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SpaceX’s first Starship hop on hold for historic Crew Dragon astronaut launch

Elon Musk says SpaceX's first full-scale Starship flight will is on hold for Crew Dragon's astronaut launch debut. (NASASpaceflight - bocachicagal)

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SpaceX CEO Elon Musk says that he’s “redirected SpaceX’s priorities” to be almost entirely focused on Crew Dragon’s imminent astronaut launch debut, delaying Starship’s own hop test debut by at least a week or two as a result.

As of now, SpaceX’s Crew Dragon spacecraft remains on track to lift off with NASA astronauts for the first time ever at 4:33 pm EDT (20:33 UTC) on Wednesday, May 27th. Known as Demonstration Mission 2 (Demo-2), it will be Crew Dragon’s second orbital launch, third launch on a Falcon 9 rocket, and – most importantly – the United States’ first domestic astronaut launch in almost a decade. Although NASA has still managed to maintain a continuous presence at the International Space Station over the last nine years by paying Russia’s space agency more than $4 billion for roughly six dozen seats on Soyuz spacecraft, Demo-2 will be NASA’s first astronaut launch from the US since June 2011.

Built entirely by SpaceX with funds awarded by NASA, the company’s Crew Dragon spacecraft and Falcon 9 rocket will effectively singlehandedly return the United States’ ability to launch its own astronauts. Funded along with Boeing to ensure that NASA has two redundant spacecraft available, the latter company’s Starliner spacecraft has run into extensive delays after its orbital flight test (OFT) uncovered dangerously shoddy software and quality control. If Boeing is lucky, NASA might clear Starliner for its own crewed flight test (CFT, equivalent to Crew Dragon Demo-2) in the first half of 2021. As a result, a vast amount of pressure is on SpaceX’s shoulders to successfully launch astronauts for the first time ever just a few days from now.

Crew Dragon and Falcon 9 are currently vertical at Kennedy Space Center Launch Complex 39A (LC-39A) after completing a critical static fire test and dry dress rehearsal. (SpaceX)

Of course, SpaceX is not unilaterally focused on Crew Dragon or its inaugural astronaut launch, even if it might be the single most important mission in the company’s 18 years of operation. For a company as large as SpaceX, it’s simply not practical or valuable to have every single employee working on one project, while having too many people on a given project would also likely be to its detriment. Nevertheless, Musk – in an interview with Aviation Week’s Irene Klotz – stated that he’d redirected SpaceX’s priorities to be “very focused” on Demo-2.

Aside from Crew Dragon Demo-2, SpaceX operates a Starlink satellite factory near Seattle, builds and assembles all aspects of Falcon rockets and Dragon spacecraft at its Hawthorne, CA headquarters, tests those rockets and spacecraft in McGregor, Texas development facilities, and builds, tests, and flies Starship prototypes in Boca Chica, Texas. (The company has many, many other operations around the US but the list above at least covers the bulk of the company’s workforce.)

SpaceX has finally set the date for Crew Dragon's In-Flight Abort test. (Teslarati - Pauline Acalin)
The Crew Dragon set to launch NASA astronauts for the first time this week is pictured here at SpaceX’s Hawthorne factory in October 2019. (Pauline Acalin)
At least 400-500 people work at SpaceX’s rapidly growing South Texas Starship production, test, and launch facilities. (NASASpaceflight – bocachicagal)
At least as many employees working on Starlink are based in Washington and California. (SpaceX)

Those myriad programs can’t simply freeze operations without catastrophically impacting future plans and schedules, meaning that Musk’s “redirection” is likely more an effort to keep the public focus on Crew Dragon, versus actually retasking thousands of employees to do work that probably doesn’t (but might) exist. Still, the company has definitely taken some real steps to stay laser-focused on Crew Dragon where practical.

SpaceX is currently repairing Starship SN4 after a static fire test started a separate fire that lightly damaged the rocket’s avionics wiring. (NASASpaceflight – bocachicagal)

Most notably, SpaceX has already indefinitely delayed its eight launch of 60 Starlink communications satellites, previously scheduled to lift off no earlier than (NET) May 19th. Now, Musk says that SpaceX has also decided to delay the first flight test of a full-scale Starship prototype until after Demo-2 successfully launches, implying that the company could have potentially launched Starship SN4 for the first time later this week.

In fact, SpaceX has three Starlink launches – including the mission delayed from May – now scheduled in June 2020, as well as Falcon 9’s second US military GPS III satellite launch at the end of the month. It’s unclear whether SpaceX will retest Starship SN4 after its off-nominal May 19th Raptor test or move directly into flight test operations, but its next South Texas test period has windows on May 28th, May 29th, and June 1st. In short, the next ~5 weeks are set to be a wild ride for SpaceX, to put it mildly.

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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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New drone video shows Tesla’s Optimus Factory reaching a turning point

New drone footage shows Tesla’s dedicated Optimus factory steel frame nearing completion at Giga Texas.

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Tesla’s dedicated Optimus factory at Gigafactory Texas is closing in on a finished steel frame, according to drone footage posted Thursday afternoon by longtime site observer Joe Tegtmeyer. In the video, Tegtmeyer said structural steel assembly is now about five column grids away from reaching the building’s north perimeter beam, putting the primary skeleton in its final stretch roughly six months after Tesla broke ground on the North Campus site in late March.

Tegtmeyer’s footage shows concrete already going in on three upper floors while crews continue laying rebar and pouring grade beam footings at ground level. That kind of parallel work, steel rising at one end of the site while concrete sets at the other, is a scheduling approach Tesla used at the original Giga Texas building and appears to be repeating here to save time before the plant’s targeted 2027 production start.

Teslarati has tracked the building’s progress since Tesla confirmed construction was officially underway in May, when the first steel structure went up on what was then bare, reclaimed land. The facility is part of a more than 5.2 million square foot expansion of Giga Texas’s North Campus that Tesla has said will eventually run nearly the length of the existing vehicle factory, over 4,000 feet, while sitting somewhat narrower. Musk has pegged the long term output target at 10 million Optimus units a year once the line is running at full capacity, a volume that would dwarf the one million unit pilot line Tesla is standing up separately at its Fremont, California factory.

Tesla Giga Texas to feature massive Optimus V4 production line

The Texas facility sits alongside another major buildout on the same campus. Terafab, the joint Tesla and SpaceX chip fabrication plant that will eventually supply the silicon running Optimus units in the field. Housing robot assembly and chip production on the same grounds is a deliberate supply chain decision, cutting down on the shipping and lead time that would otherwise sit between the two.

Tesla has not given an updated timeline beyond its previously stated goal of bringing high volume Optimus production online at the site in the summer of 2027. Fremont’s smaller pilot line began mass producing the current Gen 3 robot in January, with that plant expected to build tens of thousands of units this year primarily to generate the real world data Tesla needs to refine the robot’s software before Giga Texas ramps up. Six months of visible construction progress, tracked almost entirely through Tegtmeyer’s recurring drone flights, gives the clearest outside look yet at how seriously Tesla is treating that 2027 deadline.

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Tesla and SpaceX take “Terafab” Trademark fight to Federal Court

Tesla and SpaceX sue a small Illinois firm after cease and desist letters over Terafab.

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SpaceX Terafab rendering

Tesla and SpaceX are asking a federal judge to rule that their planned Terafab chip factory does not infringe a small Illinois company’s trademark, a request that arrives only after months of quiet negotiation broke down this summer.

The dispute traces to May 18, when Tesla filed three U.S. trademark applications for “Terafab” and “Tesla Terafab,” covering semiconductor chips and related chip making services. TERA-print LLC, a nanotechnology company that has held a federal trademark for “Tera-Fab” since 2021, responded five days later with a cease and desist letter. According to the lawsuit, first reported by Reuters, TERA-print argued that Tesla and SpaceX’s use of “Terafab” would confuse consumers familiar with its own trademark, which covers a desktop photolithography printer sold to researchers for sensor and bioengineering work.

What stands out in the filing is the timing of TERA-print’s own paperwork. One day before sending that cease and desist letter, on May 22, TERA-print applied to expand its existing registration to cover semiconductor materials, silicon chips, nanoelectronic devices and AI design services, categories it had not previously claimed. Tesla and SpaceX call that filing opportunistic in their complaint, noting it arrived two months after Tesla’s public Terafab announcement and just days after Tesla’s own trademark applications went in.

Elon Musk launches TERAFAB: The $25B Tesla-SpaceXAI chip factory that will rewire the AI industry

By June 10, TERA-print was threatening to sue for federal trademark infringement, false designation of origin and unfair competition, the complaint states. Rather than wait to be sued, Tesla, SpaceX and SpaceXAI met with TERA-print six separate times between June and August trying to resolve the dispute directly. Those talks collapsed, and the companies filed for declaratory judgment this week in the U.S. District Court for the Western District of Texas, asking a judge to find that “Terafab” does not infringe TERA-print’s mark before TERA-print can file a claim of its own.

TERA-print isn’t backing down. The company told PCMag it discussed a settlement with Tesla as recently as September 2 and feels misled by what it called Tesla’s professed interest in settling. Its CTO, Andrey Ivankin, said TERA-print holds a Defense Department contract to fabricate semiconductors and partially owns Mattiq Inc., an AI company built on TERA-print’s products, and that the company will vigorously defend its rights.

Tesla and SpaceX argue the overlap is superficial. Terafab is planned as a $16.8 billion complex spanning roughly 100 million square feet at the Grimes County site SpaceX confirmed last month, built to produce chips for Optimus robots, Tesla’s AI computing needs and SpaceX’s orbital data center ambitions, a scale and purpose the companies say no reasonable consumer would confuse with a tabletop lab printer. TERA-print’s product line has stayed focused on lithography tools for biological and sensor research since it registered its mark in 2021.

The trademark fight is the second legal dispute tied to the Terafab project in the past week, following a separate SpaceX suit aimed at keeping company records about the facility out of public view, as KBTX reported. Whether construction proceeds under the Terafab name now depends on a federal judge in Austin.

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NHTSA just escalated its Tesla Cybercab investigation in a big way

NHTSA escalated its Cybercab audit into a sworn Special Order with a September 30 deadline.

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Federal regulators have moved from asking Tesla questions about its Cybercab to demanding sworn answers. The National Highway Traffic Safety Administration issued a Special Order that requires a Tesla officer to sign an affidavit attesting to the completeness of the company’s responses, with a deadline of September 30.

The order builds on Audit Query AQ26002, which NHTSA opened on September 3, the same day Tesla began commercial Cybercab service in Austin. Teslarati covered that initial inquiry when it surfaced, noting the agency wanted to understand how Tesla certified a vehicle with no permanently attached steering wheel, pedals, or mirrors as compliant with Federal Motor Vehicle Safety Standards. A Special Order is a different tool and converts a fact finding review into a legally enforceable demand, the same mechanism NHTSA used against Tesla in 2023 during its Autopilot investigation.

Several of the 21 requests target a specific gap in Cybercab’s design. One asks whether Tesla used temporarily attached human controls at any point to help certify the vehicle, and if so, which standards depended on that equipment being present. Another quotes an existing rule directly: “The service brakes shall be activated by means of a foot control.” Cybercab has no foot pedal. NHTSA wants a detailed explanation of how the vehicle satisfies that requirement, and how it complies without the kind of exemption granted to Zoox in July under Part 555, the regulatory pathway built for steering wheel free vehicles.

The order does not claim Cybercab is unsafe or that Tesla broke a rule. It requires Tesla to explain, under oath, the reasoning behind decisions the company already made when it self-certified the vehicle. That distinction matters, but so does the exposure. Motor1’s reporting, summarized here, put potential civil penalty exposure as high as $139 million if NHTSA later finds the certification was flawed, on top of whatever criminal risk comes with a false sworn statement.

Tesla has not said publicly how it plans to respond. Cybercab is still carrying passengers in Austin through the Robotaxi app while the September 30 deadline approaches, and the company has continued expanding the vehicle’s footprint even as the regulatory question remains open. The Special Order does not pause any of that and just sets a date by which Tesla has to put its certification logic on the record, with a company officer’s name attached to it.

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