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DeepSpace: SpaceX takes huge step towards Mars with flawless Crew Dragon performance
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While the mission is not done just yet, SpaceX is days away from (hopefully) wrapping up an extraordinarily smooth debut of its newest spacecraft, a human-rated vehicle known as Crew Dragon. Assuming no anomalous behavior during reentry, descent, and landing this Friday, SpaceX will likely be less than six months away from launching its first astronauts to the International Space Station (ISS), the most important step yet towards offering reliable and routine transport to Earth orbit and ultimately between Earth and Mars.
Founded by Elon Musk to kickstart a stagnant space industry and drive humanity to become an interplanetary species, SpaceX is in the process of building the first full-scale prototype(s) of the launch vehicle (Super Heavy) and spacecraft (Starship) it believes will deliver on those promises. Along with countless programmatic and technical lessons learned, every conceivable aspect of Crew Dragon’s development will feed directly into SpaceX’s development of Starship, meant to one day safely transport and land as many as 100 passengers on the surface of Mars.
A spacefaring civilization, one step at a time
In the process of building Crew Dragon, SpaceX has been forced to become rising experts in fields like human-rated environmental control and life support systems (ECLSS), as well as ensuring an even more extreme level of redundancy and reliability compared with SpaceX’s already high standards for their uncrewed Falcon rockets and Cargo Dragon spacecraft.
- More so than any particular piece of technology present on Crew Dragon, the process of both cooperating and grappling with NASA to build the spacecraft to high standards and ‘certify’ it has hopefully had an extremely positive impact on SpaceX’s own engineers and company-wide standards, albeit potentially at the cost of some of the willingness to take risks and move quickly.
“I’m personally convinced that this has made, certainly, SpaceX better, to have NASA guide us, and to look at requirements, and to try to question requirements, and what’s the true reason behind those requirements, and then basically comply with the overall safety culture that NASA taught us, I would say, to some extent. And so I feel like it certainly made a better SpaceX and made better engineers out of the SpaceX engineers. And I really appreciate that very much.”
-Hans Koenigsman, Vice President of Mission Assurance, SpaceX
Feet in Earth orbit, head in the Martian clouds
- Regardless, the end result will ultimately be a reliable spacecraft capable of transporting an average of 4-7 astronauts to and from the ISS, whether that end result is the result of near-perfect execution the first time around or discovering and fixing problems during flight tests.
- Compared to NASA, SpaceX prefers a radically agile approach to development, meaning that the company will rapidly build, test, and fly iterations of the same hardware of software, beginning with the minimum viable product and ending (although improvement never really ends) with an advanced solution optimized by extensive lessons learned.
- Through the process of building Crew Dragon, SpaceX has hopefully absorbed most of the valuable lessons and practices NASA can often be rich with while rejecting the unhealthy and unsuccessful tendencies that contribute to NASA’s distinctly unimpressive modern efforts to build human-rated rockets (SLS) and spacecraft (Orion, Space Shuttle).
- With that knowledge and technical experience, SpaceX may already have an extremely strong foundation upon which it can build its next-gen spacecraft, Starship. In theory, Crew Dragon’s life support system – meant to support up to 7 astronauts with extreme reliability and safety – should be able to scale up to ECLSS fit for dozens or hundreds of passengers.
- In a worst-case scenario relative to mass efficiency, SpaceX could quite literally package Crew Dragon’s ECLSS system into a module and duplicate it as many times as needed for a given Starship crew. Identical modules could then be transported in a cargo bay for any structures built on the surface of Mars or the Moon.
- Understandably, Crew Dragon does not need a significant number of systems critical for longer stays in space, as it is only designed to support humans for approximately one week in free-flight. SpaceX will still need to develop extremely efficient recycling systems, used to recycle water, oxygen, and other consumables to extend the amount of time the ISS (or Starship/Mars colonies) can operate without external supply deliveries.
- In essence, recycling technology is roughly (or sometimes exactly) equivalent to something known as in-situ resource utilization (ISRU), basically prioritizing local resources over shipped goods. A small subset of SpaceX’s future projects team has been working on ISRU – particularly Sabatier reactors for Starship refueling on Mars – for several years.
- In late 2017, Elon Musk stated that the design and development of SpaceX’s own ISRU hardware were “pretty far along.”
Mission Updates:
- SpaceX’s Crew Dragon spacecraft will attempt its first orbital-velocity reentry and Atlantic Ocean splashdown on the morning of Friday, March 8th.
- The second launch of Falcon Heavy could occur as early as late March
- Aside from DM-1 and Falcon Heavy Flight 2, it’s unclear what SpaceX mission will happen next. DM-1 may be the only SpaceX launch in March, while several missions are tentatively scheduled for April and May.
Photos of the week:
B1051 returned to Port Canaveral three days after successfully sending Crew Dragon on its first orbital mission. Thanks to the relatively low-energy trajectory and gentle reentry, SpaceX should be able to refurbish the booster extremely quickly.(c. Tom Cross, Pauline Acalin)
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
SpaceX to become America’s Military data backbone for missiles, drones, and warfighters
The Space Force just handed SpaceX $2.29 billion to build the military’s space internet backbone.
The U.S. Space Force awarded SpaceX a $2.29 billion contract on May 26, 2026 to build the backbone of its Space Data Network, a satellite-based communications system designed to keep American military forces connected anywhere on Earth in real time. The contract is firm-fixed-price and requires SpaceX to deliver a fully operational prototype by the end of 2027.
In plain terms, the SDN Backbone is the plumbing behind the military’s space-based internet. It functions as a low Earth orbit satellite constellation providing robust, high-capacity, and low-latency data transport for the Joint Force, connecting sensors and weapons systems continuously, globally, and securely. Think of it as a private, hardened version of Starlink built specifically for battlefield communications, one that soldiers, ships, and aircraft can rely on even in contested environments where ground-based networks have been disrupted.
SpaceX is quietly becoming the U.S. Military’s only reliable rocket
The Space Force was direct about why SpaceX was selected. “The SDN Backbone leverages the best of commercial innovation and delivers a strong foundation for the SDN mission set — a huge benefit and enabler for our warfighters,” said USSF Col. Ryan Frazier.
“We aren’t trading speed for scale; we are demanding both. By using rapid prototyping and Other Transaction Authorities, we are ensuring our advanced solutions are integrated and delivered to the warfighter as fast as possible,” added USSF Lt. Col. Fry, SDN Backbone system program manager.
The SDN Backbone will work alongside the Space Development Agency’s Transport Layer, with the two systems forming a unified open architecture to provide critical data transport for current and future Department of War missions.
As Teslarati has reported, this is not SpaceX’s first Space Force contract of 2026. In April, the Space Force awarded SpaceX $178.5 million to launch missile tracking satellites, and SpaceX is already embedded in the Golden Dome missile defense software group. The $2.29 billion SDN Backbone award puts SpaceX at the center of how the American military communicates in space, a position with direct implications for its reported $1.75 trillion IPO valuation as the company heads toward a public offering as early as June 2026.
Tesla’s dedicated factory for building up to ten million Optimus units is officially under construction at Gigafactory Texas.
Drone footage released on May 27 by Giga Texas observer Joe Tegtmeyer captures the significant milestone of the first steel structure officially standing at Tesla’s new Optimus factory on the North Campus of the facility.
Phase two of land reclamation is advancing steadily, and the progress will let the new building extend nearly the full length of the main Giga Texas factory, potentially exceeding 4,000 feet, while measuring somewhere between 50 and 70 meters narrower. Extensive foundation work is proceeding as well.
Big news at the new Optimus 10m/y factory construction site today! The 1st steel structure has been erected & as expected the second phase of land reclamation is underway.
This will allow this new factory to grow to nearly the same length as the main Giga Texas factory,… pic.twitter.com/FidRLV6XpU
— Joe Tegtmeyer 🚀 🤠🛸😎 (@JoeTegtmeyer) May 27, 2026
This facility forms a central element of Tesla’s broader North Campus expansion at Giga Texas. The project will add more than 5.2 million square feet of new industrial space. It sits alongside other advanced developments, including a Terafab for next-gen AI chips. The scale reflects Tesla’s commitment to transforming humanoid robotics into a core pillar of the company’s future.
Musk has said that Optimus will be the biggest product in the world on several occasions. He believes it will be Tesla’s biggest valuation contributor.
Tesla prepares to expand Giga Texas with new Optimus production plant
Tesla plans to build about 10 million robots at the site annually once it is completed, which would be about 27,000 units each day.
The Optimus plant at Giga Texas is part of Tesla’s phased strategy for Optimus manufacturing. In an effort to start production of the robot well before the Giga Texas plant is complete, Tesla ended production of the Model S and Model X vehicles, which were built in Fremont, California, to make way for initial Optimus manufacturing efforts.
Production there will start in either July or August of this year, and early units will support internal factory tasks while the team gathers real-world data to refine processes. The Gigafactory Texas facility will house a second-gen production line. It targets high-volume output starting in Summer 2027.
Musk has repeatedly described Optimus as potentially more valuable than Tesla’s entire vehicle business. Current versions are already completing minor tasks around various facilities, while Tesla continues to refine its abilities and add new features.
Tesla’s total investment could reach several billion dollars. Significant challenges lie ahead, including the creation of an entirely new manufacturing ecosystem, the refinement of AI systems for dependable autonomy, and the development of reliable supply chains for actuators, sensors, and other components.
Nevertheless, the visible progress at Giga Texas highlights Tesla’s capacity to translate ambitious concepts into physical reality.
Tesla’s Optimus factory stands as much more than a simple expansion project, as it is quite literally the second phase of what could potentially be the biggest product ever. With construction beginning, 2027 is poised to become a transformative year for Tesla, as it evolves even further from an electric vehicle leader into a pioneer of intelligent, general-purpose machines.
The Tesla and SpaceX merger everyone is talking about is quietly building
SpaceX to become America’s Military data backbone for missiles, drones, and warfighters
