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SpaceX ships Starship hardware from Florida to Texas to speed up production
After appearing unexpectedly at SpaceX’s Port Canaveral docks last month, several large pieces of Starship flight and manufacturing hardware were successfully shipped from Florida to Texas, arriving at the company’s Boca Chica build and launch site two weeks ago.
Previously discussed on Teslarati, the hardware transfer signals a significant shift in the development strategy for SpaceX’s next-generation Starship-Super Heavy launch vehicle. Most notably, SpaceX has chosen to prioritize Texas in the near term while the company’s Florida facilities instead aim for longer-tail milestones like the first Super Heavy-capable launch site and a new production facility located much closer to that launch site.
While the hardware SpaceX has sent over is relatively minor in the scope of producing a brand new Starship prototype, it will at least somewhat expedite the process thanks to the inclusion of what appears to be a completed propellant tank dome. Additionally, it’s possible that this December 8th hardware delivery will not be the last – a large amount of hardware remains at SpaceX’s Cocoa, Florida Starship production facility, including several ring sections and a nearly finished nose section, among a number of other parts.
As discussed last month, SpaceX has reportedly decided to more or less shutter its Cocoa facilities, transferring all permanent employees who wished to stay to Boca Chica, TX, Cape Canaveral, FL, or Hawthorne, CA facilities. SpaceX’s Starship presence in Florida is in no way done but it does sound like it’s in for at least several months of downtime.
“According to former Cocoa employee that spoke to reporter and channel creator Felix Schlang, SpaceX has reportedly transferred up to 80% of the Starship facility’s workforce to other groups in Florida and Texas. Instead of the friendly internal competition that pitted Cocoa against Boca Chica in the race to first Starship flight, SpaceX is temporarily slowing down its Florida build operations and will redirect as much of its workforce and resources as possible to Boca Chica.
Schlang’s source says that this will likely result in several months of relative downtime in Florida, while he was also told that Starship Mk2 and Mk4 are now effectively dead before arrival as a result of several challenging and reoccurring technical issues. Starship Mk2 likely shares some significant heritage with Starship Mk1, which lost its top during a pressure test. Roughly two-dozen steel Starship Mk4 rings may also be scrapped after SpaceX’s Florida team could not overcome a technical hurdle. Per the source, many of those single-weld steel rings were slightly different diameters, making it next to impossible to build a sound pressure vessel (i.e. Starship Mk4) with them.”
Teslarati.com — December 2nd, 2019
In line with that, SpaceX loaded transport ship GO Discovery with two large steel mounts and a finished tank dome originally believed to be intended for Starship Mk4 and Florida Starship production in general. Those parts arrived in Texas around five days later on December 8th and were rapidly moved from Port of Brownsville to SpaceX’s Boca Chica production facilities.
The ring-like steel structures will likely take the place of (or complement) the concrete structures SpaceX used to mount and assembly Starship Mk1. Likely significantly lighter, steel ring mounts allow far easier access underneath for technicians and engineers while also being much easier to transport in the event that SpaceX wants to reorganize its Starship ‘factory’.
Since arriving at the Boca Chica build site, SpaceX stored the assembly rings off to the side while the Starship Mk3 tank dome (i.e. bulkhead) was situated more centrally. So much is going on at SpaceX’s Boca Chica facilities that it’s no longer easy to determine what is being worked on just from observing, but it’s clear that the employees are working around the clock to prepare for Starship Mk3 assembly.
One or two new tank domes in various states of production are visible, contractors are constructing a warehouse-sized sprung structure (i.e. tent), and technicians are working to refine improved methods of forming the cylindrical steel rings that make up most of Starship. It can’t yet be said that Starship Mk3 has truly begun to take shape, but it’s clear that the goal is to ensure that the process is dramatically faster than it was with Starship Mk1, which took at least half a year to go from first ring stacking to pressure testing.
It’s safe to say that 2020 is going to be an incredibly busy and productive time for SpaceX’s next-generation rocket.
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Tesla shared a striking video showcasing the decommissioning of the original Model S and Model X assembly line at its Fremont Factory in Northern California. Completed in just 46 days, the teardown involved heavy machinery dismantling concrete pits, removing robotic arms and conveyors, and clearing the space for new production.
The post, captioned “End of an era,” captured both the end of a historic chapter and Tesla’s aggressive pivot toward its next major initiative, Optimus.
End of an era: Decommissioning the original Model S & X assembly line in just 46 days pic.twitter.com/kGEdfhl62h
— Tesla Manufacturing (@gigafactories) July 10, 2026
The decision to retire the Model S and Model X originated during Tesla’s Q4 2025 Earnings Call in late January 2026. CEO Elon Musk announced that production of the company’s flagship sedan and SUV would wind down by the end of Q2 2026, describing it as bringing the programs to an “honorable discharge.”
Custom orders ceased around early April 2026, with the final vehicles rolling off the line in early May. A special signature delivery ceremony on May 20 marked the emotional close for these vehicles, which had defined Tesla’s early success and luxury EV segment since the Model S launch in 2012.
The primary reason for tearing down the lines was to repurpose the valuable factory floor space for high-volume production of Tesla’s Optimus humanoid robot. Musk had indicated on Earnings Calls that the Fremont S/X line would be replaced by a dedicated Optimus manufacturing line targeting a capacity of one million units per year.
This move aligns with Tesla’s broader strategic shift from traditional vehicle manufacturing toward robotics and artificial intelligence, leveraging the company’s expertise in autonomy, AI training, and high-volume production.
Optimus, Tesla’s general-purpose humanoid robot, is designed to perform repetitive or dangerous tasks in factories, warehouses, and eventually homes. Powered by Tesla’s AI and Neural Networks, it aims to be a versatile, affordable platform. Production of Optimus Gen 3 is already underway in limited form at Fremont, with full-scale output on the converted line expected to begin in late July or August.
Tesla is targeting rapid scaling, with internal ambitions pointing toward tens or even hundreds of thousands of units annually by the end of 2026.
Longer-term, Tesla is constructing a much larger second-generation Optimus facility at Giga Texas, with potential capacity reaching millions of units per year. The company views Optimus as a transformative product that could eventually surpass its automotive business in scale and value, enabling widespread deployment of useful robots across industries. CEO Elon Musk has even predicted it would be the most popular product of all-time.
As one era closes at Fremont, another is rapidly taking shape.
Elon Musk posted a candid admission on his social media platform X on June 9, declaring that he had been “clearly wrong” about Anthropic. The statement marked a notable reversal from his earlier skepticism toward the AI company.
In September, Musk had written, “Winning was never in the set of possible outcomes for Anthropic,” reflecting his view at the time that the startup had lacked the foundation or even the trajectory to succeed in what is an incredibly intense race for advanced artificial intelligence.
Musk’s latest post came amid discussion of Anthropic’s reliance on external compute resources. He praised the company’s progress, stating that Anthropic is “obviously currently the leader in AI” and that “no company has released a model as good as Mythos/Fable,” with expectations of a strong follow-up in Mythos 2.
The tone shifted dramatically from dismissal to acknowledgement of superior performance.
I was clearly wrong about Anthropic. They are obviously currently the leader in AI. No company has released a model as good as Mythos/Fable and they will undoubtedly have Mythos 2 ready soon.
And I would never cut them off in a way that hurt them badly, even as a competitor.…
— Elon Musk (@elonmusk) July 9, 2026
The context of Musk’s comments added significance. Anthropic has been operating under a recent compute deal with SpaceXAI, Musk’s AI infrastructure-focused venture. The pair entered a short-term GPU lease agreement initiated in May, providing Anthropic access to critical computing power for training and deploying its frontier models.
SpaceXAI signs agreement with Anthropic for massive AI supercomputer access
Some observers had speculated that Musk could leverage this dependency to disadvantage a rival. Musk directly addressed the possibility, writing, “I would never cut them off in a way that hurt them badly, even as a competitor. That’s not my style.”
To support his commitment to ethical competition, Musk referenced concrete examples from his other companies. Tesla famously open-sourced its entire portfolio of electric vehicle patents in 2014. The move was designed to accelerate the global adoption of sustainable transportation technology rather than protect proprietary advantages.
Tesla also made its Supercharger network available to competing electric vehicle manufacturers, transforming what could have remained an exclusive charging ecosystem into a shared infrastructure that benefits the broader industry and reduces barriers for EV adoption.
Musk further pointed to SpaceX’s practices, noting that the company launches satellites for competing commercial systems “with no increase in price or use of unfair terms.” He extended the principle to his social platform, observing that “even my worst enemies attack me on this platform,” underscoring preference for open discourse over retaliation.
These examples have illustrated Musk’s long-standing philosophy that long-term technological progress is best served by open competition and infrastructure sharing rather than leveraging market power to stifle rivals. In the fast-evolving AI sector, where compute resources and model capabilities determine leadership, Musk’s stance suggests a willingness to compete on innovation and performance alone.
Musk’s admission arrives as SpaceXAI itself advances its own frontier models while maintaining business relationships across the ecosystem. By publicly correcting his earlier assessment and reaffirming principles of fair play, Musk highlights a model of competition that prioritizes advancement of the field over short-term tactical advantages.
A Tesla analyst believes the company’s Full Self-Driving suite is close to an “inflection point,” where people will finally realize that it is more than what it appears, similar to how many view the iPhone.
Pierre Ferragu, an analyst who has covered Tesla for many years at New Street Research, says the Full Self-Driving suite is one piece of evidence supporting the view that a Tesla is more than a car. He compared it to the iPhone and noted that the high price tag seemed like a lot for a phone early on. Then people realized the iPhone was more than just something you make calls with. It made their lives simpler.
🚨 Analyst @p_ferragu says Tesla Full Self-Driving is at an “inflection point” in a recent commentary:
“A Tesla is not a car, the same way an iPhone was not a phone. As a tool that gets you to work peacefully every morning, it is not expensive. Give us 2 more quarters to see… pic.twitter.com/tm6xFrjVPV
— TESLARATI (@Teslarati) July 10, 2026
Suddenly, that price tag was justified.
Tesla offers several models under the average transaction price for a new vehicle, which was above $49,000, according to Kelley Blue Book. However, that does not take into account that many people can still not afford a $35,000 vehicle. Ferragu offers his thoughts:
“Remember when the addressable market of the iPhone was 10 million units? Then people realized how good it was, and now, nearly 250m are sold every year.
A similar evolution for Tesla is still on the table. A Tesla is not a car, the same way an iPhone was not a phone.
A model 3 at $35k + $100 per month is too expensive for most, but only as a car, the same way a $600 iPhone was too expensive for most, until most realized it was much more than a phone.
As a tool that gets you to work peacefully every morning, it is not expensive.”
This point is valid, especially considering the iPhone’s impact on the cell phone market. There are still a handful of players, but most people you know have an iPhone. The iPhone ties into Apple’s other ecosystem of products.
This is how Tesla plans to infiltrate the automotive market, and once the company offers a fully autonomous suite, or something that can allow for unsupervised self-driving, more and more people will flock to Tesla.
Ferragu believes Tesla needs two additional quarters of development before things will truly change. He didn’t elaborate on what will happen in two quarters, but he said it will give us all time to “see where this is heading.”
It is really quite interesting to see people’s reactions when they find out what a Tesla is capable of. Full Self-Driving is a great tool for taking stress out of travel; I use it daily, and it has made it really difficult to consider taking any other car on a drive of practically any length.
To me, it is really hard to believe that people will not at least seriously consider a Tesla as their next car if they experience Full Self-Driving. This is a major point for those who argue that Tesla should advertise in some way.
Tesla shows rapid teardown of Model S and X lines, paving the way for Optimus at Fremont
Elon Musk admits he was ‘clearly wrong’ about Anthropic
