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SpaceX Falcon 9 “Block 5” next-gen reusable rocket spied in Texas test site

SpaceX Block 5 Falcon9 at McGregor, Texas [Credit: Chris G - NSF via Twitter]

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SpaceX’s next and final generation of Falcon rockets is nearly ready to complete its biggest milestone yet, second only to operational launch. Known as Falcon 9 Block 5, the upgraded booster arrived at SpaceX’s McGregor, TX test facilities and went vertical on the static fire test stand.

Now vertical, that first integrated static fire is likely to occur within a handful of days at most. Once complete, assuming the data it produces do not betray any bugs or serious problems, the booster will be brought horizontal and transported to one of SpaceX’s three launch facilities for its first operational mission.

Why Block 5?

With nary a hint of hyperbole, it’s safe to say that Falcon 9 Block 5 will be the most significant piece of hardware ever developed and fielded by SpaceX. The reason lies in many of the changes and upgrades present in this newest iteration of the rocket. While Falcon 9 B5 and its similarly upgraded Merlin 1D engines include design changes intended to satisfy NASA requirements before SpaceX can be certified to launch humans, the brunt of the upgrades are laser-focused on ease and speed of reusability.

Photo courtesy of Chris G at nasaspaceflight.com via Twitter. Reprinted with permission.

The goal with those upgrades, as publicly stated by numerous SpaceX executives, is to enable as many as 10 flights with a bare minimum of refurbishment and 100 or more launches with intermittent maintenance. To achieve those titanic aspirations, SpaceX has gathered a flood of data and experience earned through the recovery of nearly 20 Falcon 9 and Heavy boosters, as well as the successful reflight and second recovery of several of those same boosters. With that data in hand, the company’s launch vehicle engineers optimized and upgraded the rocket’s design to combat the worst of the extreme forces each booster is subjected to while returning to land (or sea).

As evidenced by photos taken by Gary Blair, one of NASASpaceflight.com‘s most renowned L2 forum contributors, many of the visible differences between Block 5 and previous versions of Falcon 9 are a result of drastically improved and expanded heat shielding of its most sensitive and crucial components. While Falcon 9 B5’s black sections by all appearances look like naked carbon fiber composite, they are likely to be coated with an incredibly heat-resistant material known a Pyron. Portions of the booster that suffer from incidental scorching and extreme heating (aside from the octaweb) appear to have been treated with this material, including a pathway down the side of the rocket known as a raceway. The raceway is a protective enclosure for a variety of cabling and piping, essentially the rocket’s nervous system as well as the home of several the cold gas thrusters it uses to orient itself outside of Earth’s atmosphere.

In the past, SpaceX has used high-quality cork as a quasi-ablative thermal protection system for those same components, including the payload fairing. A major downside of cork, however, is that it is very ablative and tends to come off rather haphazardly in large chunks, all of which must either be spot-fixed or replaced entirely before a booster reflight. By replacing that cork with Pyron or a similar internally-developed material, those sensitive Falcon components may be almost totally insulated from and resistant to temperatures as high as 2300 °F (1200 °C)

Titanium grid fins are another central feature of Block 5, acting as a near-indefinitely reusable replacement for the aluminum grid fins SpaceX has traditionally used. Put through a huge amount of heating during reentry; aluminum grid fins have famously appeared to partially melt during some of the hottest booster recovery attempts. Titanium, a metal with a much higher melting point, will have no such problems, does not need ablative white paint, and certainly appear all but untouched by reentry in the cases of both their June 2017 debut and second flight on Falcon Heavy’s side boosters.

Finally and perhaps most importantly, is the octaweb – the assembly at the base of Falcon 9 responsible for safely transmitting nearly two million pounds of thrust from its nine Merlin 1Ds to the rest of the rocket’s structure, while also taking the brunt of the heat of reentry. Before Block 5, the octaweb was protected from that heating with an ablative thermal protection system, likely around 80% cork and 20% PICA-X, the same material used on Cargo Dragon’s heat shield. Based on comments made privately by individuals familiar with SpaceX, that ablative shielding is to be replaced by a highly heat-resistant metal alloy known as inconel. By ridding Block 5 of ablative heat shielding, SpaceX will no longer have to carefully examine and replace those materials after each launch, removing one of the biggest refurbishment time-sinks.

Titanium grid fins complete the highly reusable changes to Block 5 of Falcon 9. (NASA)

Combined, these various upgrades are intended to enable Falcon 9’s first stage to be reused almost effortlessly compared to previous iterations. With this vehicle, including the reusable fairing debuted on the launch of PAZ, SpaceX may well be able to achieve Elon Musk’s famous goal of lowering the cost of launch by nearly an order of magnitude. While SpaceX will likely use that cost reduction to first recoup its considerable investments in reusability and Falcon Heavy, major price drops may reach customers soon after. This Falcon 9, in particular, is unlikely to launch for another month or so, but when it does, it is perhaps the biggest step SpaceX has yet taken on the path to routine, rapid, and affordable access to orbit.

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Eric Ralph Twitter

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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Tesla hits major milestone with Full Self-Driving subscriptions

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Credit: Ashok Elluswamy/X

Tesla has announced it has hit a major milestone with Full Self-Driving subscriptions, shortly after it said it would exclusively offer the suite without the option to purchase it outright.

Tesla announced on Wednesday during its Q4 Earnings Call for 2025 that it had officially eclipsed the one million subscription mark for its Full Self-Driving suite. This represented a 38 percent increase year-over-year.

This is up from the roughly 800,000 active subscriptions it reported last year. The company has seen significant increases in FSD adoption over the past few years, as in 2021, it reported just 400,000. In 2022, it was up to 500,000 and, one year later, it had eclipsed 600,000.

In mid-January, CEO Elon Musk announced that the company would transition away from giving the option to purchase the Full Self-Driving suite outright, opting for the subscription program exclusively.

Musk said on X:

“Tesla will stop selling FSD after Feb 14. FSD will only be available as a monthly subscription thereafter.”

The move intends to streamline the Full Self-Driving purchase option, and gives Tesla more control over its revenue, and closes off the ability to buy it outright for a bargain when Musk has said its value could be close to $100,000 when it reaches full autonomy.

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It also caters to Musk’s newest compensation package. One tranche requires Tesla to achieve 10 million active FSD subscriptions, and now that it has reached one million, it is already seeing some growth.

The strategy that Tesla will use to achieve this lofty goal is still under wraps. The most ideal solution would be to offer a less expensive version of the suite, which is not likely considering the company is increasing its capabilities, and it is becoming more robust.

Tesla is shifting FSD to a subscription-only model, confirms Elon Musk

Currently, Tesla’s FSD subscription price is $99 per month, but Musk said this price will increase, which seems counterintuitive to its goal of increasing the take rate. With that being said, it will be interesting to see what Tesla does to navigate growth while offering a robust FSD suite.

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Tesla confirms Robotaxi expansion plans with new cities and aggressive timeline

Tesla plans to launch in Dallas, Houston, Phoenix, Miami, Orlando, Tampa, and Las Vegas. It lists the Bay Area as “Safety Driver,” and Austin as “Ramping Unsupervised.”

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Credit: Tesla

Tesla confirmed its intentions to expand the Robotaxi program in the United States with an aggressive timeline that aims to send the ride-hailing service to several large cities very soon.

The Robotaxi program is currently active in Austin, Texas, and the California Bay Area, but Tesla has received some approvals for testing in other areas of the U.S., although it has not launched in those areas quite yet.

However, the time is coming.

During Tesla’s Q4 Earnings Call last night, the company confirmed that it plans to expand the Robotaxi program aggressively, hoping to launch in seven new cities in the first half of the year.

Tesla plans to launch in Dallas, Houston, Phoenix, Miami, Orlando, Tampa, and Las Vegas. It lists the Bay Area as “Safety Driver,” and Austin as “Ramping Unsupervised.”

These details were released in the Earnings Shareholder Deck, which is published shortly before the Earnings Call:

Late last year, Tesla revealed it had planned to launch Robotaxi in Las Vegas, Phoenix, Dallas, and Houston, but Tampa and Orlando were just added to the plans, signaling an even more aggressive expansion than originally planned.

Tesla feels extremely confident in its Robotaxi program, and that has been reiterated many times.

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Although skeptics still remain hesitant to believe the prowess Tesla has seemingly proven in its development of an autonomous driving suite, the company has been operating a successful program in Austin and the Bay Area for months.

In fact, it announced it achieved nearly 700,000 paid Robotaxi miles since launching Robotaxi last June.

With the expansion, Tesla will be able to penetrate more of the ride-sharing market, disrupting the human-operated platforms like Uber and Lyft, which are usually more expensive and are dependent on availability.

Tesla launched driverless rides in Austin last week, but they’ve been few and far between, as the company is certainly easing into the program with a very cautiously optimistic attitude, aiming to prioritize safety.

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Investor's Corner

Tesla (TSLA) Q4 and FY 2025 earnings call: The most important points

Executives, including CEO Elon Musk, discussed how the company is positioning itself for growth across vehicles, energy, AI, and robotics despite near-term pressures from tariffs, pricing, and macro conditions.

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Credit: @AdanGuajardo/X

Tesla’s (NASDAQ:TSLA) Q4 and FY 2025 earnings call highlighted improving margins, record energy performance, expanding autonomy efforts, and a sharp acceleration in AI and robotics investments. 

Executives, including CEO Elon Musk, discussed how the company is positioning itself for growth across vehicles, energy, AI, and robotics despite near-term pressures from tariffs, pricing, and macro conditions.

Key takeaways

Tesla reported sequential improvement in automotive gross margins excluding regulatory credits, rising from 15.4% to 17.9%, supported by favorable regional mix effects despite a 16% decline in deliveries. Total gross margin exceeded 20.1%, the highest level in more than two years, even with lower fixed-cost absorption and tariff impacts.

The energy business delivered standout results, with revenue reaching nearly $12.8 billion, up 26.6% year over year. Energy gross profit hit a new quarterly record, driven by strong global demand and high deployments of MegaPack and Powerwall across all regions, as noted in a report from The Motley Fool.

Tesla also stated that paid Full Self-Driving customers have climbed to nearly 1.1 million worldwide, with about 70% having purchased FSD outright. The company has now fully transitioned FSD to a subscription-based sales model, which should create a short-term margin headwind for automotive results.

Free cash flow totaled $1.4 billion for the quarter. Operating expenses rose by $500 million sequentially as well.

Production shifts, robotics, and AI investment

Musk further confirmed that Model S and Model X production is expected to wind down next quarter, and plans are underway to convert Fremont’s S/X line into an Optimus robot factory with a capacity of one million units.

Tesla’s Robotaxi fleet has surpassed 500 vehicles, operating across the Bay Area and Austin, with Musk noting a rapid monthly expansion pace. He also reiterated that CyberCab production is expected to begin in April, following a slow initial S-curve ramp before scaling beyond other vehicle programs.

Looking ahead, Tesla expects its capital expenditures to exceed $20 billion next year, thanks to the company’s operations across its six factories, the expansion of its fleet expansion, and the ramp of its AI compute. Additional investments in AI chips, compute infrastructure, and future in-house semiconductor manufacturing were discussed but are not included in the company’s current CapEx guidance.

More importantly, Tesla ended the year with a larger backlog than in recent years. This is supported by record deliveries in smaller international markets and stronger demand across APAC and EMEA. Energy backlog remains strong globally as well, though Tesla cautioned that margin pressure could emerge from competition, policy uncertainty, and tariffs. 

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