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SpaceX’s Starlink satellite internet was tested by the US Air Force and the results are in
SpaceX President and Chief Operating Officer Gwynne Shotwell recently provided information about the company’s Starlink satellite internet constellation after a panel at the International Aeronautical Congress in Washington D.C. Shotwell spoke of a partnership with the U.S. military and just how far she believes Starlink is ahead of rival mega-constellation efforts.
While competitors are still developing very early prototypes and worrying about launch options, SpaceX has already launched 60 Starlink ‘v0.9’ satellite prototypes, 50 of which continue to successfully operate in low Earth orbit approximately half a year after launch. As part of a $29M contract awarded in late-2018, SpaceX is also working directly with the U.S. Air Force to test military applications of commercial space-based internet.
As previously reported by Teslarati, SpaceX was awarded a $29 million contract in December 2018 to collaborate with the U.S. Air Force Strategic Development Planning and Experimentation Office. Together, the organizations are testing potential military applications of Starlink satellite internet, as well as prospective constellations from other companies like Telesat.
From LEO to aircraft

The technical viability and utility of beaming high speed, low-latency broadband internet directly into the cockpits of military aircraft is being tested under a program called Global Lightning. SpaceX has engaged the initiative and was awarded $29M to pursue development and testing, far more than any other contract recipient. In October 2019, SpaceX and the USAF began publicly discussing the latest results of that effort to test Starlink’s capabilities in the realm of in-flight connectivity. As reported by SpaceNews, SpaceX COO Gwynne Shotwell revealed that Starlink had successfully demonstrated a data link to the cockpit of a military aircraft with a bandwidth of 610 megabits per second (Mbps), equivalent to a gigabyte every ~13 seconds.
Following a previous speaking engagement on Oct. 15th at the Association of the U.S. Army’s annual conference, Shotwell and U.S. Army officials provided further insight regarding military applications of Starlink. Army officials spoke about the possibility of using Starlink satellite internet and other prospective constellations to support the military’s rapidly growing demand for high-speed communications.
During the panel with U.S. Army officials, Shotwell stated that “SpaceX is new to this forum and this service,” when addressing the possibilities that SpaceX could provide for the U.S. military. While working with the military is not a new concept to SpaceX, serving as a satellite communications provider would be unlike anything the company has yet attempted.
Up next, the USAF has plans to install Starlink terminals and test connectivity with an AC-130 gunship and a KC-135 tanker aircraft.
Falcon 9 to support frequent Starlink launches – customers and rocket reusability benefit
While Shotwell acknowledged the potential of a partnership with the US. military, she also noted that Starlink is first and foremost a commercial business meant to enhance the internet experience globally and nominally provide connectivity to anyone that wants it. She further noted that Starlink would remain an “additive to [SpaceX’s] business,” implying that it will not supersede SpaceX’s current launch service business.
Intriguingly, this is utterly counter to forecasts SpaceX has provided investors over the last several years, in which Starlink – if successful – would almost certainly come to produce one or two magnitudes more income than launch services ever could. Shotwell – speaking to a variety of US military (and Air Force) officials – may have wanted to avoid sending the message that SpaceX’s launch services business – crucial to the US military – might soon be absolutely dwarfed by Starlink revenue.

Previously hinted at by CEO Elon Musk, SpaceX hopes that revenue from Starlink will enable the company to independently fund the development and mass-production of its next-generation Starship launch vehicle, eventually enabling a permanent, large-scale human presence on Mars.
Currently, SpaceX’s Starlink plans involve several distinct phases, beginning with ~1500 satellites around 500km, another ~2900 around 1000 km, and an additional ~7500 in the 300-400 km range. Finally, SpaceX recently revealed even longer-term plans for Starlink that could involve launching up to 42,000 satellites, all in the name of expanding network coverage and bandwidth – pending, of course, consumer demand. To accomplish that feat, SpaceX will have to push rocket reusability to the absolute limits, beginning with Falcon 9 boosters and fairings and ultimately moving to Starship. According to Shotwell, “(SpaceX’s) intent is to use Starlink to push the capability of those boosters and see how many missions they can do.”

SpaceX’s next Starlink mission – also the company’s next mission and first launch in more than three months – will simultaneously attempt two new rocket reusability firsts, marking the first time that SpaceX has reused a Falcon payload fairing and the first time a single Falcon 9 booster has launched four times. Starlink-1 is scheduled to lift off no earlier than 9:55 am ET (14:55 UTC), November 11th.
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News
Tesla CEO Elon Musk says flying cars are coming
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.
Investor's Corner
Tesla has one big financial question to answer for investors: Morgan Stanley
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.
