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SpaceX’s Starhopper cleared by FAA for second and final flight test as locals urged to exit homes
After a full two weeks spent waiting for an FAA permit, SpaceX CEO Elon Musk and local South Texas authorities appear to be preparing Starhopper for a second major flight test as early as Monday, August 26th.
Assuming the FAA comes through with a permit, Starhopper is scheduled to lift off no earlier than 5pm EDT (21:00 UTC) on August 26th for a flight test expected to smash the low-fidelity Starship prototype’s previously altitude record of ~20m (65 ft). Confirming initial reports from NASASpaceflight.com, Musk also stated that Starhopper’s second flight will be its last, after which the steel rocket test-bed will be converted for stationary use at SpaceX’s South Texas facilities.
Prior to Musk tweeting that Starhopper may be nearing approval for its next flight, the SpaceX CEO revealed that delays were centered around the FAA’s apparent unwillingness to permit the vehicle’s next flight. Musk specifically stated that the FAA wanted more “hazard analysis”, meaning that the US aviation administration had concerns that Starhopper could pose a serious threat to local residents in a tiny housing development known as Boca Chica Village.
Technically speaking, Boca Chica Village is just 1.5 miles (2.4 km) away from SpaceX’s Starhopper launch facilities, where the vehicle is expected to reach a maximum altitude of no more than 200m (650 ft) as early as August 26th. FAA regulations tend to be prescriptive and extremely rigid, understandable given the breadth of US aviation-related activities the agency is tasked with regulating. However, a basic back-of-the-envelope analysis of Starhopper’s 200m hop suggests that the risk to local residents – even those as few as 1.5 miles away from the test – is minuscule.
Based on Starhopper’s inaugural flight, its lone Raptor engine – producing up to 200 tons (450,000 lbf) of thrust – is not exactly capable of rapidly moving the Starship prototype. For all accounts and purposes, Starhopper is a spectacularly heavy hunk of steel with the aerodynamics of a cylindrical brick – capable of flight solely through the brute-force application of a literal rocket engine. To make it even half of the distance from its launch site to the Village, Starhopper would have to remain in controlled flight while radically deviating from its planned trajectory, all while its flight termination system (FTS) – explosives meant to destroy the vehicle in a worst-case scenario – completely fails to activate.
As evidence of the apparent lack of perceived risk to local residents, Cameron County, Texas officials distributed flyers to Village residents advising – but not requiring – those choosing to remain at their homes during the test to go outside during Starhopper’s next flight. This is recommended to avoid flying glass in the event that the vehicle explodes, potentially shattering windows with the shockwave that could result, but clearly demonstrates the fact that county officials believe there is a near-zero chance of Starhopper actually impacting anywhere near the houses.
Ultimately, Starhopper’s limited flight tests clearly pose little to no actual risk to residents, but this chapter does raise a far more significant question: what happens once Starship Mk1 is ready and the flight tests SpaceX is pursuing involve distances and heights on the order of several, tens, or hundreds of kilometers? For now, answers will have to wait til a later date.
A Hop and a skip into retirement
Aside from the delays and apparent lack of consensus on the safety of Starhopper’s minor hop tests, Musk confirmed that the prototype’s second test flight ever will likely be its last, providing some interesting insight into SpaceX’s next steps. Most notably, the fact that SpaceX is willing and ready to fully retire Starhopper after such a limited test series serves as a fairly confident statement that orbital-class Starship Mk1 (Texas) and Mk2 (Florida) prototypes are extremely close to flight-readiness.
Roughly a month ago, Musk tweeted that those Starship prototypes could be ready for their first flights as early as mid-September to mid-October, “2 to 3 months” from mid-July. In additional comments made on August 20th, Musk stated that his planned Starship presentation would be delayed in light of Starhopper’s own delays, and is now instead expected to occur around a major Starship Mk1 integration milestone in “mid September”.
As previously discussed on Teslarati, Starhopper’s brief service life is entirely unsurprising, delayed by issues with Raptor engines to the point that SpaceX’s far more valuable Starship prototypes – having made relentless progress – are already nearing completion. Once those Starships are ready for almost any kind of integrated testing, Starhopper will be made entirely and immediately redundant.
“According to Musk, either or both of those orbital-class prototypes could be ready for their inaugural flight tests as early as mid-September, perhaps just 1-2 months from now. Given that Starships Mk1 and Mk2 are significantly higher fidelity than Starhopper, the ungainly testbed will likely become redundant the moment that its successors are ready for flight. In other words, Starhopper is fast approaching the end of its useful life, and SpaceX’s fight for a 200m hop-test permit could ultimately be a waste of time, effort, and money if said permit doesn’t also cover Starship Mk1.”
Teslarati.com, August 20th, 2019
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On another positive note, CEO Elon Musk says that Starhopper won’t be ‘retired’ to the scrapyard and will instead be lightly modified to serve as an in-situ test stand for Raptor engines, a useful addition once SpaceX South Texas moves on to multi-engine Starship and Super Heavy testing.
With any luck, SpaceX will attempt to livestream Starhopper’s second attempted flight. Stay tuned for updates on the 5pm EDT, August 26th test.
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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
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:
“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
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.”
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
