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SpaceX begins assembling Starbase’s biggest manufacturing building yet
It might not look like much today but SpaceX has begun assembling what is set to become Starbase’s largest Starship manufacturing facility.
The structure, which has generally come to be known as Starbase’s ‘wide bay,’ was first teased by CEO Elon Musk in July 2021 and will be the fourth permanent assembly ‘bay’ constructed at Starbase – currently SpaceX’s sole dedicated Starship factory. The first, now known simply as the windbreak, is a triangular bay built in 2019 that is mostly unused but occasionally supports work on Starship nose assembly. Next, SpaceX built a larger ‘mid bay’ in the first quarter of 2020, out of which every Starship prototype and test tank since SN3 has been built.
A few months after the midbay was finished, SpaceX began constructing an even larger ‘high bay’ around 81 meters (265 ft) tall and 30 by 25 meters (100 by 80 ft) wide – about twice as tall and with twice the area, in other words. While the midbay was specifically optimized for assembling one or two Starship tank sections at a time, the high bay was designed to be large enough to fully assemble one Super Heavy booster (69m/225ft tall) and stack a Starship tank and nose section (50m/165ft tall) at the same time. The goal of SpaceX’s new ‘wide bay’ may be even loftier still.
Though SpaceX’s pace of Starship and Super Heavy assembly and processing appears to have slowed down significantly in the last few months, the company has still proven with Starships SN4-6, SN8-SN11, and SN15-16 that it can build large numbers of suborbital prototypes at the frankly incredible pace of 1-2 per month. With Super Heavy BN1, BN3, and BN3, SpaceX – to a lesser degree – has also demonstrated respectable booster prototype production, though none have flown and only one has completed any testing.
Nonetheless, as SpaceX works to complete Starship S21 and Super Heavy B5 and prepares to begin assembling S22 and B6 while Ship 20 and Booster 4 still sit – largely untested – at the launch site, Starbase’s existing production capabilities are already starting to outstretch its two main assembly bays. In other words, the purpose of SpaceX’s new ‘wide bay’ is almost certainly to double, triple, or even quadruple Starbase’s maximum vehicle production rate.
The wide bay’s dimensions have yet to be officially confirmed but based on aerial views of its foundation, it will measure roughly 50m (~165′) wide, 35m (~115′) deep, and 90-100m (~300-330′) tall, giving it more than twice as much usable floor space as the high bay. In theory, the high bay has enough space for SpaceX to stack 3-4 four Starship or Super Heavy tank sections at once. With more than twice the floor space, the wide bay should singlehandedly allow SpaceX to assemble 3-4 Super Heavy boosters, 4-8 Starships, or 2-3 boosters and 2-3 Starships at once.
At the absolute minimum, once fully outfitted, that means it could roughly triple the number of boosters or ships Starbase can fully assemble each month. Pictured below, there’s also a small but not insignificant amount of evidence (the small rectangles left of the wide bay foundation, bottom right, in the photo above) that SpaceX is completing additional foundation work that could double the wide bay’s floor space yet again. The second 50x35m structure those foundations seem to outline could be a wider midbay, a few-story ring assembly floor to augment Starbase’s tents, a 50x70m ‘high bay,’ or simply a more permanent space for general offices, workshops, storage, and other miscellaneous uses.
Stay tuned for updates on the massive structure’s construction.
Tesla analyst Gary Black of The Future Fund claims that the company is making a big mistake getting rid of the Model S and Model X. Instead, he believes another vehicle within the company’s lineup should be discontinued: the Cybertruck.
Black divested The Future Fund from all Tesla holdings last year, but he still covers the stock as an analyst as it falls in the technology and autonomy sectors, which he covers.
In a new comment on Thursday, Black said the Cybertruck should be the vehicle Tesla gets rid of due to the negatives it has drawn to the company.
The Cybertruck is also selling in an underwhelming fashion considering the production capacity Tesla has set aside for it. It’s worth noting it is still the best-selling electric pickup on the market, and it has outlasted other EV truck projects as other manufacturers are receding their efforts.
Black said:
“IMHO it’s a mistake to keep Tesla Cybertruck which has negative brand equity and sold 10,000 units last year, and discontinue S/X which have strong repeat brand loyalty and together sold 30K units and are highly profitable. Why not discontinue CT and covert S/X to be fully autonomous?”
IMHO it’s a mistake to keep $TSLA Cybertruck which has negative brand equity and sold 10,000 units last year, and discontinue S/X which have strong repeat brand loyalty and together sold 30K units and are highly profitable. Why not discontinue CT and covert S/X to be fully…
— Gary Black (@garyblack00) January 29, 2026
On Wednesday, CEO Elon Musk confirmed that Tesla planned to transition Model S and Model X production lines at the Fremont Factory to handle manufacturing efforts of the Optimus Gen 3 robot.
Musk said that it was time to wind down the S and X programs “with an honorable discharge,” also noting that the two cars are not major contributors to Tesla’s mission any longer, as its automotive division is more focused on autonomy, which will be handled by Model 3, Model Y, and Cybercab.
Tesla begins Cybertruck deliveries in a new region for the first time
The news has drawn conflicting perspectives, with many Tesla fans upset about the decision, especially as it ends the production of the largest car in the company’s lineup. Tesla’s focus is on smaller ride-sharing vehicles, especially as the vast majority of rides consist of two or fewer passengers.
The S and X do not fit in these plans.
Nevertheless, the Cybertruck fits in Tesla’s future plans. Musk said the pickup will be needed for the transportation of local goods. Musk also said Cybertruck would be transitioned to an autonomous line.
In a groundbreaking new report from Reuters, SpaceX is reportedly discussing merger possibilities with xAI ahead of the space exploration company’s plans to IPO later this year, in what would be a blockbuster move.
The outlet said it would combine rockets and Starlink satellites, as well as the X social media platform and AI project Grok under one roof. The report cites “a person briefed on the matter and two recent company filings seen by Reuters.”
Musk, nor SpaceX or xAI, have commented on the report, so, as of now, it is unconfirmed.
With that being said, the proposed merger would bring shares of xAI in exchange for shares of SpaceX. Both companies were registered in Nevada to expedite the transaction, according to the report.
On January 21, both entities were registered in Nevada. The report continues:
“One of them, a limited liability company, lists SpaceX and Bret Johnsen, the company’s chief financial officer, as managing members, while the other lists Johnsen as the company’s only officer, the filings show.”
The source also stated that some xAI executives could be given the option to receive cash in lieu of SpaceX stock. No agreement has been reached, nothing has been signed, and the timing and structure, as well as other important details, have not been finalized.
SpaceX is valued at $800 billion and is the most valuable privately held company, while xAI is valued at $230 billion as of November. SpaceX could be going public later this year, as Musk has said as recently as December that the company would offer its stock publicly.
The plans could help move along plans for large-scale data centers in space, something Musk has discussed on several occasions over the past few months.
At the World Economic Forum last week, Musk said:
“It’s a no-brainer for building solar-powered AI data centers in space, because as I mentioned, it’s also very cold in space. The net effect is that the lowest cost place to put AI will be space and that will be true within two to three years, three at the latest.”
He also said on X that “the most important thing in the next 3-4 years is data centers in space.”
If the report is true and the two companies end up coming together, it would not be the first time Musk’s companies have ended up coming together. He used Tesla stock to purchase SolarCity back in 2016. Last year, X became part of xAI in a share swap.
Tesla has announced it has hit a major milestone with Full Self-Driving subscriptions, shortly after it said it would exclusively offer the suite without the option to purchase it outright.
Tesla announced on Wednesday during its Q4 Earnings Call for 2025 that it had officially eclipsed the one million subscription mark for its Full Self-Driving suite. This represented a 38 percent increase year-over-year.
This is up from the roughly 800,000 active subscriptions it reported last year. The company has seen significant increases in FSD adoption over the past few years, as in 2021, it reported just 400,000. In 2022, it was up to 500,000 and, one year later, it had eclipsed 600,000.
NEWS: For the first time, Tesla has revealed how many people are subscribed or have purchased FSD (Supervised).
Active FSD Subscriptions:
• 2025: 1.1 million
• 2024: 800K
• 2023: 600K
• 2022: 500K
• 2021: 400K pic.twitter.com/KVtnyANWcs— Sawyer Merritt (@SawyerMerritt) January 28, 2026
In mid-January, CEO Elon Musk announced that the company would transition away from giving the option to purchase the Full Self-Driving suite outright, opting for the subscription program exclusively.
Musk said on X:
“Tesla will stop selling FSD after Feb 14. FSD will only be available as a monthly subscription thereafter.”
The move intends to streamline the Full Self-Driving purchase option, and gives Tesla more control over its revenue, and closes off the ability to buy it outright for a bargain when Musk has said its value could be close to $100,000 when it reaches full autonomy.
It also caters to Musk’s newest compensation package. One tranche requires Tesla to achieve 10 million active FSD subscriptions, and now that it has reached one million, it is already seeing some growth.
The strategy that Tesla will use to achieve this lofty goal is still under wraps. The most ideal solution would be to offer a less expensive version of the suite, which is not likely considering the company is increasing its capabilities, and it is becoming more robust.
Tesla is shifting FSD to a subscription-only model, confirms Elon Musk
Currently, Tesla’s FSD subscription price is $99 per month, but Musk said this price will increase, which seems counterintuitive to its goal of increasing the take rate. With that being said, it will be interesting to see what Tesla does to navigate growth while offering a robust FSD suite.
Tesla analyst claims another vehicle, not Model S and X, should be discontinued
SpaceX reportedly discussing merger with xAI ahead of blockbuster IPO
