News
SpaceX to end Crew Dragon capsule production as Starship’s shadow grows
Reuters reports that SpaceX has begun to shut down Crew Dragon capsule production after assembling a fleet of four reusable spacecraft, highlighting the company’s ever-growing desire to pivot to Starship.
According to SpaceX president and chief operating officer (COO) Gwynne Shotwell, who spoke with Reuters reporter Joey Roulette, the company has already ended production of new Crew Dragon capsules after recently completing a fourth operational spacecraft. Nicknamed “Freedom” by its crew, Dragon capsule C212 (Dragon 2 capsule #12) is scheduled to debut as early as April 19th and will ultimately ferry SpaceX’s fourth crew of government astronauts to and from the International Space Station.
However, while ending production of Crew Dragon might sound like a dramatic and unexpected move after less than two years of operational astronaut launches and undeniably hints at the company’s desire for Starship to take over, it’s not quite as jarring as it seems.
Above all else, Shotwell did not explicitly mention Cargo Dragon 2 production. It’s possible that there was a miscommunication during the brief Q&A and that a generic statement about ending production of all Dragon capsules was projected onto just SpaceX’s Crew Dragon variants, but the Reuters article strongly implies that only Crew Dragon production has been ended.
As of today, SpaceX only has two operational Cargo Dragon 2 capsules in its uncrewed fleet – both of which have already flown twice. Following a recent contract extension, SpaceX is scheduled to complete at least 11 more ISS cargo deliveries and recoveries by 2027 and while it’s possible that the company is confident enough to gamble that two Dragon 2 capsules can complete all 15 CRS2 resupply missions, a SpaceX engineer confirmed that at least one more Cargo Dragon is scheduled to debut in 2022. With three Dragons, that would at least give SpaceX the ability to confidently fulfill its CRS2 obligations even if one capsule is damaged or lost.
Meanwhile, Shotwell indicated that SpaceX would preserve the ability to restart Dragon production if the need arose – far easier said than done. At the same time, the company will still need to churn out at least half a dozen or so expendable Dragon ‘trunks’ per year and continue building a wide range of replacement parts. A substantial team will also be needed to refurbish and operate Crew and Cargo Dragons for as long as launches continue.
But by and large, the move to end Crew Dragon capsule production says one thing above all else: that SpaceX is chomping at the bit to redirect large portions of its Falcon and Dragon workforce to Starship development. If SpaceX can make it work, Starship – a fully-reusable two-stage rocket – could end up costing roughly as much as Dragon and Falcon per launch but its launch costs could also plummet to a magnitude less – all while offering a magnitude more space, performance, and capabilities.
Crew Dragon is currently used to launch four astronauts at a time. A single crewed Starship could have a habitable volume greater than the entire International Space Station and carry 40 astronauts into orbit inside it in a single launch. Cargo Dragon typically delivers about three tons (~6600 lb) of cargo to the ISS. A Cargo Starship could deliver dozens of tons in one go – more cargo space than NASA would know what to do with after decades sent under the tyranny of razor-thin mass margins.
NASA is likely the single largest individual investor in Starship after contracting with SpaceX to build a version of Starship capable of returning astronauts to the Moon for about $3 billion, meaning that the space agency will be intimately aware of and involved in the vehicle’s development over the next 5-10 years. It would only be logical to extract as much value as possible out of that investment and simultaneously revolutionize the transportation of cargo and, one day, astronauts to Earth orbit and beyond.
Unfortunately, there’s no real guarantee that NASA will actually do that, but SpaceX’s choice to end Dragon capsule production so early on makes it clear that the company is more than willing to prepare the groundwork for such a transition itself.
News
Texas lawmakers urge Tesla to delay Austin robotaxi launch to September
The letter urges Tesla to delay its initial robotaxi launch in the interest of public safety.
A group of Democratic lawmakers from Austin is asking Tesla to postpone its planned robotaxi rollout, at least until a new state law governing autonomous vehicles takes effect in September.
The letter, which was sent Wednesday, urges Tesla to delay its initial robotaxi launch in the interest of public safety.
What the lawmakers’ letter says
In their letter, the Democratic lawmakers stated that delaying Tesla’s initial robotaxi launch would build trust in the electric vehicle maker’s autonomous vehicle operations.
“We are formally requesting that Tesla delay autonomous robotaxi operations until the new law takes effect on September 1, 2025. We believe this is in the best interest of both public safety and building public trust in Tesla’s operations,” the letter read.
The lawmakers noted that if Tesla wishes to push through with its planned June 22 launch, the company must provide detailed information explaining its robotaxi service’s initial launch.
New rules kick in September
The new Texas law passed state legislature last month, and it introduces stricter requirements for companies deploying fully self-driving cars.
Current state law allows autonomous vehicle testing without a human driver, as long as vehicles meet basic registration and insurance standards. The updated framework gives state agencies more oversight, including the ability to revoke permits if autonomous vehicles pose safety risks.
It remains to be seen if the Democratic lawmakers’ efforts will bear fruit, especially since Texas is state where Republicans hold the governorship and majorities in both legislative chambers, as noted in a Reuters report.
Elon Musk, for his part, confirmed that Tesla’s initial robotaxi launch for Austin this June will start with a small fleet of Model Y vehicles. He also noted the service would initially operate only in parts of the city the company deems safest.
Tesla has not issued a comment about the Democratic lawmakers’ letter as of writing.
Elon Musk
xAI’s Grok 3 partners with Oracle Cloud for corporate AI innovation
Elon Musk’s xAI partners with Oracle to deliver Grok 3 to enterprise users via OCI. The move boosts Grok’s reach.
xAI’s Grok 3 is partnering with Oracle Cloud to deliver its advanced AI model to corporate customers.
Oracle announced its collaboration with xAI earlier this week. The partnership leverages Oracle’s robust infrastructure to offer xAI’s Grok 3, positioning it as a transformative tool for business applications.
“Today, we announced xAI has selected Oracle to offer xAI’s Grok models via OCI Generative AI service for a wide range of use cases and will use OCI’s leading AI infrastructure to train and run inferencing for its next-generation Grok models,” said Clay Magouyrk, Executive Vice President at Oracle Cloud Infrastructure, via LinkedIn.
Oracle’s cost-effective AI capabilities will support xAI’s demanding workloads, enabling faster processing for enterprise users.
Oracle’s Karan Batta told Reuters: “Our goal here is to make sure that we can provide a portfolio of models – we don’t have our own.” Oracle will host Grok 3 alongside models from Meta, Mistral, and Cohere, ensuring corporate data remains secure within existing Oracle protections.
Oracle’s strategy focuses on integrating popular AI models into corporate software, and xAI’s Grok 3 enhances this portfolio. The collaboration expands Grok’s reach to businesses seeking secure, high-performance AI solutions for diverse use cases.
Elon Musk’s xAI launched Grok 3 in February. It competes with models from DeepSeek and OpenAI. Grok 3 is free for all X users, but features are limited. X offers Premium and Premium+ subscribers access to Grok 3’s advanced capabilities like DeepResearch and Think modes. Users who are not paid subscribers have access to Grok 3’s basic features.
Elon Musk’s companies have a longstanding relationship with Oracle. In 2018, Tesla appointed Oracle founder Larry Ellison to its board, a move Wedbush analyst Daniel Ives called a “home run appointment.”
In 2023, Ellison–who is no longer on Tesla’s board but still close with Musk–revealed plans for a Tesla Cybertruck police car.
“Our next-generation police car is coming out very soon,” Ellison said at the 2023 Oracle CloudWorld conference in Las Vegas. “It’s my favorite police car. It’s my favorite car, actually. It’s Elon’s favorite car.”
Grok 3’s integration into Oracle Cloud strengthens xAI’s position in the corporate artificial intelligence market. By combining Oracle’s infrastructure with Grok’s cutting-edge capabilities, this collaboration could redefine enterprise AI adoption, driving innovation across industries.
Elon Musk
Tesla Robotaxis are becoming a common sight on Austin’s public roads
Tesla Robotaxi sightings are becoming much more frequent ahead of its launch planned for this month.
Tesla Robotaxis are becoming a common sight on the public roads of Austin, Texas, as yet another test mule has been spotted near the company’s target launch date.
Just over a week ago, the first public sighting of a driverless Tesla Robotaxi was reported. The vehicle was an updated version of the Tesla Model Y, which will be the initial model used in the public deployment of the Robotaxi platform.
Throughout the past week, sightings have been more common, as people in Austin have been looking for the unique decal Tesla is placing on car doors to recognize the driverless vehicles (After all, Robotaxis are not as easy to recognize as driverless vehicles without the LIDAR unit on the roof like Waymo).
Yet another sighting of a Robotaxi was shared on social media today, just two days before CEO Elon Musk’s proposed launch date of June 22:
🚨 Tesla Robotaxis are being spotted all over Austin!
Here’s another spotted within the last hour: https://t.co/79l1RHpL5d pic.twitter.com/bOIlZYgs0U
— TESLARATI (@Teslarati) June 18, 2025
It is easy to tell that there is nobody in the driver’s seat of this vehicle. Tesla is using its white interior on this particular mule, making it incredibly simple to recognize that no human is controlling the car.
Whether Tesla will still meet the June 22nd deadline remains to be seen, but it is no secret that the company is prioritizing safety ahead of offering public rides.
Tesla will initially roll out the Robotaxi platform in Austin, but it has already started the regulatory process in other areas, specifically California.
The National Highway Traffic Safety Administration (NHTSA) is also helping to streamline the process for companies developing driverless vehicles by giving exemptions to automakers. It will make things much more efficient, benefiting Tesla and other car companies that have similar plans.
Tesla Robotaxi just got a big benefit from the U.S. government
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