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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 confirms that it finally solved its 4680 battery’s dry cathode process
The suggests the company has finally resolved one of the most challenging aspects of its next-generation battery cells.
Tesla has confirmed that it is now producing both the anode and cathode of its 4680 battery cells using a dry-electrode process, marking a key breakthrough in a technology the company has been working to industrialize for years.
The update, disclosed in Tesla’s Q4 and FY 2025 update letter, suggests the company has finally resolved one of the most challenging aspects of its next-generation battery cells.
Dry cathode 4680 cells
In its Q4 and FY 2025 update letter, Tesla stated that it is now producing 4680 cells whose anode and cathode were produced during the dry electrode process. The confirmation addresses long-standing questions around whether Tesla could bring its dry cathode process into sustained production.
The disclosure was highlighted on X by Bonne Eggleston, Tesla’s Vice President of 4680 batteries, who wrote that “both electrodes use our dry process.”
Tesla first introduced the dry-electrode concept during its Battery Day presentation in 2020, pitching it as a way to simplify production, reduce factory footprint, lower costs, and improve energy density. While Tesla has been producing 4680 cells for some time, the company had previously relied on more conventional approaches for parts of the process, leading to questions about whether a full dry-electrode process could even be achieved.
4680 packs for Model Y
Tesla also revealed in its Q4 and FY 2025 Update Letter that it has begun producing battery packs for certain Model Y vehicles using its in-house 4680 cells. As per Tesla:
“We have begun to produce battery packs for certain Model Ys with our 4680 cells, unlocking an additional vector of supply to help navigate increasingly complex supply chain challenges caused by trade barriers and tariff risks.”
The timing is notable. With Tesla preparing to wind down Model S and Model X production, the Model Y and Model 3 are expected to account for an even larger share of the company’s vehicle output. Ensuring that the Model Y can be equipped with domestically produced 4680 battery packs gives Tesla greater flexibility to maintain production volumes in the United States, even as global battery supply chains face increasing complexity.
Elon Musk
Tesla Giga Texas to feature massive Optimus V4 production line
This suggests that while the first Optimus line will be set up in the Fremont Factory, the real ramp of Optimus’ production will happen in Giga Texas.
Tesla will build Optimus 4 in Giga Texas, and its production line will be massive. This was, at least, as per recent comments by CEO Elon Musk on social media platform X.
Optimus 4 production
In response to a post on X which expressed surprise that Optimus will be produced in California, Musk stated that “Optimus 4 will be built in Texas at much higher volume.” This suggests that while the first Optimus line will be set up in the Fremont Factory, and while the line itself will be capable of producing 1 million humanoid robots per year, the real ramp of Optimus’ production will happen in Giga Texas.
This was not the first time that Elon Musk shared his plans for Optimus’ production at Gigafactory Texas. During the 2025 Annual Shareholder Meeting, he stated that Giga Texas’ Optimus line will produce 10 million units of the humanoid robot per year. He did not, however, state at the time that Giga Texas would produce Optimus V4.
“So we’re going to launch on the fastest production ramp of any product of any large complex manufactured product ever, starting with building a one-million-unit production line in Fremont. And that’s Line one. And then a ten million unit per year production line here,” Musk stated.
How big Optimus could become
During Tesla’s Q4 and FY 2025 earnings call, Musk offered additional context on the potential of Optimus. While he stated that the ramp of Optimus’ production will be deliberate at first, the humanoid robot itself will have the potential to change the world.
“Optimus really will be a general-purpose robot that can learn by observing human behavior. You can demonstrate a task or verbally describe a task or show it a task. Even show it a video, it will be able to do that task. It’s going to be a very capable robot. I think long-term Optimus will have a very significant impact on the US GDP.
“It will actually move the needle on US GDP significantly. In conclusion, there are still many who doubt our ambitions for creating amazing abundance. We are confident it can be done, and we are making the right moves technologically to ensure that it does. Tesla, Inc. has never been a company to shy away from solving the hardest problems,” Musk stated.
Elon Musk
Rumored SpaceX-xAI merger gets apparent confirmation from Elon Musk
The comment follows reports that the rocket maker is weighing a transaction that could further consolidate Musk’s space and AI ventures.
Elon Musk appeared to confirm reports that SpaceX is exploring a potential merger with artificial intelligence startup xAI by responding positively to a post about the reported transaction on X.
Musk’s comment follows reports that the rocket maker is weighing a transaction that could further consolidate his space and AI ventures.
SpaceX xAI merger
As per a recent Reuters report, SpaceX has held discussions about merging with xAI, with the proposed structure potentially involving an exchange of xAI shares for SpaceX stock. The value, structure, and timing of any deal have not been finalized, and no agreement has been signed.
Musk appeared to acknowledge the report in a brief reply on X, responding “Yeah” to a post that described SpaceX as a future “Dyson Swarm company.” The comment references a Dyson Swarm, a sci-fi megastructure concept that consists of a massive network of satellites or structures that orbit a celestial body to harness its energy.
Reuters noted that two entities were formed in Nevada on January 21 to facilitate a potential transaction for the possible SpaceX-xAI merger. The discussions remain ongoing, and a transaction is not yet guaranteed, however.
AI and space infrastructure
A potential merger with xAI would align with Musk’s stated strategy of integrating artificial intelligence development with space-based systems. Musk has previously said that space-based infrastructure could support large-scale computing by leveraging continuous solar energy, an approach he has framed as economically scalable over time.
xAI already has operational ties to Musk’s other companies. The startup develops Grok, a large language model that holds a U.S. Department of Defense contract valued at up to $200 million. AI also plays a central role in SpaceX’s Starlink and Starshield satellite programs, which rely on automation and machine learning for network management and national security applications.
Musk has previously consolidated his businesses through share-based transactions, including Tesla’s acquisition of SolarCity in 2016 and xAI’s acquisition of X last year. Bloomberg has also claimed that Musk is considering a merger between SpaceX and Tesla in the future.