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SpaceX’s Starship wins $53M from NASA for full-scale orbital refueling test

NASA has awarded SpaceX $53 million to perform a full-scale orbital propellant transfer test with a Starship prototype. (SpaceX)

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SpaceX’s Starship program has won $53 million from NASA to perform a full-scale test of orbital propellant transfer, taking the company and space agency’s relationship on the crucial technology to the next level.

NASA revealed the results of its fifth round of “Tipping Point” solicitations on October 14th, announcing awards of more than $370 million total to 14 separate companies. This year’s investments focused on three main categories: “cryogenic fluid management, lunar surface [operations], and closed-loop [i.e. autonomous] descent and landing capability demonstrations.”

In a fairly predictable outcome, the bulk (~$176 million) went to Lockheed Martin and the United Launch Alliance (ULA), while the other half (~$189 million) was split among the twelve remaining companies. In an upset, however, SpaceX was awarded a substantial contract for a crucial aspect of Starship development.

A Starship is refueled in orbit. (SpaceX)

Today’s Tipping Point contract is technically the second time NASA has awarded SpaceX funding for propellant transfer development. In October 2019, almost exactly one year ago, SpaceX won $3 million “to develop and test…cryogenic fluid coupler [prototypes] for large-scale in-space propellant transfer,” marking NASA’s first direct investment in Starship. It seems that NASA was thoroughly satisfied with the results of that icebreaker test – enough to fund a full demonstration of Starship propellant transfer to the tune of $53.2 million.

As Ars Technica’s Eric Berger notes, NASA investing eight figures in a SpaceX Starship propellant transfer demonstration – let alone some $250 million overall in four separate companies – comes as a major surprise. In doing so, NASA is effectively testing the tolerance of political stakeholders in programs like Orion and SLS – programs that exist more to preserve jobs and prop up Congressional stakeholders. If a magnitude(s)-cheaper and more capable solution like distributed launch and orbital refueling were demonstrated under NASA’s own purview, it might become a lot harder to defend heritage programs that have been hemorrhaging ~20% of the space agency’s annual budget for almost a decade.

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NASA says that this round of Tipping Point contracts could last up to five years. Aside from a $41.6 million contract with Intuitive Machines to develop a Moon hopper spacecraft capable of propulsively hopping around the lunar surface, the most interesting awards are focused on “cryogenic fluid management.” Eta Space received $27 million for a “small-scale flight demonstration of a complete cryogenic oxygen fluid management system to be integrated with Rocket Lab’s Photon spacecraft bus and launched on an Electron rocket.

Lockheed Martin won $89.7 million for an “in-space demonstration mission using liquid hydrogen…to test more than a dozen cryogenic fluid management technologies.” ULA, of which Lockheed Martin is a member, was awarded $86.2 million to test “precise tank pressure control, tank-to-tank transfer, and multi-week propellant storage” with a Vulcan Centaur upper stage.

SpaceX has won NASA funding to develop a custom Starship variant designed to land astronauts on the Moon. (SpaceX)

Finally, SpaceX won $53.2 million for a “large-scale flight demonstration to transfer 10 metric tons of [liquid oxygen] between tanks on a Starship vehicle.” Notably, this seems to imply that NASA is effectively funding a single-ship orbital flight test in which a Starship prototype will (most likely) attempt to transfer liquid oxygen between its main LOx tank and a smaller ‘header’ tank.

Coming on the heels of an April 2020 contract that awarded SpaceX $135 million to develop a crewed Starship design optimized for Moon landings, NASA is beginning to put some serious money where its mouth is to develop a wide range of innovative solutions that may enable sustainable human space exploration.

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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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Elon Musk

Elon Musk hints Tesla investors will be rewarded heavily

“Hold onto your Tesla stock. It’s going to be worth a lot, I think. That’s my bet,” Musk said.

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Credit: Grok

Elon Musk recently hinted that he believes Tesla investors will be rewarded heavily if they continue to hold onto their shares, and he reiterated that in a new interview that the company released on its social accounts this week.

Musk is one of the most successful CEOs in the modern era and has mammothed competitors on the Forbes Net Worth List over the past year as his holdings in his various companies have continued to swell.

Tesla investors, especially those who have been holding shares for several years, have also felt substantial gains in their portfolios. Over the past five years, the stock is up over 78 percent. Since February 2019, nearly seven years ago to the day, the stock is up over 1,800 percent.

Musk said in the interview:

“Hold onto your Tesla stock. It’s going to be worth a lot, I think. That’s my bet.”

It’s no secret Musk has been extremely bullish on his own companies, but Tesla in particular, because it is publicly traded.

However, the company has so many amazing projects that have an opportunity to revolutionize their respective industries. There is certainly a path to major growth on Wall Street for Tesla through its various future projects, including Optimus, Cybercab, Semi, and Unsupervised FSD.

  • Optimus (Tesla’s humanoid robot): Musk has discussed its potential for tasks like childcare, walking dogs, or assisting elderly parents, positioning it as a massive long-term driver of company value.
  • Cybercab (Tesla’s robotaxi/autonomous ride-hailing vehicle): a fully autonomous vehicle geared specifically for Tesla’s ride-sharing ambitions.
  • Semi (Tesla’s electric truck, with mentions of expansion, like in Europe): brings Tesla into the commercial logistics sector.
  • Unsupervised FSD (Full Self-Driving software achieving full autonomy without human supervision): turns every Tesla owner’s vehicle into a fully-autonomous vehicle upon release

These projects specifically are some of the highest-growth pillars Tesla has ever attempted to develop, especially in Musk’s eyes, as he has said Optimus will be the best-selling product of all-time.

Many analysts agree, but the bullish ones, like Cathie Wood of ARK Invest, are perhaps the one who believes Tesla has incredible potential on Wall Street, predicting a $2,600 price target for 2030, but this is not even including Optimus.

She told Bloomberg last March that she believes that the project will present a potential additive if Tesla can scale faster than anticipated.

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Cybertruck

Tesla drops latest hint that new Cybertruck trim is selling like hotcakes

According to Tesla’s Online Design Studio, the new All-Wheel-Drive Cybertruck will now be delivered in April 2027. Earlier orders are still slated for early this Summer, but orders from here on forward are now officially pushed into next year:

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(Credit: Tesla)

Tesla’s new Cybertruck offering has had its delivery date pushed back once again. This is now the second time, and deliveries for the newest orders are now pushed well into 2027.

According to Tesla’s Online Design Studio, the new All-Wheel-Drive Cybertruck will now be delivered in April 2027. Earlier orders are still slated for early this Summer, but orders from here on forward are now officially pushed into next year:

Just three days ago, the initial delivery date of June 2026 was pushed back to early Fall, and now, that date has officially moved to April 2027.

The fact that Tesla has had to push back deliveries once again proves one of two things: either Tesla has slow production plans for the new Cybertruck trim, or demand is off the charts.

Judging by how Tesla is already planning to raise the price based on demand in just a few days, it seems like the company knows it is giving a tremendous deal on this spec of Cybertruck, and units are moving quickly.

That points more toward demand and not necessarily to slower production plans, but it is not confirmed.

Tesla Cybertruck’s newest trim will undergo massive change in ten days, Musk says

Tesla is set to hike the price on March 1, so tomorrow will be the final day to grab the new Cybertruck trim for just $59,990.

It features:

  • Dual Motor AWD w/ est. 325 mi of range
  • Powered tonneau cover
  • Bed outlets (2x 120V + 1x 240V) & Powershare capability
  • Coil springs w/ adaptive damping
  • Heated first-row seats w/ textile material that is easy to clean
  • Steer-by-wire & Four Wheel Steering
  • 6’ x 4’ composite bed
  • Towing capacity of up to 7,500 lbs
  • Powered frunk

Interestingly, the price offering is fairly close to what Tesla unveiled back in late 2019.

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Elon Musk

Elon Musk outlines plan for first Starship tower catch attempt

Musk confirmed that Starship V3 Ship 1 (SN1) is headed for ground tests and expressed strong confidence in the updated vehicle design.

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Credit: SpaceX/X

Elon Musk has clarified when SpaceX will first attempt to catch Starship’s upper stage with its launch tower. The CEO’s update provides the clearest teaser yet for the spacecraft’s recovery roadmap.

Musk shared the details in recent posts on X. In his initial post, Musk confirmed that Starship V3 Ship 1 (SN1) is headed for ground tests and expressed strong confidence in the updated vehicle design.

“Starship V3 SN1 headed for ground tests. I am highly confident that the V3 design will achieve full reusability,” Musk wrote.

In a follow-up post, Musk addressed when SpaceX would attempt to catch the upper stage using the launch tower’s robotic arms. 

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“Should note that SpaceX will only try to catch the ship with the tower after two perfect soft landings in the ocean. The risk of the ship breaking up over land needs to be very low,” Musk clarified. 

His remarks suggest that SpaceX is deliberately reducing risk before attempting a tower catch of Starship’s upper stage. Such a milestone would mark a major step towards the full reuse of the Starship system.

SpaceX is currently targeting the first Starship V3 flight of 2026 this coming March. The spacecraft’s V3 iteration is widely viewed as a key milestone in SpaceX’s long-term strategy to make Starship fully reusable. 

Starship V3 features a number of key upgrades over its previous iterations. The vehicle is equipped with SpaceX’s Raptor V3 engines, which are designed to deliver significantly higher thrust than earlier versions while reducing cost and weight. 

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The V3 design is also expected to be optimized for manufacturability, a critical step if SpaceX intends to scale the spacecraft’s production toward frequent launches for Starlink, lunar missions, and eventually Mars. 

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