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SpaceX ramps South Texas activity to prepare for 2019 BFR spaceship testing
At the same time as the hardware for SpaceX’s first BFR spaceship is entering the early stages of manufacturing, the company’s South Texas test facility is slowly taking shape after more than 18 months of what can be fairly described as hibernation.
The likeliest location for a near-future spaceship test stand or pad has also experienced a comparatively vast influx of construction workers and general activity that began earlier this month September, nearly two and half years after SpaceX began preparing the unstable coastal wetland with the addition of several hundred tons of soil.
According to a number of posts from local Texans that are also members of a small SpaceX fan group on Facebook, activity around the company’s Boca Chica, Texas facilities has exploded in recent months, and even more so over the last several weeks. SpaceX’s ground tracking facility has harbored the vast majority of attention for some time, particularly following the relatively recent arrival of a massive crane, construction of a shelter for said crane, and the appearance of two massive vacuum-insulated tanks for liquid oxygen (LOX) and liquid methane/natural gas (LNG).
Presently sat beside two large antennae on the Crew Dragon tracking facility’s plot, those propellant tanks are certainly both eye-catching and definitive evidence that something huge and nearby will soon need large quantities of liquid propellant. In the case of the LOX tank, a back-the-envelope estimate suggests that it can hold an obscene 400 metric tons (~900,000 lbs) of liquid oxygen, while the much smaller LNG tank (assumed, not guaranteed) would be capable of holding less than 25,000 kg of liquid methane, thanks mainly to the fact that liquid methane is roughly three times less dense than LOX.
An immense liquid oxygen (LOX) tank just arrived at @SpaceX's prospective Boca Chica, TX facility, likely to be dedicated to BFR & BFS testing. @NASASpaceflight forum user "Nomadd" caught some of the first detailed photos, as well as the tank's arrival at SpaceX land on July 11. pic.twitter.com/hr7SeA6BGw
— Eric Ralph (@13ericralph31) July 12, 2018
Thankfully, SpaceX’s BFR Raptor engines will nominally burn oxygen and methane at a ratio of approximately 3.8 to 1, meaning that every 1 kg of methane exiting the rocket will be accompanied by 3.8 kg of oxygen. The fact that this ratio is actually larger than the density ratio of LOX and LNG means that the propellant tanks can be almost the same size
Most notably, as described above, is the abrupt return of construction and site preparation activities at what once was expected to be a Falcon 9 and Heavy launch pad. Over the last 24+ months, SpaceX has simply let the lot sit, although in this case, that sitting was rather productive. Known as soil surcharging, the site was essentially leveled, loaded with hundreds of tons of soil, plumbed with drainage pipes, and then left alone up to this point to let gravity do the rest of the work. Put simply, the unsteady soil of coastal Texas was aggressively drained and compacted into something stable enough to build expensive, long-term facilities on.
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- BFS seen standing vertically on the pads of its tripod fins. (SpaceX)
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- A view of BFS just after separating from its booster stage. (SpaceX)
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- SpaceX’s much-beloved Boca Chica dirt mount, September 18th. (Julie Smith)
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- SpaceX’s Boca Chica facilities seen on September 8th. (Maria Pointer)
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- SpaceX’s Boca Chica facilities seen on September 19th. Note the two tanks, one for liquid oxygen (left) and the other for liquid methane (right). (Maria Pointer)
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- SpaceX’s Boca Chica facilities seen on September 19th.
The hundreds of truckloads it took to bring in the soil will have to be repeated in reverse, removing most of the same soil to leave a level field ready for foundation-laying and series construction. Heavy machinery and construction contractors began arriving earlier this month, indicating that that process is about to begin, after which construction of the facilities that will eventually support Grasshopper-style spaceship testing can begin in earnest. Those BFR hop tests are scheduled to begin no earlier than late 2019.
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Tesla CEO Elon Musk said that flying cars will be coming to the market, something that his own company has hinted at previously.
Musk said on X, in response to a post that read, “We were promised flying cars and all we got is infinite superintelligence for everyone,” “You will get flying cars.”
You will get flying cars
— Elon Musk (@elonmusk) August 12, 2026
The post rang back to when Musk teased flying and hovering capabilities for the Tesla Roadster, the company’s supercar that has been delayed more times than anyone cares to count. It was set for an unveiling earlier this year, but it was then pushed back to August. There is still no sign of it coming.
However, that does not mean it won’t. But one of the biggest features of the Roadster that was teased was a SpaceX package that featured cold gas thrusters on the rear end that would help with white-knuckle acceleration. Another set would face the ground and would help the Roadster gain small bits of altitude, potentially helpful to jump over obstacles.
Elon Musk hints at Tesla Roadster’s “hovering” abilities in SpaceX package
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But it is not a straightforward thing for Musk. As a serial entrepreneur, he tends to spend his time on major disruptors; currently, his largest projects are artificial intelligence and compute power, as well as SpaceX’s launches that will eventually make life multiplanetary.
In the past, he has been critical of flying cars and has been in favor of tunnels, one of the big reasons he started the Boring Company. In 2017 at a TED talk, he said:
“There is a challenge with flying cars in that they’ll be quite noisy. The wind force generated will be very high. Let’s just say that if something’s flying over your head, if there are a whole bunch of flying cars all over the place, that is not an anxiety-reducing situation…You’re thinking, ‘Did they service their hubcap? Or is it going to come off and guillotine me as they’re flying past?’”
However, he’s never been against them. He has also said he’s in favor of both tunnels and flying cars.
Contrary to press reports, I’m not against flying cars. Just said it was important to consider both pros and cons.
— Elon Musk (@elonmusk) March 24, 2015
Most recently, Musk said that anyone who wants a flying car should be able to get one. This was stated last October on the Joe Rogan Experience:
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“My friend Peter Thiel once reflected that the future was supposed to have flying cars, but we don’t have flying cars… I think if Peter wants a flying car, we should be able to buy one.”
Whether the Roadster will be Tesla’s flying car or potentially another one remains in the mind of Musk. Of course, the Roadster will have to make its way to production lines before we find out.
Elon Musk
SpaceX’s next trillion dollar bet has nothing to do with rockets, Musk tells staff
Elon Musk told SpaceX staff AI revenue will soon dwarf rockets and Starlink combined entirely.
Elon Musk told SpaceX employees this week that artificial intelligence, not rockets, will soon carry the company’s revenue. In a roughly 29 minute internal address posted on SpaceX’s X account on Tuesday, Musk said AI revenue will pass every other line of business at SpaceX “probably in September” and pull further ahead by the fourth quarter.
The numbers he gave are specific. SpaceX currently runs 1.4 gigawatts of AI compute capacity. Musk wants that at 10 gigawatts by the end of 2027, a jump he tied directly to revenue: “if we bring 10GW of AI online by the end of next year, it will be $300 billion to $500 billion a year in revenue.” He called those “big numbers,” which undersells a projection larger than what most countries produce in a year.
We made rockets reusable and are rebuilding the internet in space. The next challenge: making life multiplanetary and understanding the true nature of the universe
Watch @ElonMusk deliver a company update to @SpaceX employees pic.twitter.com/5c8rxoCQfu
— SpaceX (@SpaceX) August 11, 2026
Musk went further on where AI fits into SpaceX’s future. “Probably in four or five years, AI will be 99% of the value of SpaceX,” he told staff, adding that digital intelligence would eventually run “a trillion times” ahead of biological intelligence as computing scales. He tied that growth to the company’s founding mission, telling employees “we must win on AI, because the future is overwhelmingly AI and robots,” with the payoff meant to help fund Starship and a Mars program that increasingly runs through Terafab, the joint Tesla, SpaceX and xAI chip plant.
Elon Musk launches TERAFAB: The $25B Tesla-SpaceXAI chip factory that will rewire the AI industry
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None of this is entirely new territory. SpaceX told investors much the same story during its first earnings call as a public company on August 4, where Musk moved the company’s $1 trillion revenue target up a year to 2030 and said Starlink could someday carry a majority of the world’s internet. What the all hands video adds is a hard deadline and a specific power figure Musk had not given publicly before, along with a franker pitch to his own workforce that AI, not launch cadence, is now the thing SpaceX is betting its future on.
The AI revenue itself is not coming from SpaceX training its own models. It is largely Starlink acting as the network layer for xAI’s workloads, plus SpaceX renting out compute capacity directly, the same approach behind the roughly $16 billion the company spent on AI infrastructure in a single quarter.
Musk closed the video with a pitch aimed at recruiting and retention rather than investors, telling employees that anyone who helps SpaceX win the AI race will eventually get the chance to go to the moon or Mars themselves. Whether SpaceX can turn 1.4 gigawatts into 10 in seventeen months is the more immediate question, and one that will show up in quarterly numbers well before anyone leaves Earth.
In a new note to investors on Tuesday, Morgan Stanley analyst Andrew Percoco said that Tesla has one big financial question to answer for investors regarding its Robotaxi rollout, Full Self-Driving software, and Optimus.
Percoco said in the note that, for the most part, investors are still very positive about the direction the company is headed. However, there are some things the firm would like to see, and they have to do with financials.
Tesla (TSLA) Q2 2026 earnings results: miss on EPS, beat on revenue
Tesla bulls are more than convinced that the company’s Full Self-Driving software is proof it can develop physical AI. Financially, however, there are still some questions, especially on elevated spending, which CEO Elon Musk said would occur as the company works to roll out Robotaxi faster and continue developing its Optimus robot.
The latter two are where Tesla will have to prove progress to investors, as Percoco writes that both projects “will require clearer evidence that Robotaxi is scaling and more tangible Optimus proof points to support the ROI on elevated capex.”
Percoco said the second quarter earnings call did not change his long-term thesis of where Tesla is positioned in the AI race, which is out in front. However, there are concerns that weaker gross margins and higher R&D spend will stress financials, and that has “sharpened our (and investors’) focus on measurable progress across Robotaxi and Optimus.”
Additionally, Robotaxi still needs to be proven with more operation in existing cities while maintaining safety but improving how many rides it gives in any given time, he said. For Optimus, Percoco wrote that he is “still looking for evidence beyond commentary around SOP.”
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Morgan Stanley put Percoco in charge of covering Tesla after long-time analyst Adam Jonas transitioned to the automotive side.
Currently, Morgan Stanley has a $415 price target on Tesla and a ‘Hold’ rating on the stock. It is trading at around $330 at the time of publication, which was 2:30 P.M. on the East Coast.
Tesla CEO Elon Musk says flying cars are coming
SpaceX’s next trillion dollar bet has nothing to do with rockets, Musk tells staff
