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SpaceX sends Starship prototype to launch pad after engine installation
After several weeks of work back at SpaceX’s Starbase rocket factory, the company has transported a new and improved Starship prototype to nearby test and launch facilities, where it joined a similarly upgraded Super Heavy booster.
That Starship prototype – Ship 24 or S24 – is closely following in the footsteps of Super Heavy Booster 7 (B7), which kicked off a similar phase of preflight testing about two weeks ago. The purposes of their latest trips from the factory to the launch pad are also largely the same and could potentially open the door for Starship’s inaugural orbital launch attempt sometime later this year if the process goes smoothly. Both protypes have a ways to go, however.
Booster 7 and Ship 24 got off to fairly rocky starts when they began a less risky phase of proof testing in May and June. Apparently caused by improper sequencing or a small design flaw, a large steel tube meant to carry liquid methane fuel through Booster 7’s liquid oxygen tank and double as a storage vessel for landing propellant violently imploded when a vacuum formed inside it. It took SpaceX several weeks to repair the damage but, defying the odds, the tube was eventually repaired and Booster 7 completed another two proof tests soon after.
A few weeks later, during one of Ship 24’s first tests, a much smaller internal pipe – likely carrying high-pressure gas – also failed, damaging heat shield tiles and other adjacent plumbing. S24’s troubles were less dramatic and only took a few days to fix, but both were still new failure modes for the Starship program and served as a reminder that Starship hardware remains relatively immature and that SpaceX is still learning. Nonetheless, they also demonstrated SpaceX’s ability to respond quickly to new problems, as both B7 and S24 sailed through additional testing without apparent issue after quick repairs.
After completing cryogenic proof and thrust simulation testing, B7 and S24 returned to SpaceX’s factory facilities for Raptor installation and finishing touches. SpaceX took about six weeks to install 33 Raptor engines and associated heat shielding on Booster 7, while installing six Raptors and wrapping up a few other aspects of Ship 24 took about four weeks.
Aside from the installation of most of the Starship’s missing heat shield tiles, Ship 24’s preparations did include one particularly unique step involving its payload bay prototype. SpaceX’s first stab at a Starship payload bay has been likened to a giant Pez dispenser, which is not entirely inaccurate. Exclusive to Starlink, satellites will be stored on a rectangular rack that’s assumed to operate like an elevator. As an unknown mechanism pushes two satellites at a time through Starship’s slot-like bay door, the stack of satellites will feed downwards like bullets in a magazine until the full set is fully deployed.
In late June, SpaceX attached a giant white box to a crane and positioned the box to interface with Ship 24’s bay door, where it hung for the better part of a day. The test confirmed speculation that the box was meant to solve perhaps the most obvious problem SpaceX’s unique payload bay design posed: payload installation. SpaceX’s solution appears to involve using the deployment mechanism in reverse, with the white box conveying Starlink Gen2 satellites through the ‘slot’ and the dispenser grabbing and lifting each pair up into the bay.
It’s possible that Ship 24 will have a handful of Starlink V2/Gen2 satellites loaded into its bay if it passes its next tests. Before being cleared for flight, Ship 24 will need to complete at least one nominal wet dress rehearsal (simulating every aspect of a launch short of engine ignition) and one six-engine static fire, though several tests are far more likely. Starship S24’s test campaign will benefit significantly from Starship S20, which survived extensive testing (and multiple six-Raptor static fires) in 2021. In comparison, Super Heavy B7’s similar wet dress rehearsal and static fire test campaign will be almost entirely new to SpaceX, save for a single three-engine static fire completed by an outdated booster prototype last year.
SpaceX could attempt to static fire Booster 7 for the first time as early as Wednesday, July 6th. It’s unclear if the company will attempt to kick off Ship 24’s next round of testing in the gaps between Super Heavy B7’s static fire testing. While unlikely, SpaceX is technically capable of testing Ship 24 and Booster 7 simultaneously.
Tesla has announced it has hit a major milestone with Full Self-Driving subscriptions, shortly after it said it would exclusively offer the suite without the option to purchase it outright.
Tesla announced on Wednesday during its Q4 Earnings Call for 2025 that it had officially eclipsed the one million subscription mark for its Full Self-Driving suite. This represented a 38 percent increase year-over-year.
This is up from the roughly 800,000 active subscriptions it reported last year. The company has seen significant increases in FSD adoption over the past few years, as in 2021, it reported just 400,000. In 2022, it was up to 500,000 and, one year later, it had eclipsed 600,000.
NEWS: For the first time, Tesla has revealed how many people are subscribed or have purchased FSD (Supervised).
Active FSD Subscriptions:
• 2025: 1.1 million
• 2024: 800K
• 2023: 600K
• 2022: 500K
• 2021: 400K pic.twitter.com/KVtnyANWcs— Sawyer Merritt (@SawyerMerritt) January 28, 2026
In mid-January, CEO Elon Musk announced that the company would transition away from giving the option to purchase the Full Self-Driving suite outright, opting for the subscription program exclusively.
Musk said on X:
“Tesla will stop selling FSD after Feb 14. FSD will only be available as a monthly subscription thereafter.”
The move intends to streamline the Full Self-Driving purchase option, and gives Tesla more control over its revenue, and closes off the ability to buy it outright for a bargain when Musk has said its value could be close to $100,000 when it reaches full autonomy.
It also caters to Musk’s newest compensation package. One tranche requires Tesla to achieve 10 million active FSD subscriptions, and now that it has reached one million, it is already seeing some growth.
The strategy that Tesla will use to achieve this lofty goal is still under wraps. The most ideal solution would be to offer a less expensive version of the suite, which is not likely considering the company is increasing its capabilities, and it is becoming more robust.
Tesla is shifting FSD to a subscription-only model, confirms Elon Musk
Currently, Tesla’s FSD subscription price is $99 per month, but Musk said this price will increase, which seems counterintuitive to its goal of increasing the take rate. With that being said, it will be interesting to see what Tesla does to navigate growth while offering a robust FSD suite.
News
Tesla confirms Robotaxi expansion plans with new cities and aggressive timeline
Tesla plans to launch in Dallas, Houston, Phoenix, Miami, Orlando, Tampa, and Las Vegas. It lists the Bay Area as “Safety Driver,” and Austin as “Ramping Unsupervised.”
Tesla confirmed its intentions to expand the Robotaxi program in the United States with an aggressive timeline that aims to send the ride-hailing service to several large cities very soon.
The Robotaxi program is currently active in Austin, Texas, and the California Bay Area, but Tesla has received some approvals for testing in other areas of the U.S., although it has not launched in those areas quite yet.
However, the time is coming.
During Tesla’s Q4 Earnings Call last night, the company confirmed that it plans to expand the Robotaxi program aggressively, hoping to launch in seven new cities in the first half of the year.
Tesla plans to launch in Dallas, Houston, Phoenix, Miami, Orlando, Tampa, and Las Vegas. It lists the Bay Area as “Safety Driver,” and Austin as “Ramping Unsupervised.”
These details were released in the Earnings Shareholder Deck, which is published shortly before the Earnings Call:
🚨 BREAKING: Tesla plans to launch its Robotaxi service in Dallas, Houston, Phoenix, Miami, Orlando, Tampa, and Las Vegas in the first half of this year pic.twitter.com/aTnruz818v
— TESLARATI (@Teslarati) January 28, 2026
Late last year, Tesla revealed it had planned to launch Robotaxi in Las Vegas, Phoenix, Dallas, and Houston, but Tampa and Orlando were just added to the plans, signaling an even more aggressive expansion than originally planned.
Tesla feels extremely confident in its Robotaxi program, and that has been reiterated many times.
Although skeptics still remain hesitant to believe the prowess Tesla has seemingly proven in its development of an autonomous driving suite, the company has been operating a successful program in Austin and the Bay Area for months.
In fact, it announced it achieved nearly 700,000 paid Robotaxi miles since launching Robotaxi last June.
🚨 Tesla has achieved nearly 700,000 paid Robotaxi miles since launching in June of last year pic.twitter.com/E8ldSW36La
— TESLARATI (@Teslarati) January 28, 2026
With the expansion, Tesla will be able to penetrate more of the ride-sharing market, disrupting the human-operated platforms like Uber and Lyft, which are usually more expensive and are dependent on availability.
Tesla launched driverless rides in Austin last week, but they’ve been few and far between, as the company is certainly easing into the program with a very cautiously optimistic attitude, aiming to prioritize safety.
Investor's Corner
Tesla (TSLA) Q4 and FY 2025 earnings call: The most important points
Executives, including CEO Elon Musk, discussed how the company is positioning itself for growth across vehicles, energy, AI, and robotics despite near-term pressures from tariffs, pricing, and macro conditions.
Tesla’s (NASDAQ:TSLA) Q4 and FY 2025 earnings call highlighted improving margins, record energy performance, expanding autonomy efforts, and a sharp acceleration in AI and robotics investments.
Executives, including CEO Elon Musk, discussed how the company is positioning itself for growth across vehicles, energy, AI, and robotics despite near-term pressures from tariffs, pricing, and macro conditions.
Key takeaways
Tesla reported sequential improvement in automotive gross margins excluding regulatory credits, rising from 15.4% to 17.9%, supported by favorable regional mix effects despite a 16% decline in deliveries. Total gross margin exceeded 20.1%, the highest level in more than two years, even with lower fixed-cost absorption and tariff impacts.
The energy business delivered standout results, with revenue reaching nearly $12.8 billion, up 26.6% year over year. Energy gross profit hit a new quarterly record, driven by strong global demand and high deployments of MegaPack and Powerwall across all regions, as noted in a report from The Motley Fool.
Tesla also stated that paid Full Self-Driving customers have climbed to nearly 1.1 million worldwide, with about 70% having purchased FSD outright. The company has now fully transitioned FSD to a subscription-based sales model, which should create a short-term margin headwind for automotive results.
Free cash flow totaled $1.4 billion for the quarter. Operating expenses rose by $500 million sequentially as well.
Production shifts, robotics, and AI investment
Musk further confirmed that Model S and Model X production is expected to wind down next quarter, and plans are underway to convert Fremont’s S/X line into an Optimus robot factory with a capacity of one million units.
Tesla’s Robotaxi fleet has surpassed 500 vehicles, operating across the Bay Area and Austin, with Musk noting a rapid monthly expansion pace. He also reiterated that CyberCab production is expected to begin in April, following a slow initial S-curve ramp before scaling beyond other vehicle programs.
Looking ahead, Tesla expects its capital expenditures to exceed $20 billion next year, thanks to the company’s operations across its six factories, the expansion of its fleet expansion, and the ramp of its AI compute. Additional investments in AI chips, compute infrastructure, and future in-house semiconductor manufacturing were discussed but are not included in the company’s current CapEx guidance.
More importantly, Tesla ended the year with a larger backlog than in recent years. This is supported by record deliveries in smaller international markets and stronger demand across APAC and EMEA. Energy backlog remains strong globally as well, though Tesla cautioned that margin pressure could emerge from competition, policy uncertainty, and tariffs.
Tesla hits major milestone with Full Self-Driving subscriptions
Tesla confirms Robotaxi expansion plans with new cities and aggressive timeline
