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SpaceX’s recent Starship testing challenges don’t worry Elon Musk
In his latest burst of tweets, SpaceX CEO Elon Musk says he isn’t all that worried about a duo of recent Starship prototype failures and talked next steps for the next few Starships.
Aside from SpaceX’s South Texas rocket factory, Musk also touched on progress being made on the cutting-edge Raptor engine set to power Starships and their boosters, revealing a small production milestone in the process. The CEO says that SpaceX has already begun building its 26th Raptor engine, a sign that Raptors may actually be waiting on Starships in a turn of events. Back when SpaceX was busy testing its low-fidelity Starhopper testbed, the ship actually had to wait several months for the full-scale Raptor engine’s design to mature enough to support 15-30+ second hop tests.
Now, Musk’s Raptor SN26 reveal implies that SpaceX is slowly but surely ramping up production of the new engine back at its Hawthorne, California headquarters.
From August to December 2019, SpaceX completed one Raptor engine every ~17 days, on average. With Musk’s confirmation that SpaceX is currently building (or already testing) SN26, the company is completing an engine every 12-14 days – an overall improvement of 20-40%. In other words, SpaceX’s growing engine production capacity is almost perfectly positioned to support a fleet of suborbital Starship prototypes, which is about where the company’s Boca Chica, Texas factory is today.
Obviously, following two recent full-scale Starship prototype failures spaced barely a month apart, rocket production has a ways to go before it will need the volume of Raptor engines SpaceX appears to already be capable of producing. For the time being, three Raptor engines – having already completed production in Hawthorne and acceptance testing in McGregor, Texas – are quite literally sitting around and gathering dust as they wait for the first Starship prototype qualified to host them.
Once a Starship passes proof testing, SpaceX will be able to install either one or all three engines for an inaugural static fire test, following by a small Starhopper-class hop (no higher than 150m or 500 ft).
However, once SpaceX has explored the full range of testing available to suborbital Starship prototypes, things will change. Likely ending with the first one or several successful ‘skydiver-style’ rocket landing tests, SpaceX will finally be able to seriously think about its first orbital flight tests. To reach orbit and still be capable of returning to Earth and landing softly, Starship will need a Super Heavy booster – set to be the largest rocket booster ever developed by a large margin.
Although Musk has stated that early orbital flight tests will likely launch with far fewer engines, a single Super Heavy booster could eventually require 37 Raptor engines – a full 42% more engines than SpaceX has managed to build in the entire 15+ month history of full-scale Raptor production.
Thankfully, SpaceX’s engine production HQ likely has at least 6-12 months to ramp up production to support fully-outfitted Super Heavy boosters – let alone several. For the time being, each suborbital Starship only needs 3 sea level-optimized Raptor engines, although it’s possible that SpaceX will eventually perform suborbital tests with a full compliment of six engines – including three with much larger vacuum-optimized nozzles.
Ultimately, Musk explained that his lack of concern about recent Starship prototype failures – potentially including any anomalies that follow SN4’s test campaign – comes from the fact that he believes that producing Starships is a much more challenging and pressing concern. Indeed, if your factory can churn out functioning building-sized spacecraft for pennies on the dollar, losing a few during testing is little more than an annoyance. The first failed prototypes can thus be considered learning experiences, helping SpaceX improve designs and optimize the factory and production strategies. SpaceX does still need to prove that its existing approach really can build functioning rockets, but that should (in theory) come with enough trial and error.
Depending on how initial tests go with Starship Serial Number 4 (SN4), likely days away from wrapping up production, Musk says that the first few suborbital Starship tests will likely involve short, low-velocity hops. Those flights will be slow enough that the ship (or ships) wont require aerodynamic control surfaces to complete them, instead relying entirely on smaller thrusters and the thrust vector control (TVC) provided by their three main Raptor engines.
If Starship SN4 testing – including wet dress rehearsals, Raptor static fires, and short hops – goes perfectly, Musk says that Starship SN5 could be the first new ship to have fully-functional flaps installed. If things don’t go quite as well, that milestone could shift to Starship SN6, while SN7 and beyond are obviously on the table in the event of even less forgiving SN4/SN5 testing scenarios. For now, Starship SN4 could be ready to move to the launch pad and kick off a series of critical proof tests a handful of days from now.
Elon Musk
Elon Musk’s xAI closes upsized $20B Series E funding round
xAI announced the investment round in a post on its official website.
xAI has closed an upsized $20 billion Series E funding round, exceeding the initial $15 billion target to fuel rapid infrastructure scaling and AI product development.
xAI announced the investment round in a post on its official website.
A $20 billion Series E round
As noted by the artificial intelligence startup in its post, the Series E funding round attracted a diverse group of investors, including Valor Equity Partners, Stepstone Group, Fidelity Management & Research Company, Qatar Investment Authority, MGX, and Baron Capital Group, among others.
Strategic partners NVIDIA and Cisco Investments also continued support for building the world’s largest GPU clusters.
As xAI stated, “This financing will accelerate our world-leading infrastructure buildout, enable the rapid development and deployment of transformative AI products reaching billions of users, and fuel groundbreaking research advancing xAI’s core mission: Understanding the Universe.”
xAI’s core mission
Th Series E funding builds on xAI’s previous rounds, powering Grok advancements and massive compute expansions like the Memphis supercluster. The upsized demand reflects growing recognition of xAI’s potential in frontier AI.
xAI also highlighted several of its breakthroughs in 2025, from the buildout of Colossus I and II, which ended with over 1 million H100 GPU equivalents, and the rollout of the Grok 4 Series, Grok Voice, and Grok Imagine, among others. The company also confirmed that work is already underway to train the flagship large language model’s next iteration, Grok 5.
“Looking ahead, Grok 5 is currently in training, and we are focused on launching innovative new consumer and enterprise products that harness the power of Grok, Colossus, and 𝕏 to transform how we live, work, and play,” xAI wrote.
Tesla (NASDAQ: TSLA) stock received a price target update from Pierre Ferragu of Wall Street firm New Street Research, citing the company’s growing lead in self-driving and autonomy.
On Tuesday, Ferragu bumped his price target from $520 to $600, stating that the consensus from the Consumer Electronics Show in Las Vegas was that Tesla’s lead in autonomy has been sustained, is growing, and sits at a multiple-year lead over its competitors.
CES 2026 validates Tesla’s FSD strategy, but there’s a big lag for rivals: analyst
“The signal from Vegas is loud and clear,” the analyst writes. “The industry isn’t catching up to Tesla; it is actively validating Tesla’s strategy…just with a 12-year lag.”
The note shows that the company’s prowess in vehicle autonomy is being solidified by lagging competitors that claim to have the best method. The only problem is that Tesla’s Vision-based approach, which it adopted back in 2022 with the Model 3 and Model Y initially, has been proven to be more effective than competitors’ approach, which utilizes other technology, such as LiDAR and sensors.
Currently, Tesla shares are sitting at around $433, as the company’s stock price closed at $432.96 on Tuesday afternoon.
Ferragu’s consensus on Tesla shares echoes that of other Wall Street analysts who are bullish on the company’s stock and position within the AI, autonomy, and robotics sector.
Dan Ives of Wedbush wrote in a note in mid-December that he anticipates Tesla having a massive 2026, and could reach a $3 trillion valuation this year, especially with the “AI chapter” taking hold of the narrative at the company.
Ives also said that the big step in the right direction for Tesla will be initiating production of the Cybercab, as well as expanding on the Robotaxi program through the next 12 months:
“…as full-scale volume production begins with the autonomous and robotics roadmap…The company has started to test the all-important Cybercab in Austin over the past few weeks, which is an incremental step towards launching in 2026 with important volume production of Cybercabs starting in April/May, which remains the golden goose in unlocking TSLA’s AI valuation.”
Tesla analyst breaks down delivery report: ‘A step in the right direction’
Tesla has transitioned from an automaker to a full-fledged AI company, and its Robotaxi and Cybercab programs, fueled by the Full Self-Driving suite, are leading the charge moving forward. In 2026, there are major goals the company has outlined. The first is removing Safety Drivers from vehicles in Austin, Texas, one of the areas where it operates a ride-hailing service within the U.S.
Ultimately, Tesla will aim to launch a Level 5 autonomy suite to the public in the coming years.
Elon Musk
Elon Musk’s Biggest Revelations on AI, Robots, and the Future of Work from the Moonshots Podcast
Elon Musk’s appearance on the Moonshots with Peter Diamandis podcast was packed with bold predictions, candid admissions, and surprising tech insights. The nearly three-hour conversation covered everything from artificial intelligence to humanoid robots, geopolitics, and the future of work. Here are the top 10 most intriguing takeaways:
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Aggressive AGI Timeline Predictions
Musk offered a detailed view on when artificial general intelligence (AGI) could emerge, suggesting it may arrive sooner than many expect, emphasizing both transformative potential and risks.
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U.S. vs. China in the AI Race
He discussed the strategic competition between the United States and China over AI development, noting that geopolitical dynamics will shape how and who leads in the next decades.
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Future of Job Markets
Musk touched on how AI and automation could reshape employment, predicting massive boosts in productivity alongside potential disruptions in traditional work structures.
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Clean Energy Transition
A recurring theme was the role of clean energy in future economies, with Musk reiterating the importance of scaling sustainable power generation and storage.
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Humanoid Robots Are Coming
On the podcast, Musk elaborated on Tesla’s work on humanoid robots, hinting at timelines and applications that go beyond factories to general-purpose assistance.
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Tesla Roadster “Last Human-Driven Car”
Outside the core discussion topics, Musk teased features of the upcoming Tesla Roadster — calling it “the best of the last of the human-driven cars” and suggesting safety won’t be its main selling point.
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The Role of AI in Clean Energy and Robotics
Linking AI to both energy optimization and robotics, Musk explained how smarter systems could accelerate decarbonization and task automation across industries.
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U.S. Innovation Leadership
Musk argued that maintaining American leadership in key tech sectors like AI, space, and robotics should be a national priority, with thoughtful policy and investment.
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Job Creation vs. Job Elimination
While acknowledging automation’s disruptive effects, he also outlined scenarios where new industries and opportunities could emerge, particularly in AI, space, and advanced manufacturing.
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Long-Term Vision for Humanity
Throughout the conversation, Musk revisited his long-term philosophical views — including a belief in humanity’s responsibility to become a multi-planetary and technologically empowered species.
Whether you agree with Musk’s optimism or not, the podcast offers a window into the thinking of one of the most influential figures in tech today, in and why his visions continue to spark debate and inspiration.
Elon Musk’s xAI closes upsized $20B Series E funding round
Tesla gets price target bump, citing growing lead in self-driving
