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SpaceX to put custom Starship propellant storage tanks through first trial
In the latest twist in the saga of SpaceX’s custom-built Starship launch pad propellant storage tanks, the company appears to have retroactively decided to build small prototype meant solely for testing.
Known as a ‘test tank,’ the relatively small steel structure was fairly rapidly assembled from parts of an older Ground Support Equipment (GSE) tank scrapped in July over the last week or so. SpaceX completed the first Starship-derived propellant storage tank in April 2021 and rapidly rolled that tank (GSE1) and a second (GSE2) from the build site to the orbital launch pad just a few weeks apart. Less than a month after that, SpaceX also completed GSE tank #3, though things seemingly devolved into chaos immediately thereafter.
Only three months later would GSE3 finally be transported to – and installed on a concrete mount at – Starship’s first orbital launch site, and only after a number of structural modifications and in the footsteps of GSE tanks #5 and #6. Little is known about why SpaceX’s custom GSE tank production faltered so soon after it began, why none of the five Starship-sized tanks installed at the orbital pad have been fully plumbed or subjected to any kind of testing, or why structural modifications were seemingly required after the fact. However, it’s safe to say that SpaceX’s brand new GSE ‘test tank’ is now at the center of the mystery.
Thankfully, at minimum, the rapid appearance of SpaceX’s first GSE test tank returns some level of familiarity to the brief but chaotic history of Starship’s orbital launch pad propellant tanks. Test tanks are nothing new and have been an integral part of Starship development since Test Tank 1 first headed to SpaceX’s suborbital launch (and test) facilities in January 2020. In the 20 months since, SpaceX has built and tested seven small test tanks, several of which didn’t survive.
Whether intentionally destroyed or not, each test tank explicitly helped SpaceX qualify new manufacturing techniques, different materials, and different skin thickness and generally gather data more quickly and cheaply than full-scale prototypes would allow. Most recently, for example, SpaceX seemingly successfully tested a Super Heavy booster test tank, subjecting the prototype to cryogenic liquid nitrogen and using hydraulic rams to simulate the thrust of nine Raptor engines on an unproven disk-like thrust structure.
Now, almost as if SpaceX snapped out of a trance and remembered the utility of test tanks, the company has assembled a subscale GSE prototype presumably meant to verify that its custom-built propellant storage tanks can handle a set of conditions significantly different from the Starships they’re derived from. In this case, that GSE tank was quite literally built from scrapped sections of GSE tank #4. In fact, the top half (forward dome section) was quite literally cut off of GSE4 after the tank was scrapped last month for unknown reasons.
Over the last several months, while GSE tank production and installation took an unexpected hiatus, SpaceX workers slowly but surely welded steel rings (stiffeners) to the exterior of GSE1, GSE2, and GSE3. When GSE5 and GSE6 eventually headed to the pad, they left with those stiffeners already installed, implying that whatever tripped SpaceX up was likely structural. The GSE4 test tank also includes external stiffeners along each circumferential weld (where rings were stacked or domes joined).
At the same time as SpaceX was (or wasn’t, for several months) building its own GSE tanks, contractors normally tasked with assembling water towers and storage tanks in situ built eight massive 12m (~40 ft) wide tanks of their own. Deemed “cryo shells,” much like their name suggests, those tanks are meant to fully enclose SpaceX’s GSE tanks. SpaceX will use those shells to insulate their thin, single-walled steel propellant tanks, thus keeping their cryogenic contents cryogenic for as long as possible. How they’ll be insulated is unclear, though.
Based on the seemingly retroactive decision to strengthen the exterior of those GSE tanks, the general consensus as of late is that SpaceX wants to pull at least a partial vacuum in the gap between shell and tank. It’s also possible that SpaceX will do the opposite and pressurize that gap (as much as possible) with an insulative gas like nitrogen. Extra confusion comes from the fact that Starship tanks are technically designed to support a literal spacecraft (operating in a near-total vacuum) without the need for external stiffeners.
Additionally, it’s fairly clear that SpaceX hasn’t built a custom subscale cryoshell or concrete installation pad for its GSE4 test tank, meaning that it will really only be useful for testing some of the loads operational GSE tanks will experience inside their sleeves. Additionally, given that SpaceX has already completed six of the orbital pad’s seven GSE tanks and all seven of their cryosleeves, the discovery of any significant issues during GSE4 testing could easily trigger months of rework and delays. With any luck, though, GSE4 will sail through an imminent test campaign, clearing the way for SpaceX to finish plumbing, sleeving, and activating Starship’s first orbital launch site tank farm.
In the world of autonomous ride-hailing, there are only a handful of names. Among those few companies lies a strategy play by each to keep the opposition on their toes. Tesla, on the other hand, already tipped its hand at where it is headed next.
Tesla has signaled its next major push in the autonomous ride-hailing market by filing for an Autonomous Vehicle Network Company permit in Nevada (Docket 26-05015). Through Tesla Robotaxi, LLC, the company seeks approval to operate up to 5,000 robotaxis in Clark County, including high-traffic areas like Las Vegas and Henderson airports, within the first 12 months of launch.
This filing builds on Tesla’s earlier testing approvals from the Nevada DMV in September 2025 and preparations such as maintenance hubs in the Las Vegas area. Nevada represents a strategic expansion into a major tourist destination, where high visitor volumes could drive strong utilization and showcase the reliability of unsupervised autonomy to a broad audience.
We’d have to assume this means Tesla is targeting Las Vegas, and it’s a great move from a business perspective.
Vegas is such a melting pot of people from all around the country and the world. It will expose people from all corners of the globe to Tesla’s autonomy capabilities https://t.co/Qz3fQmhULF pic.twitter.com/Du5pj2RyWC
— TESLARATI (@Teslarati) June 6, 2026
Approval would mark a significant step toward commercial operations in a new state, following progress in Texas.
Tesla’s shareholder decks and earnings calls have clearly outlined these ambitions. In the Q4 2025 shareholder deck, the company listed planned Robotaxi coverage for the first half of 2026, explicitly naming Las Vegas alongside Phoenix, Miami, Orlando, and Tampa, with Dallas and Houston already advancing. Austin was noted as “ramping unsupervised,” while the Bay Area remained in safety-driver mode.
By Q1 2026, the deck updated statuses to reflect launches in Dallas and Houston, with “preparations underway” for the remaining cities, including Las Vegas. Paid Robotaxi miles nearly doubled sequentially in Q1, underscoring momentum even as broader timelines adjusted slightly for regulatory and operational readiness.
On earnings calls, CEO Elon Musk and executives have emphasized a phased rollout prioritizing safety. Unsupervised operations in Texas have shown strong results with no reported accidents or injuries in the program. Tesla continues groundwork in additional major U.S. metros through testing and permitting, positioning it to scale quickly once approvals clear.
This Nevada move aligns with Tesla’s vision of transforming from an EV maker into an AI and robotics leader. The forthcoming Cybercab, which started production at Giga Texas in April, is expected to eventually dominate the fleet, replacing many Model Y vehicles and driving down costs to enable affordable rides.
For investors and the industry, this signals Tesla’s intent to dominate key Sun Belt and tourist markets where weather, regulations, and demand favor rapid scaling. Success in Las Vegas could validate the model for denser urban and high-tourism environments, accelerating the shift toward a future where robotaxis generate meaningful revenue.
Las Vegas will also expand knowledge among the general public at Tesla’s capabilities, helping people experience driverless ride-hailing from several companies during their time on The Strip.
The Tesla Model 3’s cheapest trim level just got a major accolade, as Edmunds just revealed the Rear-Wheel-Drive trim of the all-electric sedan is the most efficient EV that is currently in production.
The 2026 Tesla Model 3 Rear-Wheel-Drive not only beat its EPA-estimated range by 30 miles, but it also bested its efficiency mark by 13.2 percent. The Model 3 tested by Edmunds traveled 393 miles, beating its EPA rating by 8.3 percent, while it returned 21.7 kWh per 100 miles, or 4.61 mi/kWh.
Beating those two metrics is especially pertinent when it comes to EV ownership and driving down the cost of ownership from ICE counterparts across the board. The real money savings come from driving down the cost of driving per mile, especially when it comes to high-mileage driving.
Edmunds stated in its report and review that the process it uses to test EV efficiency is aimed at giving “the most accurate representation of a car’s real-world range.” The assessment uses a strict route that features 60 percent city and 40 percent highway driving, and an average speed of 40 MPH across the trip.
It also drives each car within 5 MPH of all posted speed limits, and the climate control is set on Auto at 72 degrees to ensure even testing. In other words, Edmunds does not use methods to maximize efficiency, and instead tries to make it reasonable to achieve the same ratings yourself.
In comparison to other EVs, it beat the 2026 Mercedes-Benz CLA 350, which went 385 miles, as well as the 2026 Audi A6 Sportback E-tron Prestige AWD, which traveled 392 miles. Only the Mercedes-Benz CLA 250+ traveled farther, making it an impressive 434 miles on a charge.
However, the Tesla Model 3 RWD’s efficiency is “unmatched” because of its incredibly low energy usage per mile.
🚨 Tesla Model 3 RWD:
-At $36,990, it is $9,000 cheaper than the average transaction price for a new car ($46,023 via KBB)
-Was 13.2% more efficient than its EPA estimate
-Traveled 393 miles on a charge despite its 363-mile EPA range https://t.co/Grov2hXqpa pic.twitter.com/Zl8rnZZLIB
— TESLARATI (@Teslarati) June 8, 2026
The Model 3 Rear-Wheel-Drive might be the best bang-for-your-buck EV if you’re looking to buy new and want access to features like Full Self-Driving, while also being aware of efficiency. This trim of the Model 3 is also priced over $9,000 cheaper than what Kelley Blue Book says the average transactional price for a new car was in May 2026, which sits at $46,023.
If you’re looking for something with more speed, an All-Wheel-Drive drivetrain, or more premium features, the Premium trims of the Model 3 currently come with one year of Free Supercharging.
The Ontario Teachers’ Pension Plan (OTPP) stands to reap one of the most extraordinary returns in pension fund history thanks to a bold 2019 investment in SpaceX.
According to a recent report from The Globe and Mail, the Toronto-based fund invested roughly $300 million CAD (~$220 million USD at the time) in Elon Musk’s space company as its inaugural deal through the Teachers’ Innovation Platform.
At SpaceX’s anticipated $1.75 trillion IPO valuation, set for a mid-June debut on Nasdaq under ticker $SPCX, that stake could now be worth up to $11.6 billion USD. This would represent a roughly 50x return and easily become OTPP’s most successful single investment ever.
The fund manages $279 billion in assets for approximately 346,000 working and retired teachers in Ontario, potentially delivering an average boost of around $33,500 per member if fully realized.
SpaceX has filed its S-1 and plans to price shares at $135 each, aiming to raise a record $75 billion in what would be the largest IPO in history, surpassing Saudi Aramco. The company reported $18.67 billion in revenue for 2025, driven primarily by Starlink satellite internet growth and NASA contracts, though it continues to post significant losses tied to ambitious R&D in Starship and AI initiatives.
Important pieces moving forward include:
- Starlink Expansion: The satellite broadband service is scaling rapidly, targeting global connectivity, especially in underserved rural and remote areas. This segment offers massive recurring revenue potential as numbers climb.
- Starship and Reusability Leadership: SpaceX’s fully reusable Starship aims to slash launch costs dramatically, enabling frequent missions, Mars ambitions, and lucrative government/defense contracts. Success here could unlock exponential growth.
- AI and Diversification: Recent moves, including ties to xAI, position SpaceX in high-growth AI infrastructure, broadening beyond traditional aerospace.
- Validation Scrutiny: While the $1.75 trillion target excites investors, analysts like Morningstar value the company closer to $780 billion, citing high multiples (around 90x trailing revenue) and execution risks. A 180-day lockup period will prevent early investors like OTPP from selling immediately post-IPO.
The irony has not been lost on observers. Ontario’s government previously canceled a Starlink rural internet contract amid political tensions involving Musk, yet the pension fund’s savvy investment, made when SpaceX was valued around $33-36 billion, and Starlink was nascent, delivers outsized gains independent of politics.
For OTPP, this windfall strengthens its already solid 111 percent funding ratio and underscores the value of patient, innovation-focused capital allocation.
For SpaceX, the IPO marks a new chapter: greater transparency, access to public markets for talent retention and growth capital, and heightened pressure to deliver on its multi-planetary vision.
All eyes are fixed on whether SpaceX can justify its lofty valuation through sustained execution. For Ontario teachers, the returns are already stellar, but SpaceX, like other Musk companies in the past, has plenty of things to prove. Perhaps the most ideal person for the job is at the helm, hoping to bring the company to a massive valuation.
Tesla tipped its hand at where Robotaxi is heading next
Tesla Model 3’s cheapest trim just got a major accolade
