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NASA chooses SpaceX to launch a self-propelled space station to the Moon

NASA has selected SpaceX to launch two modules - the backbone of a proposed lunar space station - on one Falcon Heavy rocket. (NASA)

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Days after SpaceX won a NASA contract to launch a galaxy-mapping space telescope, the space agency has selected Falcon Heavy to launch a small space station to the Moon some four years from now.

Loosely known as Gateway, NASA and a few of its ‘centers’ have been floating the concept for years – partially on its merits as a potential platform to dip toes into crewed deep spaceflight and explore the Moon but mostly as a way to give the bloated Space Launch System (SLS) rocket and Orion spacecraft a destination for destination’s sake. Weighed down by an extremely inefficient European Service Module (ESM), NASA couldn’t use Orion to replicate its famous Apollo Moon missions if it wanted to.

Lacking the necessary performance to safely place Orion and its astronauts into the Low Lunar Orbit (LLO) optimal for a new round of crewed Moon landings, Orion/ESM on its own is limited to higher, more exotic lunar orbits with less immediate value. As a result, NASA’s Lunar Gateway will be delivered to a “near-rectilinear halo orbit” (NRHO) where it will orbit the Moon’s poles at altitudes between 3,000 and 70,000 kilometers (1,900-43,000 mi).

NASA has selected SpaceX to launch two modules – the backbone of a proposed lunar space station – on one Falcon Heavy rocket. (NASA)

Bureaucratic machinations and sunk-cost fallacies aside, any space station orbiting the Moon would be an impressive technical feat and an undoubtedly exciting venture. NASA says SpaceX’s combined Power and Propulsion Element and Habitation and Logistics Outpost (PPE/HALO) Falcon Heavy launch contract will ultimately cost approximately $332 million, although that figure includes vague “other mission-related costs” that could have nothing to do with SpaceX and be separate from the company’s actual launch services.

Less than a year ago, NASA awarded SpaceX $117 million to launch Psyche – a scientific spacecraft with an overall cost similar to PPE/HALO – on Falcon Heavy.

Northrop Grumman’s interpretation of a mature lunar Gateway.

Possibly contributing to the unusually high cost is the fact that Falcon Heavy will need a stretched payload SpaceX is already working on for the US military to launch the massive PPE/HALO stack, which will stand around 15 meters (50 ft) tall and weigh ~14 metric tons (~31,000 lb) when combined. While heavy, that payload mass is somewhat mundane for SpaceX, which has launched 17 16-metric-ton batches of Starlink satellites since November 2019.

What isn’t mundane for SpaceX is launching such a large payload beyond Starlink’s low Earth orbit (LEO) destination. According to a virtual presentation recently given by a Northrop Grumman HALO engineer, PPE/HALO will be delivered to an elliptical orbit similar but lower than the geostationary transfer orbit (GTO; ~250 km by ~36,000 km) traditional for commercial communications satellites.

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Falcon Heavy’s stretched payload fairing is pictured here in a render accompanying plans to build a massive mobile service tower (MST) for specialized military missions. (SpaceX)

That low target orbit thankfully means that PPE/HALO wont be SpaceX’s first fully expendable Falcon Heavy launch. Depending on how far below GTO NASA is willing to accept, SpaceX could potentially launch PPE/HALO and attempt to land all three first boosters at sea, a configuration that leaves enough performance to send 10 metric tons to GTO. If SpaceX proposed Falcon Heavy with an expendable center core, the rocket could feasibly launch PPE/HALO beyond GTO, cutting the amount of time it would take for PPE to slowly spiral out to the Moon with its electric thrusters.

NASA says the launch is scheduled no earlier than (NET) May 2024 – decidedly optimistic given that the space agency has yet to even award HALO’s production contract.

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 AI Head says future FSD feature has already partially shipped

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Credit: Tesla

Tesla’s Head of AI, Ashok Elluswamy, says that something that was expected with version 14.3 of the company’s Full Self-Driving platform has already partially shipped with the current build of version 14.2.

Tesla and CEO Elon Musk have teased on several occasions that reasoning will be a big piece of future Full Self-Driving builds, helping bring forth the “sentient” narrative that the company has pushed for these more advanced FSD versions.

Back in October on the Q3 Earnings Call, Musk said:

“With reasoning, it’s literally going to think about which parking spot to pick. It’ll drop you off at the entrance of the store, then go find a parking spot. It’s going to spot empty spots much better than a human. It’s going to use reasoning to solve things.”

Musk said in the same month:

“By v14.3, your car will feel like it is sentient.”

Amazingly, Tesla Full Self-Driving v14.2.2.2, which is the most recent iteration released, is very close to this sentient feeling. However, there are more things that need to be improved, and logic appears to be in the future plans to help with decision-making in general, alongside other refinements and features.

On Thursday evening, Elluswamy revealed that some of the reasoning features have already been rolled out, confirming that it has been added to navigation route changes during construction, as well as with parking options.

He added that “more and more reasoning will ship in Q1.”

Interestingly, parking improvements were hinted at being added in the initial rollout of v14.2 several months ago. These had not rolled out to vehicles quite yet, as they were listed under the future improvements portion of the release notes, but it appears things have already started to make their way to cars in a limited fashion.

Tesla Full Self-Driving v14.2 – Full Review, the Good and the Bad

As reasoning is more involved in more of the Full Self-Driving suite, it is likely we will see cars make better decisions in terms of routing and navigation, which is a big complaint of many owners (including me).

Additionally, the operation as a whole should be smoother and more comfortable to owners, which is hard to believe considering how good it is already. Nevertheless, there are absolutely improvements that need to be made before Tesla can introduce completely unsupervised FSD.

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Tesla’s Elon Musk: 10 billion miles needed for safe Unsupervised FSD

As per the CEO, roughly 10 billion miles of training data are required due to reality’s “super long tail of complexity.” 

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Credit: @BLKMDL3/X

Tesla CEO Elon Musk has provided an updated estimate for the training data needed to achieve truly safe unsupervised Full Self-Driving (FSD). 

As per the CEO, roughly 10 billion miles of training data are required due to reality’s “super long tail of complexity.” 

10 billion miles of training data

Musk comment came as a reply to Apple and Rivian alum Paul Beisel, who posted an analysis on X about the gap between tech demonstrations and real-world products. In his post, Beisel highlighted Tesla’s data-driven lead in autonomy, and he also argued that it would not be easy for rivals to become a legitimate competitor to FSD quickly. 

“The notion that someone can ‘catch up’ to this problem primarily through simulation and limited on-road exposure strikes me as deeply naive. This is not a demo problem. It is a scale, data, and iteration problem— and Tesla is already far, far down that road while others are just getting started,” Beisel wrote. 

Musk responded to Beisel’s post, stating that “Roughly 10 billion miles of training data is needed to achieve safe unsupervised self-driving. Reality has a super long tail of complexity.” This is quite interesting considering that in his Master Plan Part Deux, Elon Musk estimated that worldwide regulatory approval for autonomous driving would require around 6 billion miles. 

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FSD’s total training miles

As 2025 came to a close, Tesla community members observed that FSD was already nearing 7 billion miles driven, with over 2.5 billion miles being from inner city roads. The 7-billion-mile mark was passed just a few days later. This suggests that Tesla is likely the company today with the most training data for its autonomous driving program. 

The difficulties of achieving autonomy were referenced by Elon Musk recently, when he commented on Nvidia’s Alpamayo program. As per Musk, “they will find that it’s easy to get to 99% and then super hard to solve the long tail of the distribution.” These sentiments were echoed by Tesla VP for AI software Ashok Elluswamy, who also noted on X that “the long tail is sooo long, that most people can’t grasp it.”

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Tesla earns top honors at MotorTrend’s SDV Innovator Awards

MotorTrend’s SDV Awards were presented during CES 2026 in Las Vegas.

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Credit: Tesla China

Tesla emerged as one of the most recognized automakers at MotorTrend’s 2026 Software-Defined Vehicle (SDV) Innovator Awards.

As could be seen in a press release from the publication, two key Tesla employees were honored for their work on AI, autonomy, and vehicle software. MotorTrend’s SDV Awards were presented during CES 2026 in Las Vegas.

Tesla leaders and engineers recognized

The fourth annual SDV Innovator Awards celebrate pioneers and experts who are pushing the automotive industry deeper into software-driven development. Among the most notable honorees for this year was Ashok Elluswamy, Tesla’s Vice President of AI Software, who received a Pioneer Award for his role in advancing artificial intelligence and autonomy across the company’s vehicle lineup.

Tesla also secured recognition in the Expert category, with Lawson Fulton, a staff Autopilot machine learning engineer, honored for his contributions to Tesla’s driver-assistance and autonomous systems.

Tesla’s software-first strategy

While automakers like General Motors, Ford, and Rivian also received recognition, Tesla’s multiple awards stood out given the company’s outsized role in popularizing software-defined vehicles over the past decade. From frequent OTA updates to its data-driven approach to autonomy, Tesla has consistently treated vehicles as evolving software platforms rather than static products.

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This has made Tesla’s vehicles very unique in their respective sectors, as they are arguably the only cars that objectively get better over time. This is especially true for vehicles that are loaded with the company’s Full Self-Driving system, which are getting progressively more intelligent and autonomous over time. The majority of Tesla’s updates to its vehicles are free as well, which is very much appreciated by customers worldwide.

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