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SpaceX says Starship Mk1 will test ‘skydiver’ landing before the end of 2019
A senior SpaceX director says that the Starship Mk1 prototype could lift off for the first time before the end of 2019, a flight debut SpaceX hopes will successfully demonstrate the next-generation spacecraft’s exotic ‘skydiver’ landing method.
SpaceX is in the late stages of building the first full-scale Starship prototypes, known as Mk1 (situated in Boca Chica, Texas) and Mk2 (Cocoa, Florida). The Texas-based Mk1 prototype is by far the furthest along and featured prominently at CEO Elon Musk’s Starship update presentation on September 28th, having been stacked to its final height of ~50m (165 ft) for the first time just days prior.
It’s clear now that more than a little showmanship was involved in the work that lead up to Starship Mk1’s unveiling. Within a week or two of the event, SpaceX technicians had separated Starship’s nose and tail sections, removed all three Raptor engines, and uninstalled the ship’s wings and canards, among other things.
Aside from the nose and tail section demate and removal of flaps, canards, and Raptors, the aero covers that were briefly attached to Starship’s exterior (raceways, canards, flaps, legs) were also removed. One raceway cover may or may not have been a casualty of high winds but all of the above hardware was carefully stored on the ground surrounding Starship Mk1 and is clearly meant to be installed more permanently in the coming weeks.
Nevertheless, Starship Mk1 obviously has a decent ways to go before it can be seriously considered flight-ready. On a positive note, aside from several days spent undressing Starship, SpaceX’s South Texas team (and others traveling from Florida and California) have been working 24/7 in the weeks since Musk’s presentation.
The last two weeks of Starship Mk1 activity have centered around installing the numerous crucial bits and pieces the rocket will need to function. This has included thousands of feet of power cables, avionics wiring, and propellant feed and transfer pipes; industrial-scale power controllers and flight computers, and much more.
The sheer quantity and range of sizes of piping being installed on Starship Mk1 all but confirms that the rocket will be a high-fidelity prototype capable of testing a wide range of capabilities related to autogenous pressurization and Raptor engine ignition. The mirrored presence of three sets of smaller pipes on the vehicle’s raceway (essentially a utility corridor) is a strong sign that Raptor and Starship’s smaller header tanks and COPVs (located in Mk1’s nose section) are closely related.
Some of the excess hot gas produced by Raptor may be tapped to supply COPVs that can then be used to reignite the engines in-flight. More likely, the small pipes are more of a one-way feed line from Starship’s header tanks to its Raptor engines and – as Musk has indicated – the cryogenic liquid propellant in those header tanks will be gasified with electric heaters or gas generators.
Starship gymnastics
Given all of the above, close followers were already readily aware of the fact that Starship Mk1 needed some significant work done before it would be ready for flight. On October 22nd, SpaceX Senior Director Gary Henry confirmed these suspicions, indicating that Starship Mk1’s 20 km (12 mi) flight test debut was now scheduled no earlier than two months from now (December 2019).
According to CEO Elon Musk and other SpaceX engineers, that 20 km flight debut is designed to prove that Starship’s radical new approach to flight and landing is viable. Musk has repeatedly described that Starship will in no way be an actual space plane and has stated that its ‘wings’ and ‘canards’ are not intended to be airfoils or wings. Instead, Starship will reenter Earth’s atmosphere, slow its horizontal velocity to near-zero, and proceed to free-fall straight down, using its fore and aft flaps to control its trajectory in the same way that skydivers use their body and limbs.
This bizarre approach will be capped off with an aggressive landing maneuver in which Starship will ignite its engines, wildly thrust-vector and swerve to cancel out the horizontal velocity imparted by that sideways ignition, and land vertically on Earth (or Mars). In theory, this strategy will radically reduce the amount of fuel Starship needs to land in atmospheres, but it’s far removed from anything SpaceX has attempted with Falcon 9 and Starship Mk1’s first flight will hopefully prove it to be a viable solution.
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Elon Musk clapped back at France’s decision to withhold the approval for Tesla’s Full Self-Driving (FSD) Supervised system, projecting a clear and blunt message to French Transport Minister Phillippe Tabarot, after he publicly rejected the technology in its current form.
Tabarot outlines several concerns with Tesla Full Self-Driving in a detailed video statement, where he said, “The safety trade-offs are not yet sufficient to authorize it as it currently stands,” he said. He emphasized that FSD is not a true self-driving system and that the driver remains fully responsible.
Key issues Tabarot also brought up included allowing speeding when surrounding traffic exceeds limits and what he believes are insufficient guarantees of driver attention during complex urban maneuvers such as lane changes, intersections, and roundabouts.
Delaying the approval of FSD in France will cost lives
— Elon Musk (@elonmusk) July 22, 2026
While acknowledging technological progress and France’s support for autonomous innovation, Tabarot stressed that deployment must prioritize road safety. He noted ongoing technical discussions with Tesla, the Netherlands, and other European partners, with further ecosystem meetings planned for the fall.
Musk’s rebuke highlights the human cost of regulatory caution. Tesla’s latest safety reports provide compelling data supporting accelerated adoption. In the most recent 12-month period, vehicles using FSD (Supervised) recorded one major collision per approximately 5.1 million miles driven, dramatically better than the U.S. national average of one crash per 698,000 miles.
Even Tesla vehicles driven manually with active safety features outperform the average by a wide margin. These figures come from billions of real-world miles of telemetry, showing FSD vehicles involved in far fewer incidents than both manual Teslas and the broader U.S. fleet.
Critics argue Tesla’s comparisons require careful scrutiny regarding reporting thresholds and fleet demographics, yet the data consistently positions FSD as a potential lifesaver. With road fatalities remaining a leading cause of death worldwide, Musk contends that proven safer technology should not face prolonged bureaucratic hurdles.
France’s measured approach reflects the broader European regulatory caution, which many, especially Musk, have been critical of in the past. However, as autonomous systems from Tesla and competitors like Waymo demonstrate superior safety in independent studies, pressure is mounting for harmonized approvals.
Musk’s warning carries the belief that every month of delay may equate to avoidable tragedies on European roads.
In a striking revelation that underscores the lucrative crossover between Big Tech and space exploration, Alphabet Inc., Google’s parent company, disclosed a massive $94.1 billion equity stake in SpaceX following the rocket company’s blockbuster initial public offering earlier this year.
The disclosure came in Alphabet’s quarterly filing, marking the first time the long-held private investment has been publicly valued at market prices. Google was an early backer, investing alongside Fidelity in 2015 with roughly $500-900 million at a time when SpaceX was valued around $12 billion.
That bet has delivered extraordinary returns, roughly a hundredfold, transforming a strategic play on satellite internet and launch capabilities into one of Alphabet’s largest assets.
Google, $GOOGL, has said they hold $94 billion in SpaceX, $SPCX, shares after IPO.
— unusual_whales (@unusual_whales) July 23, 2026
Of the total holding, approximately $80 billion remains subject to short-term post-IPO lockup restrictions, preventing near-term sales. An additional $14.1 billion faces longer-term restrictions, extending into the third quarter of 2027. This structure limits immediate liquidity but protects against market volatility as SpaceX transitions into public trading.
The SpaceX position contributed significantly to gains in Alphabet’s broader investment portfolio, which also includes a major stake in AI leader Anthropic. Combined, these holdings helped drive nearly $100 billion in investment gains during the second quarter, providing a substantial boost to net income amid ongoing AI spending pressures.
Analysts view the disclosure as validation of Alphabet’s venture strategy beyond its core search and cloud businesses. The investment aligns with deeper ties, including reported multi-billion-dollar deals for AI computing capacity on SpaceX infrastructure. As SpaceX advances Starship flights, Starlink expansion, and ambitious Mars goals under Elon Musk, Google’s stake positions it to benefit from the commercialization of space.
For Alphabet, the windfall highlights how patient, forward-looking bets in transformative sectors can yield outsized rewards. While lockups temper short-term impact, the holding cements SpaceX as a cornerstone of Alphabet’s diversified portfolio in an era where aerospace, AI, and connectivity increasingly intersect. Investors will watch closely as restrictions lift and SpaceX’s public performance unfolds.
In early 2026, Tesla made a bold strategic pivot: it largely eliminated the option to purchase Full Self-Driving (FSD) software outright and shifted to a subscription-only model. The change, effective around mid-February, ended the one-time fee that had previously ranged as high as $15,000 and later dropped to $8,000. Instead, customers would access FSD (Supervised) for $99 per month in the U.S.
At the time, skeptics questioned whether locking customers into recurring payments would hurt adoption or alienate buyers who preferred ownership of the feature. Tesla bet that a lower barrier to entry, seamless integration at purchase, and the ability to cancel at any time would drive higher uptake.
The results from Q2 2026 speak for themselves: the decision has been a resounding success, delivering the largest quarterly growth in FSD subscriptions in the company’s history.
Tesla FSD subscriptions went up 56% in Q2 2026 to 1.48 million, an increase of 200,000 from Q1 2026.
Tesla added more FSD subscribers in Q2 than in any quarter in its history. pic.twitter.com/jTciTD2JqW
— Sawyer Merritt (@SawyerMerritt) July 22, 2026
According to Tesla’s Q2 shareholder update, active FSD subscriptions reached 1.48 million globally by the end of June 2026. That represents a 56 percent increase year-over-year and a 15.6 percent jump from the prior quarter. Tesla added roughly 200,000 new subscriptions in the period alone—the biggest single-quarter gain on record.
North America led the charge, with more than 55 percent of new vehicle deliveries including an FSD subscription at the time of purchase, a record attach rate for the region.
Tesla explicitly noted that “more customers [are] opting for subscription at the time of vehicle purchase,” crediting the model shift and prominent placement of the option in the ordering process. Subscriptions now contribute meaningfully to ancillary revenue, helping offset pressure elsewhere in the business.
The financial upside is substantial: At $99 per month, 1.48 million active subscriptions generate approximately $146.5 million in monthly recurring revenue. Over a full year, that equates to roughly $1.76 billion in annualized recurring revenue (ARR) from FSD subscriptions alone, assuming steady retention and no major pricing changes.
These figures represent pure, high-margin software revenue. Unlike vehicle sales, which carry production costs, warranty obligations, and supply-chain risks, FSD subscriptions flow largely to the bottom line once the software is developed and deployed over-the-air.
Tesla does not break out exact FSD subscription revenue in its filings (it sits within “Services and Other”), but the category grew 50 percent year-over-year in Q2, with executives highlighting subscriptions as a key driver.
The subscription model offers several structural advantages. It lowers the upfront cost of a new Tesla, potentially broadening the buyer pool and supporting vehicle demand, especially important amid fluctuating EV market conditions. It creates a predictable revenue stream that compounds as the fleet grows and more owners try (and stick with) the software.
Legacy one-time purchasers still exist, but new growth is overwhelmingly subscription-based following the February cutoff.
Early data also suggests improving retention and satisfaction, as well. Tesla has rolled out iterative FSD updates, including v14 features, and expanded availability to additional markets. Recent regulatory approvals in parts of Europe have further boosted interest, with owners in newly enabled countries eager to activate the software they had been waiting for.
FSD is still supervised; regulatory hurdles for true unsupervised autonomy persist in many regions, including the United States, and competition in advanced driver-assistance systems is intensifying. Yet the Q2 numbers validate Tesla’s bet: by removing the large upfront commitment and making FSD accessible via subscription, the company has accelerated adoption faster than many anticipated.
What began as a controversial switch-up has become a clear win. With nearly 1.5 million subscribers, record attach rates, and nearly $1.8 billion in potential annual recurring revenue already in view, Tesla’s FSD business is transitioning from a promised future to a tangible, fast-growing profit engine.
If the momentum continues, and especially if unsupervised capabilities unlock robotaxi opportunities, the subscription flywheel could become one of the most valuable assets in Tesla’s portfolio.
Elon Musk claps back at France’s Tesla Full Self-Driving approval delay
Google’s massive stake in SpaceX will shock you
