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SpaceX Starship rolls to Texas launch pad ahead of next big test campaign
SpaceX’s first flightworthy Starship prototype has rolled to its South Texas launch pad just hours after it was welded together and is now preparing for several critical tests it must pass before it can be deemed ready for liftoff.
Fabricated and assembled with incredible speed at SpaceX’s growing Boca Chica, Texas Starship factory and test facilities, the vehicle SpaceX moved to the launch pad earlier today (Feb 25) is meant to become the first full-scale Starship prototype to take flight. Following in the footsteps of the Starship Mk1 prototype, deemed too shoddy to launch and pressurized to destruction in November 2019, the first serial build (SN01) of an improved line of Starship prototypes appears to have taken less than a month to go from first weld to the launch pad.
CEO Elon Musk took to Twitter earlier today to confirm the Starship SN01 tank section’s move to the launch pad, further noting that the tank assembly is now preparing for Raptor engine installation ahead of a static fire test. According to NASASpaceflight.com, SpaceX wants to complete that static fire and launch Starship SN01 as early as next month – a seemingly improbable target that just got much more likely with the rocket’s tank section already at the launch pad. Most importantly, however, the speed with which SpaceX has been able to assemble and prepare Starship SN01 suggests that even if things go wrong or plans change, another completed prototype could be ready to head to the pad just a few weeks from now.
On February 25th, SpaceX CEO Elon Musk posted a screenshot taken from a livestream created by SPadre earlier that day, noting that Starship will soon have engines installed in preparation for a critical static fire test.
Under the cover of an incredibly thick fog bank, Starship SN01 was lifted onto a Roll Lift transporter and carefully moved from its factory facilities to SpaceX’s Boca Chica launch pad at 4:30 am PST. Around 7:30 am PST, the giant rocket tank was lifted onto the pad’s Starship mount and technicians have been working to connect SN01 to the ground systems ever since.
Built out of stainless steel, Starship SN01’s tank section – referring to the combined liquid oxygen tank, liquid methane tank, and engine section – stands about 30m (100 ft) tall and likely weighs at least 30-45 metric tons (~70,000-100,000 lb) as it stands. While SN01 is clearly missing its pointed nose section (‘nosecone’) and flaps, among other parts, its tank section has been moved to the launch pad to perform tests that don’t involve the ship’s aerodynamic properties.
Starship Mk1 – SpaceX’s first attempt at a full-scale prototype – was fabricated and stacked piece by piece over the course of nine months before its tank section – looking almost identical to SN01 – first rolled to SpaceX’s launch pad on October 30th, 2019. Three weeks later, it was intentionally pressurized until it popped after engineers concluded that its production quality was too low for a flight test attempt to be worth the effort. On the other hand, the first of Starship SN01’s steel rings was definitively completed in the last week of January 2020, quite possibly just four weeks before the completed tank section was rolled to the same launch pad.
With that kind of speed, it’s no surprise that Musk says SpaceX will start stacking Starship SN02’s tank section this week. Intriguingly, Musk also stated that Starship SN02 would have three Raptors installed, avoiding the original question’s focus (SN01). As such, it appears that Starship SN01 may only have one Raptor installed for a static fire test and would be unlikely to ever fly if that were the case. It’s possible that after two highly successful (and explosive) pressure tests of smaller Starship test tanks that were completed last month, SpaceX still wants to perform a similar pressure test with a fully-integrated, full-scale Starship tank section to confirm that the smaller tank results carry over.
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Whether SN01 is still destined for flight, it’s safe to say that Starship SN01 tank testing could begin in a matter of days — SpaceX currently has early-morning roadblocks indicative of such testing scheduled from February 29th to March 2nd. SpaceX is likely to kick off by filling SN01 with water to check its tanks for leaks, followed by liquid nitrogen – chemically neutral but still incredibly cold. After that, SN01 would likely graduate to Raptor engine installation and a wet dress rehearsal (WDR) with liquid oxygen and methane before moving on to a static fire attempt, if all goes well.
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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.
SpaceX’s massive investment in AI will make it a big winner, Argus Research said after the company’s successful earnings call last week.
The firm also upgraded shares to a Buy from Hold and set a $160 price target.
SpaceX (NASDAQ: SPCX) is currently recovering from its heavy AI infrastructure investments, as it spent nearly $16 billion in Q2 alone. The company did this primarily by monetizing high-demand GPU compute capacity at a much faster pace than traditional data center economics would suggest.
Company CFO Bret Johnsen said that SpaceX would be able to pay back anything on new deployments within a year.
There are plenty of ways the company can do this:
Leasing excess compute capacity through contracts
SpaceX has already built Colossus and Colossus II, largely for its own model training. However, much of that capacity is already rented out to third parties. It already has major deals with Anthropic, Google, and Reflection AI. These partnerships are adding billions per month to SpaceX’s spreadsheet.
High utilization driven by industry-wide scarcity
The demand for advanced AI training and inference capacity continues to exceed what is available for use. SpaceX can fill new racks quickly after they come online, so the capital deployed converts into revenue with minimal idle time.
Additionally, management and outside observers have described the new compute capital as behaving more like a cost-of-goods-sold than traditional multi-year capex, especially because of this rapid monetization pattern.
Capacity has already scaled from ~0.4 GW a year to 1.4 GW annually by the end of Q2. There are targets of more than 2 GW by year-end.
High incremental margins on the rental business once capacity is online
GPU cloud providers often operate at strong gross margins. SpaceX can monetize capacity that was already partially built or can be added efficiently. This means that incremental EBITDA margins on the rental revenue are usually high. This accelerates cash recovery relative to the gross capital outlay.
Parallel monetization of its own AI software and applications
Beyond pure infrastructure rental, SpaceX also generates revenue from Grok through subscriptions and usage, from X through ads, data, and other related services, enterprise APIs, and the planned integration of the Cursor coding tools acquisition.
These application layers ride on the same compute infrastructure and provide additional high-margin streams that could offset build-out costs. AI-segment revenue overall rose sharply to about $2.6 billion in Q2, according to Motley Fool. This was driven primarily by the infrastructure contracts, but the software side is also partially responsible.
Efficient, large-scale deployment and vertical integration advantages
SpaceX has emphasized the rapid construction of power and cooling infrastructure and favorable cost-per-megawatt economics relative to industry benchmarks in some disclosures.
Combined with its ability to scale capacity aggressively and the fact that many contracts start generating revenue within months of capacity coming online, the effective payback compresses dramatically compared with more conventional multi-year data-center projects.
SpaceX’s dominant near-term recovery path will turn the AI clusters into a hyperscale-style compute rental business for other leading AI companies while still using a portion for internal models.
Tesla headlights have caused a recall of over 20,000 of the company’s two most popular vehicles, the Model 3 and Model Y, due to the low-beam bulb exceeding the maximum allowed intensity according to federal standards.
Tesla initiated the recall with the National Highway Traffic Safety Administration (NHTSA) this morning, stating that the low-beam output “exceeds the maximum allowed intensity in the outer upper-right and outer upper-left areas of the 10U and 90U zone, as prescribed in FMVSS No. 108.”
Tesla sourced the impacted headlights from Marelli Automotive Lighting, a Mexico-based company. The recall impacts 2020-2023 Model Y vehicles and 2017-2023 Model 3 vehicles. It is estimated that every VIN in this recall is impacted by the defect.
🚨 Tesla is recalling 20,349 2020-23 Model Y vehicles and 2017-23 Model 3 vehicles due to an excessively bright headlamp low beam.
Currently, there is no remedy plan in place, as it is still being developed. pic.twitter.com/y34cIO2U0B
— TESLARATI (@Teslarati) August 11, 2026
Typically, Tesla would remedy recalls of this nature through an Over-the-Air software update, which has been a major focus of criticism by the company and its supporters because the NHTSA still refers to it as a “recall,” even though it requires no action by the vehicle owner. The fix is shipped over the internet and downloaded to the car.
However, there appears to be a potentially different solution for this problem. Tesla has not developed a remedy for this issue, so it could potentially be on the way. The big issue appears to be the fact that these recalled lamps are out of production, and this is an old body style for both vehicles. The headlights and front-end designs are completely different.
Tesla switched to another supplier when the affected headlight design was discontinued. It plans to begin notifying owners of their remedy options by September 15.
Tesla filed a petition protesting the recall to fix the vehicles’ headlight issue, but the NHTSA denied it. Now, Tesla will come up with a solution to fix it.
Tesla has one big financial question to answer for investors: Morgan Stanley
SpaceX AI investment gamble will make it a big winner, firm says
