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SpaceX Starship factory breaks ground on an even bigger ‘high bay’
SpaceX appears to have more or less broken ground on a new, even bigger ‘high bay’ assembly facility at its Boca Chica, Texas Starship factory.
Barely one year ago, SpaceX erected the first prefabricated steel sections of what eventually become its Starship factory ‘high bay’ – a spartan 81m (~265 ft) tall designed at the most basic level to shield final Starship and Super Heavy booster assembly from the elements. Situated near the southernmost tip of Texas and just a few miles west of the Gulf of Mexico, those “elements” can be less than pleasant at SpaceX’s primary Starship factory, ranging from sauna-like heat and humidity and mosquitoes the size of quarters to regular downpours, thunderstorms, tropical conditions, and even hurricanes.
While a great deal of work at Starbase is still done out in the open with little more than an umbrella as protection, SpaceX has nevertheless worked to find a middle ground where the most sensitive work (mainly structural welding) can be mostly shielded from wind and rain. First, SpaceX built a (relatively) tiny ‘windbreak’ too small for much of anything. Two years later, the windbreak is partially used for Starship nose section assembly – when a nose cone is stacked on and welded to a separate stack of four steel rings.
A few months after the triangular windbreak was fully finished, SpaceX started work on a larger box-like building that would eventually be known as the Starship factory’s ‘midbay.’ Standing around 45m (~150 ft) tall, the midbay was designed to support the process of assembling Starship tank sections from several stacks of 2-4 steel rings but was – for whatever reason – left too short to support the full Starship assembly process.
Instead, once Starship tank sections were finished, they would have to be rolled out of the midbay for nose installation. Eventually, in July 2020, SpaceX began assembling an even larger ‘high bay’ that would ultimately measure 81m (~265 ft) tall and 20-25m (65-80 ft) wide and deep – easily big enough to fit the company’s existing Falcon 9 or Falcon Heavy rockets with room to spare. More importantly, of course, the high bay was built to be large enough to support Super Heavy assembly from start to finish, giving SpaceX teams a sheltered place to build the largest rocket boosters in history.
As of August 2021, SpaceX’s midbay has supported the assembly of 10 Starship prototypes, 5-6 propellant storage tanks, and several ‘test tanks,’ while the newer high bay has helped SpaceX build three (mostly) complete Super Heavy boosters in 2021. However, working at full speed, SpaceX’s midbay is really only capable of supporting the assembly of one Starship tank section (and more general work on two) at a time and the high bay – while offering at least twice the covered surface area – appears to be limited to simultaneous work on two or three different stacks (boosters, ships, tanks, etc.).
As SpaceX slowly but surely treks towards the end of approximately two years almost exclusively dedicated to building ever-changing prototypes, it’s been clear for a while that the company would need to drastically expand its production facilities to produce the dozens of Starships and boosters CEO Elon Musk has been publicly dreaming of. Even at lower volumes, those existing facilities – while great for producing a dozen or more prototypes per year – would still become a chokepoint for the near-term production of a small fleet of operational Starships and Super Heavies.
Construction starts soon on a much larger high bay just north of current high bay— Elon Musk (@elonmusk) July 25, 2021
In turn, Musk revealed that SpaceX was about to start building “a much larger high bay” adjacent to the existing structure in late July. On August 20th, a little over a year after assembly of the original high bay kicked off, SpaceX began the process of tearing up existing concrete for the even larger bay – breaking ground, at least in a sense. According to Musk, the newest addition to Starbase’s Starship factory will be about 10% taller (~90m vs 81m), substantially wider, and likely a bit deeper than the existing high bay, allowing for the installation of two side-by-side bridge cranes with tracks running the full width of the building.
With at least 2-3 times more surface area than the high bay, the new wide bay should give SpaceX enough space to simultaneously assemble something like 4-8 Starships or Super Heavy boosters. Depending on which direction SpaceX goes, the wide bay could also potentially be large enough for SpaceX to create the first true Starship and Super Heavy assembly lines, though that would be a substantial departure from Starbase’s existing approach to manufacturing.
In the world of autonomous ride-hailing, there are only a handful of names. Among those few companies lies a strategy play by each to keep the opposition on their toes. Tesla, on the other hand, already tipped its hand at where it is headed next.
Tesla has signaled its next major push in the autonomous ride-hailing market by filing for an Autonomous Vehicle Network Company permit in Nevada (Docket 26-05015). Through Tesla Robotaxi, LLC, the company seeks approval to operate up to 5,000 robotaxis in Clark County, including high-traffic areas like Las Vegas and Henderson airports, within the first 12 months of launch.
This filing builds on Tesla’s earlier testing approvals from the Nevada DMV in September 2025 and preparations such as maintenance hubs in the Las Vegas area. Nevada represents a strategic expansion into a major tourist destination, where high visitor volumes could drive strong utilization and showcase the reliability of unsupervised autonomy to a broad audience.
We’d have to assume this means Tesla is targeting Las Vegas, and it’s a great move from a business perspective.
Vegas is such a melting pot of people from all around the country and the world. It will expose people from all corners of the globe to Tesla’s autonomy capabilities https://t.co/Qz3fQmhULF pic.twitter.com/Du5pj2RyWC
— TESLARATI (@Teslarati) June 6, 2026
Approval would mark a significant step toward commercial operations in a new state, following progress in Texas.
Tesla’s shareholder decks and earnings calls have clearly outlined these ambitions. In the Q4 2025 shareholder deck, the company listed planned Robotaxi coverage for the first half of 2026, explicitly naming Las Vegas alongside Phoenix, Miami, Orlando, and Tampa, with Dallas and Houston already advancing. Austin was noted as “ramping unsupervised,” while the Bay Area remained in safety-driver mode.
By Q1 2026, the deck updated statuses to reflect launches in Dallas and Houston, with “preparations underway” for the remaining cities, including Las Vegas. Paid Robotaxi miles nearly doubled sequentially in Q1, underscoring momentum even as broader timelines adjusted slightly for regulatory and operational readiness.
On earnings calls, CEO Elon Musk and executives have emphasized a phased rollout prioritizing safety. Unsupervised operations in Texas have shown strong results with no reported accidents or injuries in the program. Tesla continues groundwork in additional major U.S. metros through testing and permitting, positioning it to scale quickly once approvals clear.
This Nevada move aligns with Tesla’s vision of transforming from an EV maker into an AI and robotics leader. The forthcoming Cybercab, which started production at Giga Texas in April, is expected to eventually dominate the fleet, replacing many Model Y vehicles and driving down costs to enable affordable rides.
For investors and the industry, this signals Tesla’s intent to dominate key Sun Belt and tourist markets where weather, regulations, and demand favor rapid scaling. Success in Las Vegas could validate the model for denser urban and high-tourism environments, accelerating the shift toward a future where robotaxis generate meaningful revenue.
Las Vegas will also expand knowledge among the general public at Tesla’s capabilities, helping people experience driverless ride-hailing from several companies during their time on The Strip.
Investor's Corner
Tesla just did something in South Korea that no foreign carmaker has ever done
Tesla’s Model Y just became South Korea’s best-selling car, beating every domestic model in May.
Tesla did something last month that no foreign car has ever done in South Korea by outselling every vehicle in the country, domestic or imported, finishing the month with Model Y as the single best-selling car across the entire Korean market. According to data from the Korea Automobile Importers and Distributors Association released on June 4, the Model Y recorded 8,762 units sold in May, pushing the Kia Sorento into second place at 7,836 units and the Hyundai Grandeur into third at 5,183 units. It is the first time an imported vehicle has outsold every domestic model on a single-month basis.
Tesla imported 10,866 cars into South Korea in May, making it the top import brand for the fourth consecutive month. BMW followed at 6,555 units, less than two-thirds of Tesla’s total, while BYD registered just 1,032 units. The combined domestic sales of GM Korea, Renault Korea, and KG Mobility last month totaled just 7,019 units, meaning a single Tesla model outsold three Korean automakers combined.
Tesla FSD earns high praise in South Korea’s real-world autonomous driving test
South Korea has historically been one of the hardest markets for foreign automakers to crack. Hyundai and Kia together control close to 70% of the overall market and carry deep consumer loyalty built over decades. Tesla’s path into this market was an uphill battle due to high import duties, limited service infrastructure, and early skepticism about charging networks. In 2024, the Model Y was the best-selling imported car in South Korea with 18,717 units for the full year. By 2025, after the Juniper refresh, it cleared 50,000 units and took the top spot among all EVs.
Year to date, Tesla has a 250.8% increase in the country over the same period last year, and now holds a 30.8% share of the entire imported car segment for 2026. EVs as a category represented 48.6% of all imported passenger car registrations in May. As Teslarati has reported, the Juniper refresh brought meaningful improvements to range, interior quality, and ride refinement that addressed the most common criticisms of earlier Model Y versions. Those upgrades appear to be resonating in markets like South Korea where buyers compare Tesla directly against high end domestic competitors.
The Tesla Model 3’s cheapest trim level just got a major accolade, as Edmunds just revealed the Rear-Wheel-Drive trim of the all-electric sedan is the most efficient EV that is currently in production.
The 2026 Tesla Model 3 Rear-Wheel-Drive not only beat its EPA-estimated range by 30 miles, but it also bested its efficiency mark by 13.2 percent. The Model 3 tested by Edmunds traveled 393 miles, beating its EPA rating by 8.3 percent, while it returned 21.7 kWh per 100 miles, or 4.61 mi/kWh.
Beating those two metrics is especially pertinent when it comes to EV ownership and driving down the cost of ownership from ICE counterparts across the board. The real money savings come from driving down the cost of driving per mile, especially when it comes to high-mileage driving.
Edmunds stated in its report and review that the process it uses to test EV efficiency is aimed at giving “the most accurate representation of a car’s real-world range.” The assessment uses a strict route that features 60 percent city and 40 percent highway driving, and an average speed of 40 MPH across the trip.
It also drives each car within 5 MPH of all posted speed limits, and the climate control is set on Auto at 72 degrees to ensure even testing. In other words, Edmunds does not use methods to maximize efficiency, and instead tries to make it reasonable to achieve the same ratings yourself.
In comparison to other EVs, it beat the 2026 Mercedes-Benz CLA 350, which went 385 miles, as well as the 2026 Audi A6 Sportback E-tron Prestige AWD, which traveled 392 miles. Only the Mercedes-Benz CLA 250+ traveled farther, making it an impressive 434 miles on a charge.
However, the Tesla Model 3 RWD’s efficiency is “unmatched” because of its incredibly low energy usage per mile.
🚨 Tesla Model 3 RWD:
-At $36,990, it is $9,000 cheaper than the average transaction price for a new car ($46,023 via KBB)
-Was 13.2% more efficient than its EPA estimate
-Traveled 393 miles on a charge despite its 363-mile EPA range https://t.co/Grov2hXqpa pic.twitter.com/Zl8rnZZLIB
— TESLARATI (@Teslarati) June 8, 2026
The Model 3 Rear-Wheel-Drive might be the best bang-for-your-buck EV if you’re looking to buy new and want access to features like Full Self-Driving, while also being aware of efficiency. This trim of the Model 3 is also priced over $9,000 cheaper than what Kelley Blue Book says the average transactional price for a new car was in May 2026, which sits at $46,023.
If you’re looking for something with more speed, an All-Wheel-Drive drivetrain, or more premium features, the Premium trims of the Model 3 currently come with one year of Free Supercharging.
Tesla tipped its hand at where Robotaxi is heading next
Tesla just did something in South Korea that no foreign carmaker has ever done
