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SpaceX wins almost $1B to bring Starlink internet to half a million US homes, businesses

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In a competition against hundreds of providers, many established, SpaceX’s Starlink constellation has come out of left field to win almost $1B from the FCC – funds that will help bring high-quality internet to hundreds of thousands of rural Americans.

Just 13 months after Starlink v1.0 flights began, SpaceX has successfully delivered almost 900 operational Starlink satellites to low Earth orbit (LEO) over the course of 15 dedicated Falcon 9 launches. At least 700 of those ~265 kg (~580 lb) spacecraft have completed orbit raising maneuvers with krypton-fueled electric thrusters and are truly operational, serving an ever-growing number of Starlink internet beta customers across the northern US and southern Canda.

Out of 180 winning FCC auction bidders, SpaceX appears to be just one of two space-based internet providers despite the entrenched and monopolistic nature of existing rural satellite internet companies like Viasat and HughesNet – the latter of which did secure about $1.25 million to subsidize services at ~3700 locations. The main reason: designed to operate in LEO to ensure extremely low latencies, only SpaceX’s Starlink constellation was deemed eligible to compete for the majority of Auction 904, which prioritized high speeds and low latency (ping).

All told, SpaceX appears to be second only to one other competitor – a Charter Communications subsidiary – for the number of service locations it won during the FCC’s latest rural broadband auction. Based on a brief scan and analysis of official spreadsheets released by the regulatory agency, Charter won around $1.22 billion to subsidize service for 1.05 million rural American “locations” (i.e. homes, businesses, community centers, etc.), followed by SpaceX ($885 million for ~643,000 locations), and the Rural Electric Cooperative Consortium ($1.1 billion for ~618,500 locations).

LTD Broadband took home the biggest monetary prize, winning $1.32 billion to subsidize service at ~528,000 locations. While it’s difficult to compare on a level playing field due to the varying degrees of subsidy determined necessary by the FCC on a roughly case-by-case basis, SpaceX appears to be as cost-efficient or cheaper than the other two-dozen or so competitors that secured 100,000+ locations, averaging around $138 per site per year. For the entire auction, the average annual subsidy will be $176 per location.

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SpaceX completed its last Starlink launch of 2020 – Starlink-15 – on November 24th. (SpaceX)

According to the FCC, the funds will be evenly dispersed over the next 10 years, hopefully ensuring high-quality internet access for 5.2 million unserved rural homes and businesses and positively impacting the lives and communities of at least 10-20 million rural Americans.

Additionally, thanks to a very competitive auction, the FCC wound up committing only $9.2 billion of a total $16 billion available for this “Phase I” rural auction. Combined with funds reserved for future auctions, the FCC says it will be able to commit at least $11.2 billion to an upcoming Phase II auction, which will focus on underserved (“partially-served”) areas to complement Phase I’s focus on unserved locations.

SpaceX won’t be able to use the FCC funds it wins to pay for actual Starlink launches but it will be able to use them to lower the cost of access for hundreds of thousands of rural US customers. (SpaceX/Richard Angle)

To be clear, the ~$88 million SpaceX will receive annually for the next decade will go directly towards lowering the barrier to entry and cost of service for hundreds of thousands of Americans that currently have little to no reliable internet access. The company will be required to regularly hit buildout milestones, proving to the FCC that it’s on track to serve all ~543,000 awarded locations within six years of the first payment – but the faster, the better.

Eric Ralph is Teslarati's senior spaceflight reporter and has been covering the industry in some capacity for almost half a decade, largely spurred in 2016 by a trip to Mexico to watch Elon Musk reveal SpaceX's plans for Mars in person. Aside from spreading interest and excitement about spaceflight far and wide, his primary goal is to cover humanity's ongoing efforts to expand beyond Earth to the Moon, Mars, and elsewhere.

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Tesla scales back driver monitoring with latest Full Self-Driving release

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Tesla's Cabin-facing camera is used to monitor driver attentiveness. (Credit: Andy Slye/YouTube)

Tesla has scaled back driver monitoring to be less naggy with the latest version of the Full Self-Driving (Supervised) suite, which is version 14.3.3.

The latest version is already earning praise from owners, who are reporting that the suite is far less invasive when it comes to keeping drivers from taking their eyes off the road. The first to mention it was notable Tesla community member on X known as Zack, or BLKMDL3.

Musk confirmed that v14.3.3 was made to nag drivers significantly less, something that Tesla has worked toward in the past and has said with previous versions that it is less likely to push drivers to look ahead, at least after looking away for a few seconds.

This refinement aligns with Tesla’s ongoing push toward unsupervised FSD. The update also brings faster Actual Smart Summon (now up to 8 mph), reliable “Hey Grok” voice commands, richer visualizations, smoother Mad Max acceleration, and an intervention streak counter that rewards consistent use. Reviewers describe the drive as more human-like and confident, with fewer twitches or unnecessary maneuvers.

Musk has repeatedly signaled this direction. In late 2025, he stated that FSD would allow phone use “depending on context of surrounding traffic,” noting safety data would justify relaxing rules so drivers could text in low-risk scenarios like stop-and-go traffic.

We tested this, and even still, the cell phone monitoring really seems to be less active in terms of alerting drivers:

Tesla Full Self-Driving v14.2.1 texting and driving: we tested it

Earlier, ahead of v14, Musk promised the system would “nag the driver much less” once safety metrics improved.

In 2023, he confirmed the steering wheel torque nag would be “gradually reduced, proportionate to improved safety,” shifting reliance to the cabin camera. Subsequent updates like v13.2.9 and v12.4 further loosened monitoring, cracking down on workarounds while easing legitimate distractions.

These steps reflect Tesla’s data-driven approach: FSD’s safety record—reportedly averaging millions of miles per crash—now outpaces human drivers in many scenarios, giving the company confidence to dial back interventions. Reduced nags improve usability and trust, encouraging more drivers to rely on the system rather than disengaging out of frustration.

However, there are certainly still some concerns. In many states, it is illegal to handle a cell phone in any way, requiring the use of hands-free devices. In Pennsylvania, it is illegal to use your cell phone at stop lights, which is definitely a step further than using it while the car is actively in motion.

v14.3.3 represents tangible progress. Making FSD less adversarial and more seamless is definitely a step forward, but drivers need to be aware of the dangers of distracted driving. FSD is extremely capable, but it is in no way fully autonomous, nor does its performance warrant owners to take their attention off the road.

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Tesla Full Self-Driving expands in Europe, entering its second country

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Credit: Tesla

Tesla has officially expanded its Full Self-Driving (FSD) suite in Europe once again, as it will now be offered to customer vehicles in Lithuania, marking a significant milestone as the second European Union country to offer the system.

Tesla confirmed FSD’s rollout in Lithuania this morning:

Tesla showed several clips of Full Self-Driving navigation in Lithuania to mark the announcement, while Lithuanian Transport Minister Juras Taminskas highlighted the system’s potential to assist with lane-keeping, speed adjustment, and traffic tasks on longer drives, while emphasizing that drivers must stay alert and ready to intervene.

Just a few weeks ago, Tesla officially entered Europe with Full Self-Driving in the Netherlands. The expansion of FSD on the continent is now officially underway.

Tesla Full Self-Driving gets first-ever European approval

Full Self-Driving’s European Journey

Europe has long posed one of the toughest regulatory challenges for Tesla’s autonomy ambitions due to stringent safety standards under the United Nations Economic Commission for Europe (UNECE) framework, particularly UN Regulation 171 for Driver Control Assistance Systems.

The Netherlands’ RDW authority granted the pioneering approval after over 18 months of rigorous testing, including 1.6 million kilometers on European roads and extensive data submissions.

This approval enables mutual recognition across the EU, allowing other member states to adopt it nationally without full re-testing. Lithuania quickly leveraged this mechanism, becoming the second adopter. Tesla positions FSD Supervised as a tool to incrementally improve road safety, with the company claiming it reduces incidents when used properly.

Bottlenecks slowing broader European deployment include fragmented national regulations, varying levels of regulatory skepticism, and requirements for robust driver monitoring. Some EU officials have raised concerns about performance in adverse conditions like icy roads or speeding scenarios, alongside frustrations over Tesla’s public advocacy approach.

Additional hurdles involve data privacy, liability frameworks, and the need for EU-wide harmonization. While countries like Belgium appear to be fast-tracking adoption, larger markets such as Germany, France, and Italy are expected to follow in the coming months, with potential EU-wide progress targeted for later in 2026.

Tesla Full Self-Driving Across the World

As of May, Full Self-Driving (Supervised) is available in approximately ten countries.

In North America, it has been live for years in the United States, Canada, Mexico, and Puerto Rico. Asia-Pacific additions include Australia, New Zealand, and South Korea, while China utilizes what Tesla calls “City Autopilot.” In Europe, the Netherlands and now Lithuania join the list, with more countries mulling the possibility of also approving FSD.

Tesla offers FSD via monthly subscriptions (around €99 in Europe) or one-time purchases (with deadlines approaching in many markets), shifting toward recurring revenue models. Today is the final day Europeans will be able to purchase the suite outright.

This expansion underscores Tesla’s push for global autonomy, starting with supervised and building toward greater capabilities. With Lithuania now online, momentum is building across Europe, though regulatory caution will continue shaping the pace. Owners in approved regions report smoother highway and urban driving, but the system remains Level 2, which requires human oversight.

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Tesla ditches India after years of broken promises

Tesla has ditched its plans to build a factory in India after years of failed negotiations.

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Tesla’s long-running effort to establish a manufacturing presence in India is officially over. India’s Minister of Heavy Industries H.D. Kumaraswamy confirmed on May 19, 2026 that Tesla has informed authorities it will not proceed with a manufacturing facility in the country.

Tesla first signaled serious interest in India around 2021, when it began hiring local staff and lobbying the Indian government for lower import tariffs. The ask was straightforward: reduce duties enough for Tesla to test the market with imported vehicles before committing capital to a local factory. India’s position was equally firm, with an ask of Tesla to commit to manufacturing first, then receive tariff relief. Neither side moved, and the talks quietly collapsed.

Tesla to open first India experience center in Mumbai on July 15

India had offered a policy that would reduce import duties from 110% down to 15% on EVs priced above $35,000, provided companies committed at least $500 million toward local manufacturing investment within three years. Tesla declined to participate. The tariff standoff was only part of the problem. Analysts pointed to significant gaps in India’s local supply chain, inadequate industrial infrastructure, and a mismatch between Tesla’s premium pricing and the purchasing power of India’s automotive market as additional factors that made the investment difficult to justify.

First signs of an unraveling relationship came in April 2024, when Musk abruptly cancelled a planned trip to India where he was set to meet Prime Minister Modi and announce Tesla’s market entry. By July 2024, Fortune reported that Tesla executives had stopped contacting Indian government officials entirely. The government at that point understood Tesla had capital constraints and no plans to invest.

The more fundamental issue is that Tesla’s existing factories are currently operating at approximately 60% capacity, making a commitment to building new manufacturing capacity in a new market difficult to defend to investors. Tesla will continue selling imported Model Y vehicles through its existing showrooms in Mumbai, Delhi, Gurugram, and Bengaluru, but local production is no longer part of the plan.

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