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SpaceX Starlink ‘space lasers’ successfully tested in orbit for the first time
SpaceX has revealed the first successful test of Starlink satellite ‘space lasers’ in orbit, a significant step along the path to an upgraded “Version 2” constellation.
In simple terms, those “lasers” are a form of optical (light-based) communication with an extremely high bandwidth ceiling, potentially permitting the wireless, high-speed transfer of vast quantities of data over equally vast distances. Of the ~715 Starlink satellites SpaceX has launched over the last 16 months, some 650 are operational Version 1 (v1.0) spacecraft designed to serve a limited group of customers in the early stages of the constellation. Prior to SpaceX’s September 3rd announcement, it was assumed that none of those satellites included laser interlinks, but now we know that two spacecraft – presumably launched as part of Starlink-9 or -10 in August – have successfully tested prototype lasers in orbit.
Ever since CEO Elon Musk first revealed SpaceX’s satellite internet ambitions in early 2015, those plans have included some form of interconnection between some or all of the thousands of satellites the company would need to launch. While a functional low Earth orbit (LEO) satellite internet constellation doesn’t intrinsically need to have that capability to function or be successful, inter-satellite links offer some major benefits in return for the added spacecraft complexity and cost.
The single biggest draw of laser interlinks is arguably the major reduction in connection latency (ping) they can enable compared to a similar network without it. By moving a great deal of the work of networking into orbit, the data transported on an interlinked satellite network would theoretically require much less routing to reach an end-user, physically shortening the distance that data has to travel. The speed of light (300,000 kilometers per second) may be immense but even on the small scale of the planet Earth, with the added inefficiencies inherent in even the best fiber optic cables, routing data to and from opposite ends of the planet can still be slowed down by high latency.
Without interlinks, Starlink and internet constellations like it function by acting more like a go-between for individual users and fixed ground stations that then connect those users to the rest of the Internet. Under that regime, the performance of constellations is inherently filtered through the Earth’s existing internet infrastructure and is necessitates the installation of ground stations relatively close to network users. If a satellite without interlinks can ‘see’ (and thus communicate with) customers but can’t ‘see’ a ground station from the same orbital vantage point, it is physically incapable of connecting those communications with the rest of the internet.
This isn’t a showstopper. As SpaceX’s very early Starlink constellation has already demonstrated through beta testers, the network is already capable of serving individual users 100 megabits per second (Mbps) of bandwidth with latency roughly comparable to average wired connections. The result: internet service that is largely the same as (if not slightly worse and less convenient than) existing fiber options. To fully realize a LEO internet constellation’s potential of being much better than fiber, high-performance laser interlinks are thus a necessity.
With laser interlinks, the aforementioned connection dropout scenario would be close to impossible. In the event that an active satellite finds itself serving customers without a ground station in reach, it would route those forlorn data packages by laser to a different satellite with immediate ground station access. One step better, with enough optimization, user communications can be routed by laser to and from the ground stations physically closest to the user and their traffic destination. With a free-floating network of satellites communication in vacuum along straight lines, nothing short of a direct, straight fiber line could compete with the resulting latency and routing efficiency.
Interlinks offer one last significant benefit: by sacrificing latency, an interlinked network will be able to service a larger geographic area by allowing the connections of users far from ground stations to be routed through other satellites to the nearest ground station. Large-scale ground station installation and the international maze of permitting it requires can take an inordinate amount of time and resources for nascent satellite communications constellations
SpaceX’s fully-interlinked Starlink Version 2 constellation is targeting latency as low as 8 milliseconds and hopes to raise the bandwidth limit of individual connections to a gigabit or more. As soon as a viable Starlink v2.0 satellite design has been finalized and tested in orbit, SpaceX will likely end v1.0 production and launches, entering the second phase of iteration after the v0.9 to v1.0 jump.
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Tesla dispels reports of ‘sales suspension’ in California
“This was a “consumer protection” order about the use of the term “Autopilot” in a case where not one single customer came forward to say there’s a problem.
Sales in California will continue uninterrupted.”
Tesla has dispelled reports that it is facing a thirty-day sales suspension in California after the state’s Department of Motor Vehicles (DMV) issued a penalty to the company after a judge ruled it “misled consumers about its driver-assistance technology.”
On Tuesday, Bloomberg reported that the California DMV was planning to adopt the penalty but decided to put it on ice for ninety days, giving Tesla an opportunity to “come into compliance.”
Tesla enters interesting situation with Full Self-Driving in California
Tesla responded to the report on Tuesday evening, after it came out, stating that this was a “consumer protection” order that was brought up over its use of the term “Autopilot.”
The company said “not one single customer came forward to say there’s a problem,” yet a judge and the DMV determined it was, so they want to apply the penalty if Tesla doesn’t oblige.
However, Tesla said that its sales operations in California “will continue uninterrupted.”
It confirmed this in an X post on Tuesday night:
This was a “consumer protection” order about the use of the term “Autopilot” in a case where not one single customer came forward to say there’s a problem.
Sales in California will continue uninterrupted.
— Tesla North America (@tesla_na) December 17, 2025
The report and the decision by the DMV and Judge involved sparked outrage from the Tesla community, who stated that it should do its best to get out of California.
One X post said California “didn’t deserve” what Tesla had done for it in terms of employment, engineering, and innovation.
Tesla has used Autopilot and Full Self-Driving for years, but it did add the term “(Supervised)” to the end of the FSD suite earlier this year, potentially aiming to protect itself from instances like this one.
This is the first primary dispute over the terminology of Full Self-Driving, but it has undergone some scrutiny at the federal level, as some government officials have claimed the suite has “deceptive” naming. Previous Transportation Secretary Pete Buttigieg was vocally critical of the use of the name “Full Self-Driving,” as well as “Autopilot.”
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New EV tax credit rule could impact many EV buyers
We confirmed with a Tesla Sales Advisor that any current orders that have the $7,500 tax credit applied to them must be completed by December 31, meaning delivery must take place by that date. However, it is unclear at this point whether someone could still claim the credit when filing their tax returns for 2025 as long as the order reflects an order date before September 30.
Tesla owners could be impacted by a new EV tax credit rule, which seems to be a new hoop to jump through for those who benefited from the “extension,” which allowed orderers to take delivery after the loss of the $7,500 discount.
After the Trump Administration initiated the phase-out of the $7,500 EV tax credit, many were happy to see the rules had been changed slightly, as deliveries could occur after the September 30 cutoff as long as orders were placed before the end of that month.
However, there appears to be a new threshold that EV buyers will have to go through, and it will impact their ability to get the credit, at least at the Point of Sale, for now.
Delivery must be completed by the end of the year, and buyers must take possession of the car by December 31, 2025, or they will lose the tax credit. The U.S. government will be closing the tax credit portal, which allows people to claim the credit at the Point of Sale.
🚨UPDATE: $7,500 Tax Credit Portal “Closes By End of Year”.
This is bad news for pending Tesla buyers (MYP) looking to lock in the $7,500 Tax Credit.
“it looks like the portal closes by end of the year so there be no way for us to guarantee the funds however, we will try our… pic.twitter.com/LnWiaXL30k
— DennisCW | wen my L (@DennisCW_) December 15, 2025
We confirmed with a Tesla Sales Advisor that any current orders that have the $7,500 tax credit applied to them must be completed by December 31, meaning delivery must take place by that date.
However, it is unclear at this point whether someone could still claim the credit when filing their tax returns for 2025 as long as the order reflects an order date before September 30.
If not, the order can still go through, but the buyer will not be able to claim the tax credit, meaning they will pay full price for the vehicle.
This puts some buyers in a strange limbo, especially if they placed an order for the Model Y Performance. Some deliveries have already taken place, and some are scheduled before the end of the month, but many others are not expecting deliveries until January.
Elon Musk
Elon Musk takes latest barb at Bill Gates over Tesla short position
Bill Gates placed a massive short bet against Tesla of ~1% of our total shares, which might have cost him over $10B by now
Elon Musk took his latest barb at former Microsoft CEO Bill Gates over his short position against the company, which the two have had some tensions over for a number of years.
Gates admitted to Musk several years ago through a text message that he still held a short position against his sustainable car and energy company. Ironically, Gates had contacted Musk to explore philanthropic opportunities.
Elon Musk explains Bill Gates beef: He ‘placed a massive bet on Tesla dying’
Musk said he could not take the request seriously, especially as Gates was hoping to make money on the downfall of the one company taking EVs seriously.
The Tesla frontman has continued to take shots at Gates over the years from time to time, but the latest comment came as Musk’s net worth swelled to over $600 billion. He became the first person ever to reach that threshold earlier this week, when Tesla shares increased due to Robotaxi testing without any occupants.
Musk refreshed everyone’s memory with the recent post, stating that if Gates still has his short position against Tesla, he would have lost over $10 billion by now:
Bill Gates placed a massive short bet against Tesla of ~1% of our total shares, which might have cost him over $10B by now
— Elon Musk (@elonmusk) December 17, 2025
Just a month ago, in mid-November, Musk issued his final warning to Gates over the short position, speculating whether the former Microsoft frontman had still held the bet against Tesla.
“If Gates hasn’t fully closed out the crazy short position he has held against Tesla for ~8 years, he had better do so soon,” Musk said. This came in response to The Gates Foundation dumping 65 percent of its Microsoft position.
Tesla CEO Elon Musk sends final warning to Bill Gates over short position
Musk’s involvement in the U.S. government also drew criticism from Gates, as he said that the reductions proposed by DOGE against U.S.A.I.D. were “stunning” and could cause “millions of additional deaths of kids.”
“Gates is a huge liar,” Musk responded.
It is not known whether Gates still holds his Tesla short position.
Tesla dispels reports of ‘sales suspension’ in California
New EV tax credit rule could impact many EV buyers
