News
SpaceX Starship booster survives explosion
A SpaceX Super Heavy booster was rocked by a substantial explosion and subjected to multiple fires at the launch pad during the rocket’s latest round of testing.
As of 9 pm CDT, July 11th, the fate of the upgraded Super Heavy – known as Booster 7 or B7 – is leaning towards survival but and it won’t be certain until the rocket is drained of all cryogenic propellant and potentially flammable gas and safe for SpaceX employees to approach. The incident began around 4:20 pm CDT, when Super Heavy Booster 7 (or its launch mount) unintentionally ignited a cloud of flammable gas produced during flow test involving most or all of its 33 Raptor engines. In the past, SpaceX has performed “spin prime” tests with Raptors installed on Starship prototypes, flowing high-pressure gas through the engines’ turbines to get them up to operating speeds and pressures. Booster 7’s test ended a bit differently.
When the resulting cloud of well-mixed methane and oxygen gas was accidentally ignited, it functioned like a small fuel-air bomb, rapidly combusting to produce a violent explosion and shockwave. After the initial explosion, the fire also expanded to burn as much of the resulting gas as possible, producing a fireball that briefly reached 80-90 meters (~260-300 ft) in height. CEO Elon Musk – apparently not directly participating in the test – initially stated that the explosion and fire was planned, implying that it was more or less a nominal outcome. Virtually everyone with experience observing Starship testing felt otherwise, however.

To preserve the safety of the few local residents still living at Boca Chica Village, SpaceX is required to issue printed safety warnings well in advance of Starship tests that could create a shockwave capable of shattering glass and injuring locals. SpaceX has never intentionally performed such a test without distributing those warnings and did not distribute a warning before July 11th, all but guaranteeing that no ignition event was planned. A few hours later, Musk deleted his original tweet and posted a different one, confirming that the explosion was “actually not good” and that SpaceX is “assessing the damage.”
For the most part, Booster 7 and the Starbase Orbital Launch Site (OLS) exceeded viewers’ expectations of their sturdiness, exhibiting very little off-nominal behavior after being subjected to a unexpected explosion, shockwave, and fire. Immediately after the event, B7 quickly depressurized its propellant tanks and appeared to leave those vents open, reducing the chances of the booster destroying itself if SpaceX were to lose control. SpaceX also appeared to intentionally avoid using the orbital launch mount’s (OLM) umbilical mechanism to remove propellant from the Super Heavy’s tanks, perhaps concerned that the shockwave might have weakened its connection to B7.
About an hour after the explosion, Booster 7 dumped a large amount of cryogenic liquid out of a new vent located on its aft end, producing a flood that spread around the adjacent pad. It’s unclear if that liquid was nitrogen or oxygen but either way, the emergency propellant dump appeared to cause a fire to start about 100 feet (~30m) from the booster and launch mount. That fire proceeded to burn intermittently for the next two hours, all the while posing a clear and present danger to the rest of the pad and booster if it were to spread in the wrong direction or breach the wrong underground pipe. Instead, SpaceX got lucky and the fire eventually self-extinguished.
In a worst-case scenario, Super Heavy’s engine section and 33 Raptor engines could have been seriously damaged, while the subsequent pad fire(s) could have also significantly damaged crucial pad systems, requiring weeks of repairs. The booster could even be beyond repair. More optimistically, given that SpaceX appears to have gotten lucky enough to avoid a total loss of vehicle, Booster 7 may be fine after some inspections and moderate repairs. The pad damage could also be limited to a single isolated, non-critical piece of equipment catching fire and burning to a crisp
Regardless, SpaceX will need to figure out what exactly caused the explosion and make sure that that failure mode does not appear again. In the meantime, the company recently finished stacking Super Heavy Booster 8, and Starship S24 – installed on a nearby suborbital test stand – is ready to begin its own static fire test campaign in the near future.
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.
