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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 Giga Berlin growth could stall if not “free from external influences”: Elon Musk

The comments were delivered in a pre-recorded video discussion.

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Credit: Andre Thierig/X

Tesla CEO Elon Musk has reportedly warned that future expansion of Gigafactory Berlin could be jeopardized if the site does not remain “free from external influences.”

Musk’s comments were delivered in a pre-recorded video discussion with employees and came at a sensitive moment for the facility, where union representation has been a recurring issue.

According to reports from Handelsblatt and Der Spiegel, citing participants at the event, Musk suggested that if Giga Berlin is no longer “free from external influences,” further expansion would become unlikely. He did not, however, hint that the plant would shut down.

While Musk did not name IG Metall directly, his remarks were widely interpreted as referencing the union, which is currently the largest faction on the works council but does not hold a majority, as noted in an electrive report. 

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The video conversation was conducted between Musk in Austin and Grünheide plant manager André Thierig, then played back to the workforce in Germany. Works council elections are scheduled for early March, heightening the tension between management and organized labor.

The CEO has previously voiced concerns that stronger union influence could limit Tesla’s operational flexibility and long-term strategy in Germany.

Despite the warning on expansion, Musk praised the Giga Berlin site during the same address, describing it as one of the most advanced factories worldwide and highlighting its cleanliness and team culture.

The discussion also reportedly touched on battery cell production. According to attendees cited in German media, Musk indicated that Tesla has begun ramping cell production at the site. That would mark a notable shift from earlier expectations that large-scale cell manufacturing in Brandenburg would not begin until 2027.

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Tesla Full Self-Driving’s newest behavior is the perfect answer to aggressive cars

According to a recent video, it now appears the suite will automatically pull over if there is a tailgater on your bumper, the most ideal solution for when a driver is riding your bumper.

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Credit: Tesla

Tesla Full Self-Driving appears to have a new behavior that is the perfect answer to aggressive drivers.

According to a recent video, it now appears the suite will automatically pull over if there is a tailgater on your bumper, the most ideal solution for when a driver is riding your bumper.

With FSD’s constantly-changing Speed Profiles, it seems as if this solution could help eliminate the need to tinker with driving modes from the person in the driver’s seat. This tends to be one of my biggest complaints from FSD at times.

A video posted on X shows a Tesla on Full Self-Driving pulling over to the shoulder on windy, wet roads after another car seemed to be following it quite aggressively. The car looks to have automatically sensed that the vehicle behind it was in a bit of a hurry, so FSD determined that pulling over and letting it by was the best idea:

We can see from the clip that there was no human intervention to pull over to the side, as the driver’s hands are stationary and never interfere with the turn signal stalk.

This can be used to override some of the decisions FSD makes, and is a great way to get things back on track if the semi-autonomous functionality tries to do something that is either unneeded or not included in the routing on the in-car Nav.

FSD tends to move over for faster traffic on the interstate when there are multiple lanes. On two-lane highways, it will pass slower cars using the left lane. When faster traffic is behind a Tesla on FSD, the vehicle will move back over to the right lane, the correct behavior in a scenario like this.

Perhaps one of my biggest complaints at times with Full Self-Driving, especially from version to version, is how much tinkering Tesla does with Speed Profiles. One minute, they’re suitable for driving on local roads, the next, they’re either too fast or too slow.

When they are too slow, most of us just shift up into a faster setting, but at times, even that’s not enough, see below:

There are times when it feels like it would be suitable for the car to just pull over and let the vehicle that is traveling behind pass. This, at least up until this point, it appears, was something that required human intervention.

Now, it looks like Tesla is trying to get FSD to a point where it just knows that it should probably get out of the way.

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Tesla Megapack powers $1.1B AI data center project in Brazil

By integrating Tesla’s Megapack systems, the facility will function not only as a major power consumer but also as a grid-supporting asset.

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Credit: Tesla

Tesla’s Megapack battery systems will be deployed as part of a 400MW AI data center campus in Uberlândia, Brazil. The initiative is described as one of Latin America’s largest AI infrastructure projects.

The project is being led by RT-One, which confirmed that the facility will integrate Tesla Megapack battery energy storage systems (BESS) as part of a broader industrial alliance that includes Hitachi Energy, Siemens, ABB, HIMOINSA, and Schneider Electric. The project is backed by more than R$6 billion (approximately $1.1 billion) in private capital.

According to RT-One, the data center is designed to operate on 100% renewable energy while also reinforcing regional grid stability.

“Brazil generates abundant energy, particularly from renewable sources such as solar and wind. However, high renewable penetration can create grid stability challenges,” RT-One President Fernando Palamone noted in a post on LinkedIn. “Managing this imbalance is one of the country’s growing infrastructure priorities.”

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By integrating Tesla’s Megapack systems, the facility will function not only as a major power consumer but also as a grid-supporting asset.

“The facility will be capable of absorbing excess electricity when supply is high and providing stabilization services when the grid requires additional support. This approach enhances resilience, improves reliability, and contributes to a more efficient use of renewable generation,” Palamone added.

The model mirrors approaches used in energy-intensive regions such as California and Texas, where large battery systems help manage fluctuations tied to renewable energy generation.

The RT-One President recently visited Tesla’s Megafactory in Lathrop, California, where Megapacks are produced, as part of establishing the partnership. He thanked the Tesla team, including Marcel Dall Pai, Nicholas Reale, and Sean Jones, for supporting the collaboration in his LinkedIn post.

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