News
SpaceX Falcon Heavy goes vertical with Musk’s Tesla as launch nears
After approximately half a decade of concerted and less-than-patient waiting, long-time followers of SpaceX have, for the first time ever, seen SpaceX’s first completed Falcon Heavy rocket roll out to the launch pad and go vertical at the same complex that hosted every single Apollo moon landing, LC-39A.
This is a historic moment in SpaceX’s history, even if it culminates in nothing more than a quiet rollout and roll-back to the historic pad’s integration facilities. For at least several years, it has been a running (lighthearted) joke within the fan community that Falcon Heavy is permanently six months away from launch. Outside of the rocket company’s supporters, however, that fan humor gained a heavier tinge, and Falcon Heavy essentially became the strawman with which SpaceX detractors could ream the company’s greater (and even relatively minor) ambitions as over-promised, unrealistic dreams to one day also become permanently delayed. While seasoned spaceflight journalists rarely partook in the Falcon Heavy bashing, pop journalism and the titans of the global launch industry certainly took advantage of the apparent weakness as the preeminent example of SpaceX’s tendency towards delays. Even SpaceX’s conservative supporters understandably saw the significance when two customers ultimately chose to move their payloads elsewhere due to Falcon Heavy’s relentless delays.
Falcon Heavy went vertical at LC-39A for the first time today! Here’s a few shots (taken through much haze) from Playalinda Beach. pic.twitter.com/gsOL9tAfTN
— John Kraus (@johnkrausphotos) December 28, 2017
However, the reality was rather clear to those that followed the agile launch company and paid attention to the statements of its executive management, including CEO Elon Musk. Ultimately, Falcon Heavy was not a priority and was only ever going to capitalize upon a minority of the satellite launch industry, given the rarity of satellites heavy enough to need the massive vehicle. While Falcon Heavy would undoubtedly be invaluable for SpaceX’s grander ambitions of interplanetary exploration and transport, those ambitions simply did not compare in importance to solving Falcon 9 design and supply chain issues that caused the failures of CRS-7 and Amos-6. Nor were they more crucial than the launch company’s need for a stable cadre of trusting customers, simply upgrading the already-operational Falcon 9, or the perfection of first stage reusability – all of which would explicitly impact the utility of Falcon Heavy.
A panorama of LC-39A from late-November. Falcon Heavy will likely launch from this pad in January 2018. (Tom Cross/Teslarati)
SpaceX’s official July 2017 confirmation that Red Dragon had been cancelled further guaranteed that Falcon Heavy would only ever be a niche product, maybe even little more than a symbolic stopgap to fill a tiny industry niche and soothe delay-stricken nerves. SpaceX does have at least a handful of Falcon Heavy customers still hopefully awaiting its operational status, but it is quite clear that the company sees its value most as a method of both reassuring the world that its infamous delays are only temporary, as well as relatively economically fueling the development of a reusable super-heavy launch vehicle, expertise that would inevitably benefit the Mars-focused BFR as it too begins development. At a minimum, it will provide SpaceX’s launch, design, and manufacturing experts a sort of base of knowledge about building and operating rockets with ~30 or more first stage engines – the 2017 iteration of BFR is likely to sport 31. It’s also possible that Falcon Heavy could provide the margins necessary to allow SpaceX to attempt recoveries of Falcon’s second stage, a purely experimental effort that would feed directly into the development of the fully-reusable BFR upper stage the company hopes to build, BFS.
Thus, while Falcon Heavy’s inaugural launch may not be explicitly important to SpaceX’s near-term business strategy, it will in almost every way mark one of its first tailor-made steps towards Mars, perhaps both literally and figuratively. Rather humorously, SpaceX (or Elon Musk … probably just Elon Musk) has chosen to replace the boilerplate mass simulator often flown as a payload for inaugural launches of most launch vehicles (Falcon 9 included) with a rather unique mass simulator: Musk’s own first-generation Tesla Roadster. While it has yet to be specified what the specific destination of the second stage and Roadster are, nor what – if any – functional payload is to be included, Musk did suggest that the destination would be a “billion-year Mars orbit.” The nitpick here is hugely significant, as ‘simply’ launching the Roadster into a solar orbit at a similar distance to Mars (still an impressive accomplishment) would be decidedly less impressive than actually injecting the Roadster into orbit around Mars. Pictures released by SpaceX show no additional boost stages attached to the Roadster, so a Martian orbit would require Falcon Heavy’s second stage to coast in deep space for several months while generating enough power to prevent its propellant from freezing and maintain contact with ground control, especially in the rather likely event that SpaceX (and Musk) hope to acquire some rather absurd and iconic images from the inaugural launch and its space travels.
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- The first-ever Falcon Heavy (sans payload and fairing) shown inside Pad 39A’s horizontal integration facility (HIF). (SpaceX)
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- Elon Musk’s Roadster seen before being encapsulated in Falcon Heavy’s massive payload fairing. Below the Tesla is the payload adapter, which connects it to the rocket. (SpaceX)
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- Finally, the fairing is transported vertically to the HIF, where it can be flipped horizontal and attached to its rocket. (Reddit /u/St-Jed-of-Calumet)
History and symbolism aside, it can now be said with utter certainty that Falcon Heavy is very real and is likely to launch very soon. The vehicle’s first-ever integrated rollout to Pad 39A is almost certainly intended only for “fit-checks,” a verification that the pad and brand new vehicle are meshing well together, but it is still the first time in the company’s history that FH visibly exists, and there can be little doubt that the photo opportunity was not taken advantage of. After fit checks are performed, likely over the course of a day or two, Falcon Heavy will be most likely be brought horizontal and rolled back into 39A’s integration facilities, where it will be prepared for its first full-up wet dress rehearsal (WDR) and static fire, possibly including the cautionary removal of the second stage and Roadster payload. Because the vehicle is inherently new, as are many of the upgraded ground systems needed to support it, bugs are highly probable along the road to launch. However, if the first WDR and static fire go precisely as planned, the first launch attempt can be expected to occur about a week later – maybe sooner, maybe later.
All things considered, SpaceX is clearly moving full speed ahead with Falcon Heavy’s launch preparations, and it seems highly probable that the company’s schedule will allow for January launch, even if minor issues mean that multiple WDRs or static fires are required. Elon Musk certainly hedged his bets earlier this summer by aggressively inflating the probability that Falcon Heavy fails on its launch pad, famously stating that a success in his eyes would be the vehicle clearing the pad without destroying LC-39A. In reality, SpaceX would not in a million years haphazardly risk the destruction of Pad 39A, and the company is almost certainly quite confident that the pad is at most marginally at risk of severe damage. One thing that Musk cannot be criticized for is the argument that one way or another, Falcon Heavy’s inaugural launch will be a sight to behold. While the payload may indeed be heading to or towards Mars, SpaceX still plans to attempt recovery of all three of Falcon Heavy’s first stages: both side cores are expected to land almost simultaneously at LZ-1’s two landing pads, while the center booster will follow a parabola out into the Atlantic for a landing aboard the droneship Of Course I Still Love You, truly a spectacle to behold regardless of success or failure.
My capture of @SpaceX #FalconHeavy making her #39A debut today. Taken with my Nikon D3300 with 300mm lens from the Canaveral National Seashore Vista 8. I must admit I have enjoyed watching the reactions to seeing it on the pad. My reaction… WHOA @NASASpaceflight @lorengrush pic.twitter.com/fEntFCwCO8
— Julia Bergeron (@julia_bergeron) December 28, 2017
Follow along live on Twitter and Instagram as our launch photographer Tom Cross documents Falcon Heavy’s last steps along its journey to first flight, as well as Falcon 9’s imminent launch of the mysterious Zuma payload, currently NET January 4.
Cover photo courtesy of spaceflight fan and photographer Richard Angle. Follow him on Instagram at @rdanglephoto!
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.
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.
Tesla is bringing closure to its flagship Model S and Model X vehicles, which CEO Elon Musk said several years ago were only produced for “sentimental reasons.”
The Model S and Model X have been light contributors to Tesla’s delivery growth over the past few years, commonly contributing only a few percentage points toward the over 1.7 million cars the company has handed over to customers annually since 2022.
However, the Model S and Model X have remained in production because of their high-end performance and flagship status; they are truly two vehicles that are premium offerings and do not hold major weight toward Tesla’s future goals.
On Wednesday, during the Q4 2025 Earnings Call, Musk confirmed that Tesla would bring closure to the two models, ending their production and making way for the manufacturing efforts of the Optimus robot:
“It is time to bring the Model S and Model X programs to an end with an honorable discharge. It is time to bring the S/X programs to an end. It’s part of our overall shift to an autonomous future.”
Musk said the production lines that Tesla has for the Model S and Model X at the Fremont Factory in Northern California will be transitioned to Optimus production lines that will produce one million units per year.
Tesla Fremont Factory celebrates 15 years of electric vehicle production
Tesla will continue to service Model S and Model X vehicles, but it will officially stop deliveries of the cars in Q2, as inventory will be liquidated. When they’re gone, they’re gone.
BREAKING: Tesla will wind down Model S and Model X production next quarter, Elon Musk confirms.
“It is time to bring the Model S and Model X programs to an end with an honorable discharge.” pic.twitter.com/Czn7aQjJE1
— TESLARATI (@Teslarati) January 28, 2026
Tesla has been making moves to sunset the two vehicles for the better part of one year. Last July, it stopped taking any custom orders for vehicles in Europe, essentially pushing the idea that the program was coming to a close soon.
Musk said back in 2019:
“I mean, they’re very expensive, made in low volume. To be totally frank, we’re continuing to make them more for sentimental reasons than anything else. They’re really of minor importance to the future.”
That point is more relevant than ever as Tesla is ending the production of the cars to make way for Optimus, which will likely be Tesla’s biggest product in the coming years.
Musk added during the Earnings Call on Wednesday that he believes Optimus will be a major needle-mover of the United States’ GDP, as it will increase productivity and enable universal high income for humans.
Investor's Corner
LIVE BLOG: Tesla (TSLA) Q4 and FY 2025 earnings call
Tesla’s (NASDAQ:TSLA) earnings call follows the release of the company’s Q4 and full-year 2025 update letter.
Tesla’s (NASDAQ:TSLA) earnings call follows the release of the company’s Q4 and full-year 2025 update letter, which was published on Tesla’s Investor Relations website after markets closed on January 28, 2025.
The results cap a quarter in which Tesla produced more than 434,000 vehicles, delivered over 418,000 vehicles, and deployed 14.2 GWh of energy storage products. For the full year, Tesla produced 1.65 million vehicles and delivered 1.63 million, while total energy storage deployments reached 46.7 GWh.
Tesla’s Q4 and FY 2025 Results
According to Tesla’s Q4 and FY 2025 Update Letter, the company posted GAAP earnings per share of $0.24 and non-GAAP EPS of $0.50 in the fourth quarter. Total revenue for Q4 came in at $24.901 billion, while GAAP net income was reported at $840 million.
For full-year 2025, Tesla reported GAAP EPS of $1.08 and non-GAAP EPS of $1.66 per share. Total revenue reached $94.83 billion, including $69.53 billion from automotive operations and $12.78 billion from the company’s energy generation and storage business. GAAP net income for the year totaled $3.79 billion.
Earnings call updates
The following are live updates from Tesla’s Q4 and FY 2025 earnings call. I will be updating this article in real time, so please keep refreshing the page to view the latest updates on this story.
16:25 CT – Good day to everyone, and welcome to another Tesla earnings call live blog. There’s a lot to unpack from Tesla’s Q4 and FY 2025 update letter, so I’m pretty sure this earnings call will be quite interesting.
16:30 CT – The Q4 and FY 2025 earnings call officially starts. IR exec Travis Axelrod opens the call. Elon and other executives are present.
16:30 CT – Elon makes his opening statement and explains why Tesla changed its mission to “Amazing Abundance.” “With the continued growth of AI and robotics, I think we’re headed towards a future of universal high income,” Musk said, adding that along the way, Tesla will still be improving its products while keeping the environment safe and healthy.
16:34 CT – Elon noted that the first steps for this future are happening this year, thanks to Tesla’s autonomy and robotics programs, which will be launching and ramping this year. He also highlighted that Tesla will be making major investments this year, though the company will be very strategic when it comes to its funding. “I think it makes a ton of strategic sense,” Musk said.
16:36 CT – Elon also announces the end of the Model S and Model X programs “with an honorable discharge.” If you’re interested in buying a Model S or X, it’s best to do it now, Musk said. The Model S and Model X factory in Fremont will be replaced by an Optimus line. “It’s slightly sad, but it is time to bring the S and X program to an end. It’s part of our overall shift to an autonomous future,” Musk said.
16:38 CT – Elon discusses how Unsupervised FSD is now starting for the Robotaxi service. He noted that these Unsupervised Robotaxis don’t have any chase cars as of yesterday. He reiterated Tesla’s plans for owners to be able to add their own vehicles to the Robotaxi fleet. Autonomy target for the end of the year is about a quarter or half of the United States, Musk said.
16:41 CT – Elon noted that the Tesla Energy team is absolutely killing it. He also stated that Tesla expects its Energy business to continue growing, and that the “solar opportunity is underrated.”
16:43 CT –Elon also added that Tesla Optimus 3 will be unveiled in about three months, probably. The Model S and Model X line in Fremont will be a million-unit Optimus production line. Looks like Optimus is really coming out of the gate with large, meaningful volumes. “The normal S curve for manufacturing ramps is longer for Optimus,” Musk stated. “Long term, I think Optimus will have a significant impact on the US GDP.”
16:44 CT – Elon closes his opening statements with a sincere thanks to the Tesla team. He also noted that he feels fortunate to be able to work alongside such a talented workforce.
Elon ends his opening remarks with an optimistic prediction about the future.“The future is more exciting than you can imagine,” he concluded.
16:47 CT – Tesla CFO Vaibhav Taneja makes his opening remarks. He discusses several aspects of Tesla’s Q4 milestones. He noted that Tesla Energy achieved yet another gross profit record during the fourth quarter. There’s insane demand for the Megapack and Powerwall. Backlogs for these products are healthy this 2026. He also noted that Tesla ended 2025 with a bigger vehicle order backlog compared to recent years.
16:53 CT – Investor questions from Say begin. The first question is about Tesla’s expectations for the Robotaxi Network. Lars Moravy noted that it has the advantage of manufacturing and scale, and Tesla believes that the Robotaxi Network will significantly grow year over year. Elon highlighted that the Cybercab will be produced with no steering wheel or pedals. No fallback. Elon also noted that Tesla expects to produce more Cybercabs than all its other vehicles combined in the future.
16:51 CT – The next question is if Tesla still expects to launch new models, such as affordable cars. Lars Moravy noted that Tesla did release affordable variants last year, and Tesla is still pushing hard to lower its costs. That being said, Tesla is really pushing the Cybercab as its total addressable market is larger than consumer-owned cars. Lars also mentioned that Tesla will produce different vehicles for its Robotaxi services.
16:56 CT – Elon noted that eventually, Tesla will produce mostly autonomous cars. The exception would be the next-generation Roadster, which will be a true driver’s car.
17:03 CT – A question about Elon’s past comments about a potential next pickup truck was asked. Lars noted that the Cybertruck is still performing well in the electric pickup truck segment, though Tesla is known for flexibility. Elon added that Tesla will be transitioning the Cybertruck line to a fully autonomous vehicle line. He also stated that the Cybertruck is a useful vehicle. “An autonomous Cybertruck will be useful for that.”
17:10 CT – A question was asked about when FSD will be 100% Unsupervised. Elon noted that 100% Unsupervised FSD is already being used today, though only in the Austin Robotaxi program. Tesla is still being extremely careful with its rollout.
When asked about Tesla’s chip program, Elon noted that he feels pretty good about Tesla’s chip strategy. But in terms of selling Tesla’s chips outside Tesla, the company has to make sure it has enough chips for Optimus robots, data centers, and other programs first.
17:18 CT – Analyst questions begin. First up is Wolf Research. He asks about Tesla’s increasing Capex, specifically where the majority of it is going. The Tesla CFO noted that programs in six factories are going live this year, so that consumes Capex. The Optimus program also consumes a lot of resources. The growth of Tesla’s current capacity is also consuming a lot of resources. As for how these programs will be funded, the CFO pointed to Tesla’s massive war chest, as well as initiatives such as the Robotaxi Network.
17:21 CT – Morgan Stanley asks about Tesla’s xAI investment. The analyst asked about more information about how Tesla and xAI will work together. The CFO noted that this investment is part of Master Plan Part IV. Elon also mentioned some advantages for xAI’s technology for Tesla’s products, like Grok being used to manage a Robotaxi fleet or a group of Optimus robots.
17:24 CT – Barclays asks Elon about the constraints on memory. Does Tesla have any near term constraints for Tesla vehicles’ memory? Elon responded that the Tesla AI computer is already very compute and memory-efficient. The intelligence per gigabyte is important. Musk noted that Tesla is ahead of the industry by an order of magnitude or more.
17:29 CT – Cannacord asks about startups from China entering the humanoid market. What competitive advantage does Optimus have compared to these rivals? Elon stated that he believes China will be a key competitor in the humanoid robot market. China will be the toughest competitor for Tesla. That being said, Elon noted that Tesla believes Optimus will be ahead in real-world intelligence, electromechanical dexterity, and hand design.
Tesla (TSLA) Q4 and FY 2025 earnings call: The most important points
Tesla brings closure to flagship ‘sentimental’ models, Musk confirms
