News
SpaceX continues commercial launch market dominance with even more contracts
SpaceX’s Falcon 9 rocket has secured at least two more commercial launch contracts, continuing the company’s dominance in the commercial launch market.
On September 17th, commercial satellite operator Intelsat revealed the completion of a $390 million contract to launch six new satellites in 2022 – split 4:2 between SpaceX and European competitor Arianespace. Intelsat also retained the option to select between SpaceX and Arianespace for the launch of a seventh communications satellite in 2023. For the first six satellites, three pairs have been assigned to three rockets (two Falcon 9 and one Ariane 5). Of the seven future Intelsat spacecraft, five will be built by Maxar with the remaining two to be built by Northrop Grumman.
The announcement comes just six weeks after satellite operator SES announced two new contracts with SpaceX and ULA to launch 4-5 communications satellites – also in 2022. The motivation behind all ~12 satellites is effectively the same: transfer existing geostationary satellite communications services to new satellites using a different spectrum. If successful, any company that succeeds in clearing a particular subset of the “C-Band” spectrum to make way for 5G mobile networks is eligible to receive billions of dollars from the Federal Communications Commission (FCC).
Intelsat declined to explain how the $390 million it was budgeting for all seven launches would be allocated. Based on Ariane 5’s past performance, it would be reasonable to assume that the two satellites manifested on the rocket will cost Intelsat at least $175 million, though the company technically announced plans to cut the rocket’s launch costs by ~40% in 2019 to compete with SpaceX. Assuming $175 million for the Ariane 5 contract, Intelsat could pay $80 million apiece for both Falcon 9 launches and still have $55 million left to launch the seventh satellite – possibly enough for another dedicated Falcon 9 contract.
Regardless, the news continues a relentless train of launch contract wins for SpaceX and likely represents the ninth contract the company has secured in 2020 alone. As of September, that means that SpaceX has won almost three new contracts for every single commercial mission it’s launched in 2020. Even excluding three Falcon 9 launch contracts created by the artificial bubble of geostationary satellite production triggered by the FCC’s C-band transition, SpaceX is far beyond the break-even point this year.
SpaceX’s latest Intelsat contracts mean that the company now has more than 40 launches – entirely excluding Starlink – scheduled in 2022 and 2023. On top of that growing commercial manifest, SpaceX still aspires to launch at least 24 Starlink missions annually. Assuming the company is able boost its annual cadence by ~50%, it’s reasonable to assume that SpaceX will easily be able to sustain 30+ launches annually over the next 3-4 years, if not longer.
Check out Teslarati’s Marketplace! We offer Tesla accessories, including for the Tesla Cybertruck and Tesla Model 3.
News
IM Motors co-CEO apologizes to Tesla China over FUD comments
Liu said later investigations showed the accident was not caused by a brake failure on the Tesla’s part, contrary to his initial comments.
Liu Tao, co-CEO of IM Motors, has publicly apologized to Tesla China for comments he made in 2022 suggesting a Tesla vehicle was defective following a fatal traffic accident in Chaozhou, China.
Liu said later investigations showed the accident was not caused by a brake failure on the Tesla’s part, contrary to his initial comments.
IM Motors co-CEO issues apology
Liu Tao posted a statement addressing remarks he made following a serious traffic accident in Chaozhou, Guangdong province, in November 2022, as noted in a Sina News report. Liu stated that based on limited public information at the time, he published a Weibo post suggesting a safety issue with the Tesla involved in the crash. The executive clarified that his initial comments were incorrect.
“On November 17, 2022, based on limited publicly available information, I posted a Weibo post regarding a major traffic accident that occurred in Chaozhou, suggesting that the Tesla product involved in the accident posed a safety hazard. Four hours later, I deleted the post. In May 2023, according to the traffic police’s accident liability determination and relevant forensic opinions, the Chaozhou accident was not caused by Tesla brake failure.
“The aforementioned findings and opinions regarding the investigation conclusions of the Chaozhou accident corrected the erroneous statements I made in my previous Weibo post, and I hereby clarify and correct them. I apologize for the negative impact my inappropriate remarks made before the facts were ascertained, which caused Tesla,” Liu said.
Investigation and court findings
The Chaozhou accident occurred in Raoping County in November 2022 and resulted in two deaths and three injuries. Video footage circulated online at the time showed a Tesla vehicle accelerating at high speed and colliding with multiple motorcycles and bicycles. Reports indicated the vehicle reached a speed of 198 kilometers per hour.
The incident drew widespread attention as the parties involved provided conflicting accounts and investigation details were released gradually. Media reports in early 2023 said investigation results had been completed, though the vehicle owner requested a re-investigation, delaying the issuance of a final liability determination.
The case resurfaced later in 2023 following a defamation lawsuit filed by Tesla China against a media outlet. According to a court judgment cited by Shanghai Securities News, forensic analysis determined that the fatal accident was unrelated to any malfunction on the Tesla’s braking or steering systems. The court also ruled that the media outlet must publish an apology, address the negative impact on Tesla China’s reputation, and pay a penalty of 30,000 yuan.
Elon Musk
SpaceX is exploring a “Starlink Phone” for direct-to-device internet services: report
The update was reportedly shared to Reuters by people familiar with the matter.
SpaceX is reportedly exploring new products tied to Starlink, including a potential Starlink-branded phone.
The update was reportedly shared to Reuters by people familiar with the matter.
A possible Starlink Phone
As per Reuters’ sources, SpaceX has reportedly discussed building a mobile device designed to connect directly to the Starlink satellite constellation. Details about the potential device and its possible release are still unclear, however.
SpaceX has dabbled with mobile solutions in the past. The company has partnered with T-Mobile to provide Starlink connectivity to existing smartphones. And last year, SpaceX initiated a $19.6 billion purchase of satellite spectrum from EchoStar.
Elon Musk did acknowledge the idea of a potential mobile device recently on X, writing that a Starlink phone is “not out of the question at some point.” Unlike conventional smartphones, however, Musk described a device that is “optimized purely for running max performance/watt neural nets.”
Starlink and SpaceX’s revenue
Starlink has become SpaceX’s dominant commercial business. Reuters’ sources claimed that the private space company generated roughly $15–$16 billion in revenue last year, with about $8 billion in profit. Starlink is estimated to have accounted for 50% to 80% of SpaceX’s total revenue last year.
SpaceX now operates more than 9,500 Starlink satellites and serves over 9 million users worldwide. About 650 satellites are already dedicated to SpaceX’s direct-to-device initiative, which aims to eventually provide full cellular coverage globally.
Future expansion of Starlink’s mobile capabilities depends heavily on Starship, which is designed to launch larger batches of upgraded Starlink satellites. Musk has stated that each Starship launch carrying Starlink satellites could increase network capacity by “more than 20 times.”
Elon Musk
FCC accepts SpaceX filing for 1 million orbital data center plan
The move formally places SpaceX’s “Orbital Data Center” concept into the FCC’s review process.
The Federal Communications Commission (FCC) has accepted SpaceX’s filing for a new non-geostationary orbit (NGSO) satellite system of up to one million spacecraft and has opened the proposal for public comment.
The move formally places SpaceX’s “Orbital Data Center” concept into the FCC’s review process, marking the first regulatory step for the ambitious space-based computing network.
FCC opens SpaceX’s proposal for comment
In a public notice, the FCC’s Space Bureau stated that it is accepting SpaceX’s application to deploy a new non-geostationary satellite system known as the “SpaceX Orbital Data Center system.” As per the filing, the system would consist of “up to one million satellites” operating at altitudes between 500 and 2,000 kilometers, using optical inter-satellite links for data transmission.
The FCC notice described the proposal as a long-term effort. SpaceX wrote that the system would represent the “first step towards becoming a Kardashev II-level civilization – one that can harness the Sun’s full power.” The satellites would rely heavily on high-bandwidth optical links and conduct telemetry, tracking, and command operations, with traffic routed through space-based laser networks before being sent to authorized ground stations.
FCC Chairman Brendan Carr highlighted the filing in a post on X, noting that the Commission is now seeking public comment on SpaceX’s proposal. Interested parties have until early March to submit comments.
What SpaceX is proposing to build
As per the FCC’s release, SpaceX’s orbital data center system would operate alongside its existing and planned Starlink constellations. The FCC notice noted that the proposed satellites may connect not only with others in the new system, but also with satellites in SpaceX’s first- and second-generation Starlink networks.
The filing also outlined several waiver requests, including exemptions from certain NGSO milestone and surety bond requirements, as well as flexibility in how orbital planes and communication beams are disclosed, as noted in a Benzinga report. SpaceX noted that these waivers are necessary to support the scale and architecture of the proposed system.
As noted in coverage of the filing, the proposal does not represent an immediate deployment plan, but rather a framework for future space-based computing infrastructure. SpaceX has discussed the idea of moving energy-intensive computing, such as AI workloads, into orbit, where continuous solar power and large physical scale could reduce constraints faced on Earth.
IM Motors co-CEO apologizes to Tesla China over FUD comments
SpaceX is exploring a “Starlink Phone” for direct-to-device internet services: report
