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SpaceX loses record-breaking rocket booster after sixth successful Starlink launch
SpaceX has suffered its second rocket landing failure of 2020 despite the fact that both lost Falcon 9 boosters successfully launched 60 Starlink satellites, an anomaly that CEO Elon Musk says will need a “thorough investigation”.
After a rare last-second launch abort on March 15th and a three-day range-related delay, Falcon 9 booster B1048 lifted off with 60 upgraded Starlink v1.0 satellites on its fifth orbital-class mission. At least for the first two and half minutes, the booster performed precisely as intended, carrying a fueled upper stage and its ~16 metric ton (36,000 lb) payload to an altitude of 55 km (34 mi) and a velocity of 1.8 km/s (1.1 mi/s). However, about 10 seconds before the booster reached main engine cut-off (MECO) and stage separation, something went wrong.
While there is some ambiguity in his response, according to Musk, at least one of Falcon 9 B1048’s nine Merlin 1D engines performed an early shutdown before MECO. The rocket’s computer immediately accounted for the anomaly, extending the remaining eight-engine booster burn 5-7 seconds beyond the nominal timeline to ensure mission success. While the booster’s loss is still disappointing and the premature engine shutdown more than a little concerning, it’s critical to remember that mission success was ensured. Just 15 minutes after liftoff, the rocket’s upper stage successfully spun up and deployed another 60 Starlink satellites, bringing SpaceX’s operational constellation to an incredible ~350 satellites.
Based on live views available from SpaceX’s launch webcast, it appears that Falcon 9’s “early engine shutdown” is more of a euphemism for a fairly violent engine failure that triggered an instantaneous cutoff, preventing damage elsewhere. While SpaceX would certainly rather avoid in-flight engine failures, Falcon 9’s nine Merlin 1D booster engines are installed inside an aluminum ‘octaweb’ structure that transmits their thrust to the rest of the rocket but also effectively quarantines each engine in a blast-proof bunker.
Nevertheless, the rocket’s highly-attuned software and affected octaweb engine bunker did their jobs, instantly shutting the failing engine down while also preventing the explosion and resulting shrapnel from damaging the rest of the rocket. More likely than not, B1048’s autonomous decision to always put mission success before booster recovery lead the booster to expend a majority of the propellant needed for its landing attempt to make up for the 10 or so seconds operating at only ~89% thrust.
As a result, B1048 may have simultaneous subjected itself to a much more extreme atmospheric reentry and run out of propellant before it could complete (or maybe even start) its drone ship landing burn. There’s also a chance that the engine that failed was one of the three engines required for reentry and landing burns, an asymmetry that would be impossible to overcome on the fly. Ultimately, the booster likely impacted the ocean at a near-supersonic velocity, smashing it into aluminum confetti. Thankfully, the late B1048 had a record-breakingly productive career as an orbital-class booster, placing dozens of tons of payload into orbit over five successful launches. Its loss is regrettable but the booster has more than earned its keep.
Aside from two twice-flown Falcon Heavy Block 5 side boosters of unknown status and 2-3 new boosters assigned to critical NASA and US Air Force missions, SpaceX’s fleet is now down to just three flightworthy Falcon 9 boosters. This could dramatically limit its options for near-term commercial flights, as none of those rockets – even assuming flawless launch and landing debuts – will likely be ready for their first reuses until May or June. Meanwhile, B1051 and B1049 have three and four missions under their respective belt and both completed their last launches just 50-70 days ago, while B1059 flew for the second time just two weeks ago. Despite the fact that it successfully completed its fifth mission, B1048’s in-flight engine failure will almost certainly delay upcoming launches, although the degree of those delays is up for debate.
Up next for SpaceX is SAOCOM 1B, an Argentinian radar satellite set to become the first payload launched into a polar orbit from the US East Coast in half a century. Before B1048’s anomaly, the mission was scheduled to launch no earlier than March 30th and could use any of unassigned boosters described above
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Elon Musk has firmly denied recent media reports suggesting that SpaceX has reduced its target valuation for an upcoming initial public offering.
The denial came directly from the SpaceX and Tesla frontman on his social media platform X, where he responded with a single word, “False,” to a post from ZeroHedge that cited Bloomberg sources.
This swift rebuttal underscores Musk’s ongoing effort to manage speculation surrounding one of the most anticipated market debuts in recent history.
False
— Elon Musk (@elonmusk) May 29, 2026
According to the disputed reports, SpaceX had lowered its IPO valuation goal to at least $1.8 trillion from previous ambitions exceeding $2 trillion.
The claims emerged amid growing anticipation for the company’s confidential S-1 filing, which positions it for a potential public listing as early as June.
Some had pointed to strong revenue growth, particularly from the Starlink satellite internet service, which contributed heavily to the firm’s 2025 figures of $18.7 billion. Yet challenges persist in other areas, including substantial investments and losses tied to ambitious projects like Starship development and artificial intelligence initiatives, which plan to make life multiplanetary eventually.
Musk’s response highlights a pattern in which he actively counters what he views as inaccurate portrayals of his companies’ trajectories.
SpaceX, already valued privately at extraordinary levels, stands as a cornerstone of Musk’s empire alongside Tesla and xAI. The entrepreneur has long emphasized the transformative potential of reusable rockets and global broadband access, factors that fuel investor enthusiasm despite operational hurdles.
By rejecting the valuation downgrade narrative, Musk signals confidence in SpaceX’s fundamentals and its readiness for public markets on terms favorable to its long-term vision. People have been waiting a very long time to invest in SpaceX, and the valuation, as well as the introductory share price, is not going to need adjusting.
They’ll have plenty of suitors.
This episode reflects broader dynamics in the technology sector, where rumors often swirl around high-profile entities. Musk’s direct engagement with media narratives serves to maintain transparency and control the narrative around his ventures.
As SpaceX prepares for greater scrutiny in public markets, the founder’s denial reinforces optimism about its prospects. Supporters argue that the company’s innovative edge positions it for enduring success, far beyond short-term valuation debates. With the denial now public, attention turns to forthcoming regulatory filings that could provide clearer insights into SpaceX’s strategy and financial health.
The coming weeks promise to reveal more about how SpaceX will transition into a publicly traded powerhouse.
Tesla’s dreams of operating a fully autonomous ride-hailing platform just took a massive step toward reality, as two separate events have indicated the company is perhaps closer than ever to achieving self-driving as a product.
On Thursday, Tesla was granted authorization by the State of Texas to operate driverless vehicles in a commercial manner. On May 28, Senate Bill 2807, passed by the 89th Texas Legislature, took effect after being passed back on September 1, 2025.
The bill establishes a statewide regulatory framework requiring authorization from the Texas Department of Motor Vehicles for companies to operate automated vehicles commercially on Texas roads.
This covers driverless, or SAE Level 4+, operations for passenger transport, meaning Robotaxi, or freight.
Tesla and other companies can self-certify their vehicles and tech as long as they:
- Operate in compliance with Texas traffic laws
- Maintain proper registration, title, and insurance
- Use compliant automated driving systems
- Record onboard activity and handle system failures and glitches safely.
The new authorization, which was first reported by James Stephenson on X, allows companies to utilize their own processes to determine if their vehicles are ready to operate without drivers.
🚨BREAKING:
Tesla has been authorized by the State of Texas to operate driverless vehicles commercially under the new law that took effect today, May 28th, 2026. Tesla has officially self-certified the software running on its robotaxis as Level 4. $TSLA pic.twitter.com/KSJdsvlaW5— James Stephenson (@ICannot_Enough) May 28, 2026
It is a rule that expedites the entire approval process, keeping agencies out of a usually long, lengthy, and frustrating task that is essential to technological advancements. It essentially means Tesla can launch commercial Robotaxi operations at this point.
On the very same day, Tesla continued the momentum as CEO Elon Musk shared a video of Cybercab units autonomously driving off the property at Gigafactory Texas. This is a major step in the story of the Cybercab.
Mass production of the Cybercab started at Giga Texas in April, and it is already heading out of the factory on its own.
Cybercab driving itself out of the GigaTexas factory pic.twitter.com/EwAMVVDjYy
— Elon Musk (@elonmusk) May 28, 2026
These two major events mark a drastic step forward in Tesla’s progress toward Cybercab and the permissions it needs to operate a self-driving ride-hailing service. Tesla is now able to operate autonomously under Texas law by self-certifying, and with the potentially imminent rollout of Cybercab, Tesla’s autonomous dreams are starting to take serious shape.
Elon Musk
The Tesla and SpaceX merger everyone is talking about is quietly building
Tesla and SpaceX may be closer to merging than Wall Street or either company is admitting.
Elon Musk has reportedly discussed merging Tesla and SpaceX with people close to him, according to CNBC, which cited sources familiar with the conversation. Tesla employees have long expected such a transaction and the topic is openly discussed internally, according to internal sources. With SpaceX is days away from kicking off its Wall Street roadshow for what could be the largest IPO in market history, this would be the first time the company will have public market currency to execute a stock-for-stock deal with Tesla.
The financial logic for a merger would make sense. A combined SpaceX and Tesla would create a conglomerate spanning rockets, satellites, electric vehicles, AI infrastructure, and energy storage valued at roughly $3.35 trillion to $3.6 trillion based on SpaceX’s IPO target range and Tesla’s current market capitalization. The two companies are already more intertwined than most people realize. SpaceX bought $697 million worth of Tesla Megapack systems for xAI data centers and $131 million worth of Cybertrucks. Tesla invested $2 billion in xAI, which subsequently merged with SpaceX. Past transactions also include Tesla selling solar equipment and parts to SpaceX, and SpaceX helping with Cybertruck materials.
Will Tesla join the fold? Predicting a triple merger with SpaceX and xAI
Musk himself signaled where this was heading in November 2025 when he posted on X, “My companies are, surprisingly in some ways, trending towards convergence.” Tesla and SpaceX announced a joint semiconductor fabrication facility in Austin called Terafab on the Gigafactory Texas campus, covering two advanced chip factories, with one serving Tesla’s AI needs for vehicles and Optimus robots, the other targeting space-based data centers under SpaceX’s infrastructure vision.
Wedbush analyst Dan Ives places the probability of a merger at 80% to 90% with a target completion in the first half of 2027. The mechanics of a deal became possible the moment SpaceX filed its S-1. Legal experts said a merger likely would not spark antitrust issues but would raise concerns among shareholders in each company, with questions around which company would be the parent, how a stock swap would take place, and who determines the appropriate price. Musk holds about 20% of Tesla’s equity but controls 85.1% of SpaceX’s voting power through a super-voting share class, meaning he would largely be negotiating the terms with himself.
Not everyone is convinced the timing is imminent. Traders on Kalshi place only 33% odds that a merger will happen before May 2027. The more immediate concern for Tesla shareholders is whether the SpaceX IPO pulls capital and Musk’s attention away from Tesla before any merger consolidates the upside for both.
What is clear is that the structural groundwork is already being laid. The Terafab announcement, the xAI merger, the shared supply chain, the cross-company balance sheet transactions, and now the IPO all point in the same direction. Whether the merger follows in 2027 or later, the two companies are already operating more like divisions of a single entity than independent competitors.
Elon Musk strikes down reports on SpaceX IPO rumors
Tesla’s Robotaxi dreams just took a massive step toward reality
