

News
SpaceX rapidly builds, tests Starship Moon elevator for NASA
As part of a NASA program that will select one or two commercial crewed Moon landers, SpaceX is busy testing Starship and prototyping hardware and most recently built and demonstrated an elevator “in a very short period of time.”
Known as the Human Landing System (HLS) program, NASA selected three providers – a Blue Origin-led consortium, Dynetics, and SpaceX – to build prototypes and compete for one or two follow-on contracts back in April 2020. SpaceX’s Starship offering was deemed the riskiest solution and the company received a middling $135 million to Dynetics’ ~$250 million and the “National Team’s” ~$570 million.
For their ~$820 million investment, it’s unclear what exactly NASA has gotten from its two best-funded teams aside from paperwork, a few completed design reviews, and two low-fidelity mockups mostly made out of cardboard, foam, and wood. Meanwhile, in the ten months since SpaceX received its $135 million, the company has built no less than eight full-scale Starship prototypes, performed a dozen or more wet dress rehearsals and static fires with said prototypes, and performed two powered hops and two high-altitude test flights. Now, to add to that list of low-cost achievements, SpaceX has also built and tested a functioning prototype of the elevator Starship would use to lift and lower astronauts to and from the lunar surface.
SpaceX’s proposal is certainly a unique one, with Starship being no less than several times taller and heavier than both its prospective competitors. However, Blue Origin’s extraordinarily complex three-stage, four-component lander – requiring a separate transfer stage, descent stage, ascent stage, and crew cabin – makes even Starship seem somewhat reasonable.
Notably, that massive 8-10m (25-32 ft) stack of separate spacecraft – crew cabin at the peak – would force NASA astronauts to transit a several-story ladder to and from the lunar surface. Far taller than the Apollo Program’s lander ladder, which NASA was already somewhat tepid on at the time, navigating a tall ladder in a clumsy, imprecise lunar EVA spacesuit would be extremely challenging and relatively risky. Dynetics is by far the least concerning solution in that regard, requiring what amounts to a footstool relative to SpaceX and Blue Origin.

In the National Team’s defense, SpaceX’s elevator approach is also undeniably risky, and it’s safe to say that demonstrated reliability would be an absolute necessity for NASA to ever accept that solution. Of course, SpaceX could feasibly include a hand-cranked backup system and a ladder on Starship’s exterior in the event of total system failure, but both backups would still pose risks similar to or greater than the National Team’s ladder.
However, the fact that SpaceX has already built and begun testing a Starship Moon elevator prototype makes it hard to believe that the company couldn’t ultimately produce a safe, reliable, redundant elevator between now and the mid to late 2020s.
On a separate note, it’s unclear when or where SpaceX built and tested the first Starship elevator. The photo NASA’s Mark Kirasich provider appears to show an elevator prototype situated inside a steel Starship ring with the sky visible, but nothing like that setup has been spotted at SpaceX’s Boca Chica Starship factory or former Cocoa Beach production facilities. That leaves its Hawthorne, California factory or, perhaps, a mysterious “Roberts Road” facility on Kennedy Space Center (KSC) land. Either way, it certainly appears that SpaceX has yet to show all its cards and is doing everything it can to convince NASA that Starship is worth additional HLS contracts.
NASA is expected to award contracts for full-up Moon lander demonstrations from one or two of the three candidates either “in the next few weeks” or sometime in April.
Elon Musk
Elon Musk’s xAI becomes Memphis’ 2nd largest taxpayer in just one year: report
Elon Musk’s artificial intelligence startup, xAI, is reshaping Memphis’s economic landscape.

Elon Musk’s artificial intelligence startup, xAI, is reshaping Memphis’s economic landscape. In just twelve months, the company has become the city and county’s second largest taxpayer.
The update was related in a report from The Wall Street Journal.
Memphis’ second-largest taxpayer
xAI is currently transforming a defunct Mississippi power plant into a crucial hub for AI, supplying electricity to its Colossus supercomputer cluster and its successor, Colossus 2. Together, the Colossi supercomputers will host more than half a million Nvidia chips that would be used for the development and improvement of Grok, xAI’s large language model.
The buildout has injected billions into the region, making xAI one of Memphis’s most significant private investors and a symbol of the city’s high-tech aspirations. Bill Dunavant III, a Memphis businessman who sits on the board of directors of the city’s chamber of commerce, highlighted xAI’s contribution to the city’s economy in a comment to the WSJ.
“In one year, xAI has become the second largest taxpayer in the city and county after FedEx,” he said. A spokesman for the Greater Memphis Chamber of Commerce has also stated that xAI has demonstrated “substantial economic commitment to our region, without any tax incentives.”
Not without controversy
Despite the economic boost, xAI’s footprint has drawn scrutiny. The company’s natural-gas-powered turbines are expected to consume a substantial amount of water and electricity. Critics have also expressed worries about pollution and increased utility costs, though others see Musk’s wastewater recycling plans and cleanup initiatives as meaningful offsets.
As per the WSJ, xAI’s positioning in the market may be quite different than what Musk is typically used to, considering that the CEO tends to become a first mover in key industries, such as the EV segment with Tesla and private spaceflight with SpaceX. With xAI, however, he is catching up to competitors, the most notable of which is a company he co-founded, OpenAI, and its ubiquitous large language model, ChatGPT.
News
Tesla all but confirms that affordable Model Y is coming Tuesday
It does appear that October 7 would be the date when the world sees Tesla’s actual idea of what an affordable vehicle would be like.

Tesla has released a cryptic teaser of a product that would be announced on Tuesday, October 7, 2025. Based on the company’s hint, it does appear that the product would be the affordable Model Y that has been spotted doing road tests across the country over the past months.
Affordable Model Y sightings
Last week, news emerged that a number of key Tesla influencers visited Gigafactory Texas for a private event. These included veteran Tesla YouTubers, car reviewers, influencers on X, and even a teardown expert who provided the initial insights on how to improve the original Model 3 sedan. At the same time, an uncovered unit of the apparent affordable Model Y was posted online. The vehicle was reportedly sighted close to Giga Texas.
The new Model Y variant had some notable changes from the standard Model Y. Its fascia seemed inspired by the Model 3 sedan instead of the Cybertruck, and its roof seemed blacked out. Overall, it looked like a simpler Model Y designed to be offered at an affordable price.
The weekend teasers
Teasers about an upcoming product were posted by Tesla’s official account on social media platform X, though the electric vehicle maker made it a point to keep things very vague. Initially, a closeup video of what appeared to be an aero wheel was posted, though it was vague enough that some speculated that it could be Elon Musk’s long-announced HVAC system instead.
On Sunday, another teaser video was posted featuring the headlights of a new car. This brought speculations that the new Roadster might finally be announced. Inasmuch as a new Roadster unveiling would be exciting, however, it was evident that the headlights in the new teaser were a match to the uncovered affordable Model Y unit that was spotted close to Giga Texas a few days ago. With this in mind, it does appear that October 7 would be the date when the world sees Tesla’s actual idea of what an affordable vehicle would be like.
Elon Musk
Tesla releases cryptic teaser for something massive and it’s coming this week
On Sunday morning, Tesla released a nine-second teaser video of what appears to be either a vehicle wheel, fan, or some sort of propeller, but there are no real clues as to what it could be exactly.

Tesla has released a cryptic teaser for something massive, and it will release details on it this week. With many different projects in the works, there is a lot of speculation going on about what it could potentially be, but we have a few ideas.
On Sunday morning, Tesla released a nine-second teaser video of what appears to be either a vehicle wheel, fan, or some sort of propeller, but there are no real clues as to what it could be exactly.
It then ends with “10/7,” meaning it will announce something on October 7, which is this Tuesday:
— Tesla (@Tesla) October 5, 2025
Given that Tesla has been working on a handful of pretty notable projects that are set for unveiling at the end of this year, and there are some clues that seem to point in their direction with this short teaser video.
There are two projects that come to mind almost immediately: the Tesla Roadster is one, and the “E41” or affordable model is the other. Here’s what we know about both:
Tesla Roadster Demo Event
Tesla said earlier this year that it would have a demo event for the Roadster to unveil some new technologies and show off what it has been working on over the past few years.
There have been a lot of crazy things in the works for the Roadster, including a SpaceX package that would use cold-gas thrusters for an insane 1.1-second 0-60 MPH acceleration rate. This package was also supposed to help it hover, something CEO Elon Musk has teased for the past few years.
The Roadster was ready for release earlier this year, but after Chief Designer Franz von Holzhausen and VP of Powertrain Lars Moravy showed Musk what they had come up with, he wanted more.
Moravy said on the Ride the Lightning podcast earlier this year:
“What we had come up with exceeded what we originally planned. So, Elon was like, ‘Wow, great. Let’s do more!'”
The Roadster event was coined as “the most epic demo,” and since it was planned for the end of 2025, it is totally feasible to believe this could be it.
Tesla ‘E41’ Affordable Model
Some believe the teaser could be the official launch of Tesla’s affordable model, which Musk said earlier this year is simply a stripped down Model Y.
There have been some sightings of this vehicle in the past few weeks, including one on Friday that showed the vehicle completely uncovered for the first time:
🚨 It looks like the new affordable Tesla Model Y was spotted near Giga Texas
Model Y body with the Model 3 fascia, no glass roof, and looks as if there is a front bumper camera!
Should be coming soon! https://t.co/UAXQMHjM23 pic.twitter.com/9lC5te9GnW
— TESLARATI (@Teslarati) October 3, 2025
The launch of the affordable model makes sense, especially from a timing perspective. With the $7,500 EV tax credit officially coming to a close on September 30, many are wondering how Tesla will spark growth in its deliveries. A more affordable EV would be the perfect response, and it is something that Tesla has been working on for some time.
Other Potential Ideas
There are some pretty interesting ideas as to what the teaser could be apart from the Roadster or affordable model. Some believe it could be a cooling fan for a GPU cluster, which would make sense considering Tesla’s prowess in data.
Grok also made an interesting guess, stating it could be a propeller for a secret air taxi Tesla is developing. This seems sort of our of left field.
We do know Tesla hosted a handful of influencers at Gigafactory Texas this past week, so whatever the company showed them is likely what will be unveiled on Tuesday.
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