryptic and seemingly contradictory statements from the company’s CEO and chief engineer.
No, we’re just going to accelerate BFR
— Elon Musk (@elonmusk) November 20, 2018
On Nov. 17, Musk tweeted that BFR – last updated in September 2018 alongside a statement that “this is [likely] the the final iteration [of BFR] in terms of broad architectural decisions” – had already been redesigned, going so far as to describe it as a “radical change”. What that radical design change might be is almost entirely unclear, although Musk has now twice stated that the purpose of these changes (and the whiplash-inducing cancellation of the mini-spaceship) is to “accelerate BFR”.
Radical change
— Elon Musk (@elonmusk) November 17, 2018
As of now, SpaceX appears to have just completed a massive 9-meter diameter composite tank dome in the company’s temporary Port of Los Angeles tent, where a small but growing team of engineers and technicians are working to realize some version of the company’s next-generation rocket. That group has been working in near-silence for the better part of a year and has accepted delivery of and set up a wide range of custom-built tooling for carbon composite fabrication, and has even managed to get that tooling producing massive composite parts that are expected to eventually make up the structure of a spaceship prototype.
That prototype would eventually be shipped to South Texas, where SpaceX is constructing an entirely new facility from scratch to test the design, technology, and operation of the first full-scale BFR spaceship (BFS). As of a few months ago, the plan was to begin those hop tests before the end of 2019, but it’s no longer clear if SpaceX still intends to build a prototype spaceship to conduct hops and high-speed, high-altitude test flights.
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- BFR’s spaceship design, as of 2018. (SpaceX)
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- A BFS attempts a Mars landing in this official updated render. (SpaceX)
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- SpaceX’s huge Port of LA-based BFR tent, September 18th. (Pauline Acalin)
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- SpaceX’s first BFR spaceship prototype is coming together piece by piece. (SpaceX/Pauline Acalin)
Responsibly building giant rockets
One can only hope that the SpaceX employees tasked with bringing an already monumentally difficult idea from concept to reality are learning about these earth-shaking, “radical” decisions and changes through a medium other than Twitter. If those senior engineers and technicians are not extensively forewarned and given some say in these major system-wide decisions, it’s hard to exaggerate the amount of time, effort, and resources potentially being wasted (or at least misdirected).
There is undoubtedly something to be said for getting complex and difficult things as right as possible on the first serious try, especially when the sheer expense of the task at hand might mean that there is only one real chance to try. Still, it’s not particularly encouraging when a three-year-old hardware development program marked by several major design iterations is still experiencing anything close to “radical change”. After multiple years of concerted effort, BFR still appears to be in some sort of design limbo, where a constant and haphazard stream of on-paper changes act as a near-insurmountable hurdle standing in the way of a completed “good enough” blueprint that can begin to be made real.
Ultimately, even if some of the worst-case scenarios described above turn out to be true, there are still many, many reasons to remain positive about SpaceX’s BFR program on the whole. The next-gen rocket’s propulsion system of choice – an advanced engine known as Raptor – is quite mature at this point and may already be nearing initial flight readiness. Regardless of any future changes to BFR’s overall spaceship and booster structures, SpaceX technicians, engineers, and material scientists have likely gained invaluable experience in pursuit of an unprecedented 9-meter diameter rocket built almost entirely out of carbon fiber composites.
Further, it appears that quite a bit of progress has been made over the course of R&D programs related to methane-oxygen RCS thrusters (Falcon uses nitrogen), autogenous tank pressurization with gaseous methane and oxygen (Falcon uses helium), and perhaps even in-situ resource utilization (ISRU) that will be an absolute necessity to generate water, oxygen, and methane that will keep prospective Mars colonists alive and refuel spaceships for the voyage back to Earth.
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- SpaceX’s horizontal Raptor test stand is pictured here in April 2018. A prototype Raptor can be seen in the center bay. (Aero Photo/Teslarati)
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- A new rocket test-stand takes shape at SpaceX’s McGregor, TX facilities. As of just a few months ago, this site was effectively barren of activity. (April 17, Aero Photo)
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- SpaceX’s Boca Chica facilities now sport two massive propellant tanks, meant to support BFR spaceship hop tests. (NSF /u/ bocachicagal, SpaceX)
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Tesla has finally clarified the situation regarding the viral crash in Texas where a Model 3 slammed into a home.
CEO Elon Musk replied to reports on Monday that stated the crash was due to the company’s Full Self-Driving or Autopilot suite, which seemed unlikely to those who are familiar with it. Video showed the car slamming into a house at an excessive rate of speed, making it highly unlikely the crash was due to the suite’s operation, as it does not travel at those speeds in residential areas.
Musk said:
“This makes no sense. FSD drives slowly through neighborhood streets, and this was a high-speed crash!”
Tesla’s Head of AI, Ashok Elluswamy, added context, revealing that the company’s data shows the driver “manually overrode self-driving by pressing the accelerator all the way to 100%.”
He revealed the speed reached by the car was 73 MPH, and the accelerator was still pressed “even after the crash.”
Yup. In this case, the driver manually overrode self-driving by pressing the accelerator all the way to 100% of the accel pedal in this residential area. They reached a speed of 73 mph during the crash, and had the accelerator pressed even after the crash.
— Ashok Elluswamy (@aelluswamy) June 22, 2026
Authorities are reportedly investigating “whether Tesla’s Autopilot system played a role after a Model 3 left the roadway…slammed through a brick house at high speed and fatally struck Matha Avila as she sat inside,” the New York Post reported.
The National Highway Traffic Safety Administration (NHTSA) is now investigating the crash. Tesla will work with the agency to provide them with whatever information they need in order to clarify the cause of the crash.
Similarly, Tesla had claims of a fatal accident in Harris County, Texas, a few years ago. Early reports indicated that Full Self-Driving was the cause of the crash. After the National Transportation Safety Board (NTSB) worked with Tesla, the agency proved there was “no use of the Autopilot system at any time during this ownership period of the vehicle, including the time frame up to the last transmitted timestamp on April 17, 2021.”
Tesla alleged “driverless” crash in Texas: What is known so far
“Application of the accelerator pedal was found to be as high as 98.8 percent,” the NTSB said in their findings. The highest recorded speed in the five seconds leading up to the impact was 67 miles per hour. The area where the crash occurred is residential, and Texas State laws have default speed limits of 30 MPH in residential streets.
This appears to be a similar situation. However, an investigation will prove what happened for sure.
SpaceX announced today that it commenced its first-ever public bond offering, marking a significant step in the newly public company’s capital markets strategy.
The company announced an offering of senior unsecured notes expected to raise at least $20 billion.
The move comes just a short time after SpaceX completed one of the largest initial public offerings in history. In mid-June, the company priced shares at $135 and raised more than $85 billion, propelling founder Elon Musk’s net worth past the trillion-dollar mark and giving the firm substantial liquidity.
🚨 SpaceX has announced its inaugural offering of senior unsecured notes.
The net proceeds will be used to repay outstanding loans under its bridge loan facility in full.
This inaugural debt offering represents a financing milestone for SpaceX, which previously depended… pic.twitter.com/pcOZuVbTRv
— TESLARATI (@Teslarati) June 22, 2026
According to the company’s SEC filing, the net proceeds from the notes will be used primarily to repay in full the outstanding borrowings under its existing bridge loan facility, cover related fees and expenses, and fund general corporate purposes. The offering is being conducted under Rule 144A, as well as Regulation S, targeting qualified institutional buyers and non-U.S. investors. Notes will be unsecured obligations ranking equally with other unsubordinated debt.
The $20 billion bridge loan was used to refinance approximately $17.5 billion in higher-cost “junk” debt tied to X and xAI. SpaceX had merged with xAI in February 2026 in an all-stock deal. The bridge facility, which matures in September 2027, had represented the bulk of SpaceX’s long-term debt.
SpaceX officially acquires xAI, merging rockets with AI expertise
In connection with the bond launch, SpaceX disclosed it held approximately $100.8 billion in cash and cash equivalents as of June 19. Investor calls began on the announcement date, with pricing and launch expected shortly thereafter. Rating agencies have assigned investment-grade ratings to the proposed bonds, reflecting confidence in SpaceX’s dominant position in commercial launches and the growth trajectory of its Starlink internet offering.
The debt raise also allows SpaceX to optimize its balance sheet by replacing short-term, higher-cost bridge financing with longer-date, lower-cost fixed-income securities. This provides greater financial flexibility to support capital-intensive initiatives, including the development of Starship, the expansion of the Starlink constellation, and the integration of AI capabilities following the xAI combination.
SpaceX shares (NASDAQ: SPCX) fell sharply on the news, dropping over 16 percent overall on the market on Monday. The stock had surged initially after debuting but pulled back amid profit-taking and broader market dynamics.
Overall, the bond offering underscores SpaceX’s transition to a mature public company with access to diverse funding sources. It positions the firm to pursue its long-term vision of multiplanetary expansion and AI infrastructure, while maintaining a disciplined approach to its capital structure in a high-growth but capital-heavy industry.
SpaceX confirmed today that it has officially signed its third massive compute deal, providing compute at its Colossus data center in Southaven, Tennessee.
Reflection AI will gain immediate access to NVIDIA GB300 chips at SpaceX’s Colossus 2 data center. In return, Reflection will pay SpaceX $150 million per month starting on July 1, with total payments reaching approximately $6.3 billion if the contract runs through its duration, which is until 2029. Either party can terminate the agreement with 90 days’ notice after the initial three-month period.
CNBC first reported the deal.
🚨 SpaceXAI has agreed to a new compute deal with Reflection AI.
Reflection gets access to NIVIDIA GB300s, and will pay $150M per month to SpaceXAI for the compute. pic.twitter.com/bNPare8U5u
— TESLARATI (@Teslarati) June 22, 2026
This latest partnership highlights SpaceX’s strategy of commercializing its massive Colossus supercomputing infrastructure, originally developed to power Elon Musk’s Grok AI models. The company has rapidly expanded its customer base in the AI sector following its February 2026 merger with xAI, a transaction that valued the combined entity at $1.25 trillion.
SpaceX has previously signed significant compute deals with other major players.
It granted Anthropic exclusive access to the full capacity of its Colossus 1 data center, which exceeds 300 megawatts and includes over 220,000 NVIDIA GPUs. Details from SpaceX’s IPO filings indicate Anthropic will pay $1.25 billion per month through May 2029, potentially generating around $45 billion over the term of the deal.
Additionally, Google agreed to pay SpaceX $920 million per month for compute capacity from October 2026 through June 2029. This 32-month period will provide Google access to roughly 110,000 NVIDIA GPUs, along with supporting processors and memory. Capacity ramps up through September at a reduced fee, with termination options after the first year.
SpaceXA also established arrangements for computing power with Cursor, an AI coding startup. SpaceX acquired them in a $60 billion all-stock deal.
These arrangements position SpaceX’s collective position as an AI infrastructure powerhouse with high-margin revenue potential. The Google deal alone could generate nearly $29.5 billion over its term, while the Reflection contract adds another $6.3 billion.
Combined with the Anthropic arrangement, SpaceX stands to realize tens of billions in revenue from compute leasing in the coming years, which diversifies beyond SpaceX’s traditional rocket launches and Starlink operation.
The deals underscore growing demand for advanced AI training and inference capacity amid chip shortages and surging model development needs. Reflection, valued at $25 billion and focused on “American open intelligence” with government and national security ties, cited recent restrictions on closed models as validation for open-source approaches.
For SpaceX, the partnerships transform capital-intensive data centers into flexible revenue sources while supporting its broader AI ambitions after the company has gone public.
Tesla finally clarifies fatal Texas crash, confirms driver manually overrode acceleration
SpaceX makes $20 billion move to optimize its balance sheet
