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SpaceX receives first major Starship Moon lander funding from NASA
SpaceX has received its first major funding from NASA for the development of a crewed Starship Moon lander meant to return humans to the surface of Earth’s nearest neighbor as early as 2024.
Ordinarily, funding disbursement is just a routine, mundane part of government contracting. However, soon after NASA revealed that it had selected SpaceX – both the most technically sound proposal and cheapest option by half – alone to return humanity to the Moon, former competitors Dynetics and Blue Origin both filed protests complaining about the space agency’s conclusions. As a direct result, NASA was forced to freeze work on SpaceX’s brand new Human Landing System (HLS) contract and collaboration between both partners was strictly limited until both protests could be evaluated.
Technically, the US Government Accountability Office (GAO) tasked with those reviews had 100 days from the date the protests were filed (April 26th) to complete the process. On July 30th, 95 days later, GAO announced that it had firmly denied both Dynetics’ and Blue Origin’s protests. As it turns out, likely just hours after GAO released its decision, NASA sent SpaceX its first major HLS Starship milestone payment.
As part of the $2.9 billion contract SpaceX won to develop a crewed Starship lander and perform at least two major test flights of the vehicle, one uncrewed and one crewed, NASA wasted no time at all sending SpaceX its first milestone payment of $300 million. In one fell swoop, NASA has thus doubled the amount of money it’s invested to date in SpaceX’s next-generation, fully-reusable Starship launch vehicle.
Per GAO’s July 30th decision document, NASA reportedly only had ~$350 million left to fund its FY2021 HLS Option A awardee(s) – almost all of which has now been sent to SpaceX. Despite the fact that the Dynetics and Blue Origin protests all but completely prevented NASA from making progress on HLS, they didn’t prevent SpaceX from continuing work at a breakneck pace. Notably, even with that $300M payment and a ~$140M HLS requirements contract Starship received in 2020, NASA has still disbursed less HLS funding to SpaceX than Blue Origin’s National Team, which received almost $480M to develop its own lander before SpaceX was crowned.
In fact, SpaceX simply continued as if those protests and their associated obstructions didn’t exist. In early May, for the first time ever, SpaceX successfully launched a full-scale Starship prototype to 10 km (~6.2 mi) and gently landed the massive rocket in one piece. The Starship tankers SpaceX’s HLS lander missions will require will ultimately rely on the exact same exotic recovery approach – an approach that SpaceX has now unequivocally proven works.
Around the same time, SpaceX began assembling a skyscraper-sized ‘launch tower’ that will be tasked with fueling Starship and eventually catching Super Heavy boosters. A few days before GAO denied the HLS Option A protests and allowed NASA to get back to work, SpaceX stacked that launch tower to its final ~145m (~475 ft) height, completing the basic structure. Plenty of outfitting remains, including the installation of the giant arms that will hopefully one day catch and fuel Starship stages, but that work is also progressing quickly.
In the three months NASA’s HLS program has been frozen in place, SpaceX also built, proof tested, and static fired a ~69m tall (~227 ft) Super Heavy booster (B3) for the first time, more or less completed the first orbital-class Starship prototype (S20), nearly finished another full-scale Super Heavy (B4), collectively installed 35 Raptors on both vehicles in about two days, and briefly stacked Ship 20 atop Booster 4 – creating the largest, tallest rocket ever assembled.
In short, even with no guarantee that it would ever receive any of the $2.9 billion NASA awarded it, SpaceX continued Starship development at a breakneck pace and – according to Elon Musk – could technically be ready for the rocket’s first orbital launch attempt “in a few weeks.” In the background, SpaceX also almost certainly completed a great deal of paperwork and deliverables that NASA was finally able to accept and review once unshackled. Ever the optimist, despite the hurdles, CEO Elon Musk still believes that SpaceX will not only deliver its Starship Moon lander – and thus NASA astronauts to the lunar surface – on time, but “probably sooner” than the 2024 target.
In a major development that will inevitably strengthen Tesla’s dominant position in the American EV market, Polestar has been effectively banned from selling new vehicles in the United States, starting with the 2027 model year.
The U.S. Department of Commerce denied Polestar authorization under the Connected Vehicle Rule, which prohibits vehicles containing certain connected technologies (Cellular, Wi-Fi, Bluetooth, etc.) linked to China or Russia due to national security risks, including potential data collection on American drivers.
🚨 A Tesla competitor goes down
Polestar will no longer sell new vehicles in the United States starting with the 2027 model year.
The U.S. Department of Commerce denied the brand authorization under the Connected Vehicle Rule, which restricts the sale of cars with software and… pic.twitter.com/TrwnQeoiES
— TESLARATI (@Teslarati) June 25, 2026
Polestar, which is majority-owned by China’s Geely Holding, could not obtain the required exemption despite producing some models domestically.
Polestar confirmed it will sell off any remaining inventory of the Polestar 3 and Polestar 4 models, while continuing service and warranty support for existing customers. No new models or major refreshes will reach U.S. buyers, and the company is pivoting its growth strategy to Europe, where it already generates the vast majority of its sales.
The outcome removes a direct premium EV competitor that had positioned itself as a stylish, performance-oriented alternative to Tesla’s lineup. The Polestar 2 challenged the Model 3, while the Polestar 3 and 4 targeted segments overlapping with the Model Y and upcoming Tesla offerings. Polestar’s U.S. sales had already been sluggish amid intense competition and slower demand, representing just 6 percent of its global volume in the first quarter of 2026.
While Polestar was not on Tesla’s level in the U.S., it still places a dent in the evergrowing field of Tesla competitors in the country, where it has long dominated EV sales.
Tesla faces none of these hurdles. As a U.S.-founded and U.S.-headquartered company with major manufacturing in Fremont, Austin, and Nevada, Tesla’s vehicles are built with compliant domestic and allied supply chains. Its Full Self-Driving technology, over-the-air software updates, and vertically integrated ecosystem were developed entirely in-house without foreign ownership entanglements that trigger national security reviews, at least in the U.S.
Of course, it did face a similar threat in China a few years back:
Elon Musk responds to reports of Tesla ban among China’s military over security concerns
The Connected Vehicle Rule, first advanced under the prior administration and upheld under the current one, is part of a broader U.S. effort to protect the domestic auto industry and critical technology from Chinese influence. High tariffs on Chinese-made EVs and related restrictions have already reshaped the market. Tesla benefits directly: it avoids these barriers while continuing to lead in U.S. EV sales volume, Supercharger network expansion, and energy storage integration.
By clearing Polestar from the new-vehicle playing field, the policy reduces competitive pressure in the premium and performance EV segments where Tesla has invested billions. American consumers seeking cutting-edge electric vehicles now have one fewer option tied to foreign adversaries — and one clearer path to the market leader that has driven the EV transition from the start.
For Tesla, this is more than regulatory relief. It is a strategic tailwind that reinforces its position as America’s premier EV innovator at a time when domestic manufacturing and technological independence matter most.
Tesla Cybercab stands to gain from new rules that the Trump Administration is aiming to enforce on autonomous vehicles. On Thursday, NHTSA, under the Trump Administration’s U.S. Department of Transportation, commenced rulemaking on the Federal Motor Vehicle Safety Standards (FMVSS).
This effort aims to eliminate the mandate for manual brake pedals in vehicles that are designed to be driven exclusively by automated driving systems. This would impact the Tesla Cybercab, which the company has stated would operate without a steering wheel or pedals.
Tesla Cybercab launch is imminent after latest sighting at Giga Texas
The Trump Administration is looking to revise FMVSS No. 135, which requires standard braking systems on light-duty vehicles.
Currently, the regulation requires light-duty cars to use traditional manual braking systems that allow operators to slow the vehicle. With the advent of self-driving in the U.S., these regulations need updating, and these are the changes that could come to FMVSS No. 135:
- Removes requirements for hand- or foot-operated brake controls for vehicles designed never to be operated by a human. Existing rules still apply to AVs that retain manual controls.
- All subject vehicles must still meet the same stopping distance performance criteria via alternative testing procedures.
- While this update ensures AVs can physically stop when commanded, NHTSA is separately developing safety performance requirements for AVs in real-world driving scenarios.
- NHTSA will continue to use its broad defect enforcement authority to investigate unsafe ADS behavior and oversee recalls.
As autonomy becomes a greater part of passenger travel, these types of rule adjustments will be more than reasonable. It will give manufacturers the ability to self-certify their vehicles and avoid any red tape that could ultimately delay the deployment of these vehicles.
Administrators are also incredibly excited about the opportunity to play a role in the advancement of self-driving vehicles.
“We are at the cusp of the greatest technological revolution in vehicle technology since the innovation of the Model T,” NHTSA Administrator Jonathan Morrison said. “If we want America to lead the way, we have to reimagine our regulatory framework. That’s why under Secretary Sean Duffy’s AV Framework, NHTSA is tearing down pointless barriers to innovative designs while strengthening the fundamental safety requirements that matter and holding AV developers accountable for safe performance.”
The Cybercab entered mass production at Gigafactory Texas in April. Tesla ultimately plans to push the vehicle into its Robotaxi fleet, potentially when frameworks like these are established.
Tesla plans to boost production at its Gigafactory Berlin plant in Germany following a sharp rebound in sales and demand in Europe after a softer 2025.
The plans put Tesla in a better position to compete with strengthening companies in Europe and potentially other markets; demand indicators show Tesla is much better off than in 2025.
Last year was a tough year for Tesla in terms of overall demand in Europe. The company produced over 200,000 vehicles at the German plant last year, a soft figure compared to the 375,000 vehicles Tesla lists as its current capacity at the factory.
🚨 Tesla said this morning it will ramp up production at Gigafactory Berlin to a volume of 7,500 vehicles per week.
This is a 20 percent boost in production. Tesla will hire 1,000 new employees to help with the increase.$TSLA pic.twitter.com/kravKfRO5n
— TESLARATI (@Teslarati) June 25, 2026
Tesla’s overall European sales dropped significantly last year due to a variety of factors. However, sales are rebounding, and demand is strong once again, and only getting stronger. Tesla is now planning to bump production of Model Y vehicles at Giga Berlin upward by about 20 percent. It will also bring 1,000 new jobs to the plant.
Tesla confirmed the details of its planned production expansion in Germany this morning. It is a strategy to keep up with strengthening demand.
In Q1, Tesla saw a record 61,000 vehicles produced at Giga Berlin. European registrations rebounded sharply, with Model Y seeing 117 percent increases in March 2026 compared to last year. Germany alone saw stark increases, with a quadrupling in registrations to 9,252 units.
This trend continued in other key European markets, including France, Denmark and Sweden. Tesla registrations were up over 46 percent in some of these markets, and Model Y continued its trend as a top BEV in the market.
Demand has been recovering strongly in 2026, giving Tesla a reason to expand production efforts at the factory. These increases signal management’s confidence in sustained or growing European pull for Berlin-built vehicles.
One of Tesla’s biggest threats just got banned in the U.S.
Tesla Cybercab stands to gain from new Trump autonomy rules
