News
SpaceX CEO Elon Musk wants to use Starships as Earth-to-Earth transports
SpaceX CEO Elon Musk indicates that the company is analyzing the use of single-stage Starship spacecraft as a potential pillar of its rapid Earth-to-Earth transport ambitions, meant to realize hypersonic mass-transit at “business-class” prices.
The consequences of such a move are varied but the gist is fairly simple: by cutting down on the complexity of the hardware and infrastructure involved, Earth-based transport via reusable rockets immediately becomes a far more intriguing (and plausible) proposition. Huge challenges remain, but many of those challenges could potentially become identical to those that Starship must already face to achieve SpaceX’s ultimate goal of Mars colonization.
As discussed on Teslarati just ~24 hours ago, using extremely large rockets to quickly, reliably, and safely transport humans around the Earth sounds great on paper but runs into a huge number of brick walls after just a cursory analysis. The single most important aspect of any high-volume form of mass transit is passenger safety – if a method consistently demonstrates that it is likely to kill passengers, it will die a very quick death to public opinion and regulatory fury.
From a statistical standpoint, rockets are thousands of times less safe than passenger aircraft, in large part due to their complexity and cost. As it turns out, an almost invariably foolproof method of improving the safety of a given thing is reducing its complexity (within moderation, of course). The fewer the parts there are, the fewer the parts that can fail and the easier (and cheaper) gathering data and evidence will be.
Originally, SpaceX’s 2017 Earth-to-Earth concept relied on a full two-stage BFR rocket (now Starship/Super Heavy) that could transport passengers anywhere on Earth in 30-60 minutes. Expected to launch off of giant, floating platforms, boosters would launch and land on the same platform while sending Starships on there way around the world. Starships would head to identical platforms at their destination and land directly beside that platform’s booster.
In general, this concept at least seemed serviceable, even if it didn’t exactly scream “practical solution!” Thankfully, much like BFR itself has radically changed in the last 18 or so months, it appears that SpaceX’s concept of Starship-based Earth transportation services has also continued to evolve. According to Musk’s May 30th tweets on the subject, one obvious method of improving the viability of the concept involves entirely removing the booster (Super Heavy) from the picture.
In an instant, SpaceX’s concept of Earth-to-Earth transport starts to look more like an exotic version of proposed supersonic and hypersonic transport solutions. By leaning on lone Starship spacecraft, incapable of reaching orbit by themselves, Musk believes that SpaceX could transport passengers up to ~10,000 km at speeds as high as “Mach 20” (6.9 km/s, 15,500 mph). This is undeniably a downgrade from “anywhere on Earth in less than an hour”, but it would still easily trounce any existing mode of transport and could potentially lend itself to actual suborbital spaceports located in key areas.
At the speeds described, SpaceX could offer ~20-minute trips from New York City to London or ~40-minute trips from Los Angeles to Tokyo as just two examples. Lack of range would certainly limit the potential utility and ubiquity of such a transport service, but there are undeniably enough niche markets to sustain something like that. By relying entirely on Starship, transportation could become far similar to airliner-style travel, while keeping speeds well below orbital velocity would give the spacecraft’s heat shield a much easier time.
For now, at least, the SpaceX dream of global, hypersonic mass-transit is clearly still alive and well, even if the hurdles ahead of it remain no less imposing. According to President and COO Gwynne Shotwell, SpaceX could begin offering Earth-to-Earth transport services as early as 2025, if not earlier with Musk’s proposed Starship-only variant.
Check out Teslarati’s Marketplace! We offer Tesla accessories, including for the Tesla Cybertruck and Tesla Model 3.
News
Tesla ramps production of its ‘new’ models at Giga Texas
The vehicles are being built at Tesla Gigafactory Texas in Austin, and there are plenty of units being built at the factory, based on a recent flyover by drone operator and plant observer Joe Tegtmeyer.
Tesla is ramping up production of its ‘new’ Model Y Standard at Gigafactory Texas just over a week after it first announced the vehicle on October 7.
Earlier this month, Tesla launched the Tesla Model 3 and Model Y “Standard,” their release of what it calls its affordable models. They are priced under $40,000, and although there was some noise surrounding the skepticism that they’re actually “affordable,” it appears things have been moving in the right direction.
The vehicles are being built at Tesla Gigafactory Texas in Austin, and there are plenty of units being built at the factory, based on a recent flyover by drone operator and plant observer Joe Tegtmeyer:
News: the @Tesla Model Y Standard production is well underway at Giga Texas today!
This consistent with what I was told to expect during the unveiling day last week!
The outbound lot had many Premium Model Y’s and @cybertruck too!
More coming soon! pic.twitter.com/WU489QKPLB
— Joe Tegtmeyer 🚀 🤠🛸😎 (@JoeTegtmeyer) October 16, 2025
The new Standard Tesla models are technically the company’s response to losing the $7,500 EV tax credit, which significantly impacts any company manufacturing electric vehicles.
However, it seems the loss of the credit is impacting others much more than it is Tesla.
As General Motors and Ford are scaling back their EV efforts because it is beginning to hurt their checkbooks, Tesla is moving forward with its roadmap to catalyze annual growth from a delivery perspective. While GM, Ford, and Stellantis are all known for their vehicles, Tesla is known for its prowess as a car company, an AI company, and a Robotics entity.
Elon Musk was right all along about Tesla’s rivals and EV subsidies
Tesla should have other vehicles coming in the next few years, especially as the Cybercab is evidently moving along with its preliminary processes, like crash testing and overall operational assessment.
It has been spotted at the Fremont Factory several times over the past couple of weeks, hinting that the vehicle could begin production sometime next year.
Tesla could be greatly impacted in one of its strongest markets as the government is ready to eliminate a main subsidy for electric vehicles over the next two years.
In Norway, EV concentrations are among the strongest in the world, with over 98 percent of all new cars sold in September being electric powertrains. This has been a long-standing trend in the Nordic region, as countries like Iceland and Sweden are also highly inclined to buy EVs.
However, the Norwegian government is ready to abandon a subsidy program it has in place, as it has effectively achieved what it set out to do: turn consumers to sustainability.
This week, Norway’s Finance Minister, Jens Stoltenberg, said it is time to consider phasing out the benefits that are given to those consumers who choose to buy an EV.
Stoltenberg said this week (via Reuters):
“We have had a goal that all new passenger cars should be electric by 2025, and … we can say that the goal has been achieved. Therefore, the time is ripe to phase out the benefits.”
EV subsidies in Norway include reduced value-added tax (VAT) on cheaper models, lower road and toll fees, and even free parking in some areas.
The government also launched programs that would reduce taxes for companies and fleets. Individuals are also exempt from the annual circulation tax and fuel-related taxes.
In 2026, changes will already be made. Norway will lower its EV tax exemption to any vehicle priced at over 300,000 crowns ($29,789.40), down from the current 500,000, which equates to about $49,500.
This would eliminate each of the Tesla Model Y’s trim levels from tax exemption status. In 2027, the VAT exemptions will be completely removed. Not a single EV on the market will be able to help owners escape from tax-exempt status.
There is some pushback on the potential loss of subsidies and benefits, and some groups believe that the loss of the programs will regress the progress EVs have made.
Christina Bu, head of the Norwegian EV Association, said:
“I worry that sudden and major changes will make more people choose fossil-fuel cars again, and I think everyone agrees that we don’t want to go back there.”
With the loss of the $7,500 Electric Vehicle Tax Credit, it looks as if Tesla CEO Elon Musk was right all along.
As the tax credit’s loss starts to take effect, car companies that have long relied on the $7,500 credit to create sales for themselves are starting to adjust their strategies for sales and their overall transition to electrification.
On Tuesday, General Motors announced it would include a $1.6 billion charge in its upcoming quarterly earnings results from its EV investments.
Ford said in late September that it expects demand for its EVs to be cut in half. Stellantis is abandoning its plan to have only EVs being produced in Europe by 2030, and Chrysler, a brand under the Stellantis umbrella, is bailing on lofty EV sales targets here in the U.S.
How Tesla could benefit from the ‘Big Beautiful Bill’ that axes EV subsidies
The tax credit and EV subsidies have achieved what many of us believed they were doing: masking car companies from the truth about their EV demand. Simply put, their products are not priced attractively enough for what they offer, and there is no true advantage to buying EVs developed by legacy companies.
These tax credits have helped companies simply compete with Tesla, nothing more and nothing less. Without them, their products likely would not have done as well as they have. That’s why these companies are now suddenly backtracking.
It’s something Elon Musk has said all along.
Back in January, during the Q4 and Full Year 2024 Earnings Call, Musk said:
“I think it would be devastating for our competitors and for Tesla slightly. But, long term, it probably actually helps Tesla, that would be my guess.”
In July of last year, Musk said on X:
“Take away all the subsidies. It will only help Tesla.”
Take away the subsidies. It will only help Tesla.
Also, remove subsidies from all industries!
— Elon Musk (@elonmusk) July 16, 2024
Over the past few years, Tesla has started to lose its market share in the U.S., mostly because more companies have entered the EV manufacturing market and more models are being offered.
Nobody has been able to make a sizeable dent in what Tesla has done, and although its market share has gotten smaller, it still holds nearly half of all EV sales in the U.S.
Tesla’s EV Market Share in the U.S. By Year
-
- 2020 – 79%
- 2021 – 72%
- 2022 – 62%
- 2023 – 55%
- 2024 – 49%
As others are adjusting to what they believe will be tempered demand for their EVs, Tesla has just reported its strongest quarter in company history, with just shy of half a million deliveries.
Will Tesla thrive without the EV tax credit? Five reasons why they might
Although Tesla benefited from the EV tax credit, particularly last quarter, some believe it will have a small impact since it has been lost. The company has many other focuses, with its main priority appearing to be autonomy and AI.
One thing is for sure: Musk was right.
Tesla ramps production of its ‘new’ models at Giga Texas
Tesla set to be impacted greatly in one of its strongest markets
Elon Musk was right all along about Tesla’s rivals and EV subsidies
-
News1 day agoTesla launches ‘Mad Max’ Full Self-Driving Speed Profile, its fastest yet
-
News1 day agoTesla just teased something crazy with the next Full Self-Driving update
-
News17 hours agoTesla exec hints at FSD Mad Max mode’s killer feature
-
Elon Musk10 hours agoElon Musk was right all along about Tesla’s rivals and EV subsidies
-
News2 days agoTesla reportedly places large order for robot parts, hinting that Optimus V3 design is all but finalized
-
Elon Musk2 days agoStarship’s next chapter: SpaceX eyes tower catch after flawless Flight 11
-
News1 day agoTesla makes big move with its Insurance program
-
News12 hours agoTesla ownership without home charging: Here’s how it’s done