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SpaceX installs Super Heavy booster on launch mount with giant robot arms
SpaceX has transported the most powerful rocket booster ever assembled to its Starbase orbital launch site (OLS) and used giant robotic arms to install it.
It’s not the first such trip for Starship’s Super Heavy first stage in general, nor for this specific booster, which is known as Booster 7 or B7. Booster 7 first headed to the pad on March 31st and successfully completed two major cryogenic proof tests, but was then severely damaged during a subsequent structural stress test. After a few weeks of repairs back at the factory, B7 rolled to the pad a second time and completed a third cryoproof test and returned to the factory on May 14th, where it stayed until June 23rd.
After almost six weeks of additional work, Booster 7 rolled to the launch pad for the third time – possibly its last trip.
Even Booster 7’s first rollout wasn’t unprecedented, however. In September 2021, Booster 4 – an earlier prototype with fewer engines, less thrust, and several other differences – arrived at the launch site with 29 Raptor V1 engines installed. Over the next six months, SpaceX slowly finished the booster, conducted a handful of proof tests, and eventually performed three ‘full-stack’ tests with Starship S20. For awhile, SpaceX hoped to eventually fly B4 and S20 on Starship’s first orbital launch attempt, but that plan never came close to fruition.
Booster 4 was particularly underwhelming and never even attempted a single static fire despite having all 29 of its engines fully installed and encased inside a shell-like heat shield. Thankfully, Booster 7 appears to have a much better chance of at least attempting one or several static fires, even if there’s no guarantee that it will make it through that test campaign in good enough condition to support Starship’s orbital launch debut.
SpaceX used the six weeks Booster 7 spent back in a factory assembly bay to finish installing aerocovers, surfaces known as chines or strakes, car-sized grid fins, Starlink internet dishes, and – most importantly – 33 upgraded Raptor V2 engines. Combined, Booster 7 should be able to produce up to 7600 metric tons (~16.8M lbf) of thrust – 41% more thrust than Booster 4 was theoretically capable of. Crucially, SpaceX also finished installing Booster 7’s Raptor heat shield in the same period, completing in six weeks work that took Booster 4 more like half a year.
That is likely because testing Booster 4, for whatever reason, just wasn’t a priority for SpaceX. Preparing Booster 7 for static fire testing, however, is clearly a front-and-center priority in 2022. With its heat shield and all 33 Raptors installed, Booster 7 will be ready to kick off static fire testing almost as soon as it’s installed on Starbase’s orbital launch mount.
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According to CEO Elon Musk, Booster 7 will start by igniting just one or a few Raptor engines. SpaceX has never ignited more than six Raptor V1 engines simultaneously and never tested more than three engines at a time on a Super Heavy booster. That plan could have easily changed, however. Either way, Super Heavy B7 will be treading significantly new ground. Even before actual static fires begin, Booster 7 will also need to complete one or more wet dress rehearsals (WDRs), a test that exactly simulates a launch but stops just before the moment of ignition.
If SpaceX attempts a full wet dress rehearsal, in which the booster would be filled with more than 3000 tons (~6.6M lb) of liquid oxygen (LOx) and liquid methane (LCH4), it would be a first for Super Heavy and just as big of a test of the orbital launch site. Booster 7 will also need to test out its autogenous pressurization, which replaces helium with hot oxygen and methane gas to pressurize the rocket’s propellant tanks.
Several hours after Super Heavy B7 arrived (for the third time) at the orbital launch site, SpaceX used two giant arms attached to the pad’s launch tower to lift the ~70-meter (~230 ft) tall rocket onto the launch mount. While Musk says that the ultimate goal is to use those arms to catch Starship and Super Heavy out of mid-air, their current purpose is to take the place of the tall and unwieldy crane that would otherwise need to be used to lift either stage. The arms are an extremely complex solution but they do allow SpaceX to lift, install, and remove Starship stages remotely and insulate those processes from wind conditions, which cranes are sensitive to.
Once fully secured by the mount’s 20 hold-down clamps, the booster will be connected to ground systems and SpaceX can prepare B7 to start the next stage of preflight testing as early as Monday, June 27th.
In a new note to investors on Tuesday, Morgan Stanley analyst Andrew Percoco said that Tesla has one big financial question to answer for investors regarding its Robotaxi rollout, Full Self-Driving software, and Optimus.
Percoco said in the note that, for the most part, investors are still very positive about the direction the company is headed. However, there are some things the firm would like to see, and they have to do with financials.
Tesla (TSLA) Q2 2026 earnings results: miss on EPS, beat on revenue
Tesla bulls are more than convinced that the company’s Full Self-Driving software is proof it can develop physical AI. Financially, however, there are still some questions, especially on elevated spending, which CEO Elon Musk said would occur as the company works to roll out Robotaxi faster and continue developing its Optimus robot.
The latter two are where Tesla will have to prove progress to investors, as Percoco writes that both projects “will require clearer evidence that Robotaxi is scaling and more tangible Optimus proof points to support the ROI on elevated capex.”
Percoco said the second quarter earnings call did not change his long-term thesis of where Tesla is positioned in the AI race, which is out in front. However, there are concerns that weaker gross margins and higher R&D spend will stress financials, and that has “sharpened our (and investors’) focus on measurable progress across Robotaxi and Optimus.”
Additionally, Robotaxi still needs to be proven with more operation in existing cities while maintaining safety but improving how many rides it gives in any given time, he said. For Optimus, Percoco wrote that he is “still looking for evidence beyond commentary around SOP.”
Morgan Stanley put Percoco in charge of covering Tesla after long-time analyst Adam Jonas transitioned to the automotive side.
Currently, Morgan Stanley has a $415 price target on Tesla and a ‘Hold’ rating on the stock. It is trading at around $330 at the time of publication, which was 2:30 P.M. on the East Coast.
SpaceX’s massive investment in AI will make it a big winner, Argus Research said after the company’s successful earnings call last week.
The firm also upgraded shares to a Buy from Hold and set a $160 price target.
SpaceX (NASDAQ: SPCX) is currently recovering from its heavy AI infrastructure investments, as it spent nearly $16 billion in Q2 alone. The company did this primarily by monetizing high-demand GPU compute capacity at a much faster pace than traditional data center economics would suggest.
Company CFO Bret Johnsen said that SpaceX would be able to pay back anything on new deployments within a year.
There are plenty of ways the company can do this:
Leasing excess compute capacity through contracts
SpaceX has already built Colossus and Colossus II, largely for its own model training. However, much of that capacity is already rented out to third parties. It already has major deals with Anthropic, Google, and Reflection AI. These partnerships are adding billions per month to SpaceX’s spreadsheet.
High utilization driven by industry-wide scarcity
The demand for advanced AI training and inference capacity continues to exceed what is available for use. SpaceX can fill new racks quickly after they come online, so the capital deployed converts into revenue with minimal idle time.
Additionally, management and outside observers have described the new compute capital as behaving more like a cost-of-goods-sold than traditional multi-year capex, especially because of this rapid monetization pattern.
Capacity has already scaled from ~0.4 GW a year to 1.4 GW annually by the end of Q2. There are targets of more than 2 GW by year-end.
High incremental margins on the rental business once capacity is online
GPU cloud providers often operate at strong gross margins. SpaceX can monetize capacity that was already partially built or can be added efficiently. This means that incremental EBITDA margins on the rental revenue are usually high. This accelerates cash recovery relative to the gross capital outlay.
Parallel monetization of its own AI software and applications
Beyond pure infrastructure rental, SpaceX also generates revenue from Grok through subscriptions and usage, from X through ads, data, and other related services, enterprise APIs, and the planned integration of the Cursor coding tools acquisition.
These application layers ride on the same compute infrastructure and provide additional high-margin streams that could offset build-out costs. AI-segment revenue overall rose sharply to about $2.6 billion in Q2, according to Motley Fool. This was driven primarily by the infrastructure contracts, but the software side is also partially responsible.
Efficient, large-scale deployment and vertical integration advantages
SpaceX has emphasized the rapid construction of power and cooling infrastructure and favorable cost-per-megawatt economics relative to industry benchmarks in some disclosures.
Combined with its ability to scale capacity aggressively and the fact that many contracts start generating revenue within months of capacity coming online, the effective payback compresses dramatically compared with more conventional multi-year data-center projects.
SpaceX’s dominant near-term recovery path will turn the AI clusters into a hyperscale-style compute rental business for other leading AI companies while still using a portion for internal models.
Tesla headlights have caused a recall of over 20,000 of the company’s two most popular vehicles, the Model 3 and Model Y, due to the low-beam bulb exceeding the maximum allowed intensity according to federal standards.
Tesla initiated the recall with the National Highway Traffic Safety Administration (NHTSA) this morning, stating that the low-beam output “exceeds the maximum allowed intensity in the outer upper-right and outer upper-left areas of the 10U and 90U zone, as prescribed in FMVSS No. 108.”
Tesla sourced the impacted headlights from Marelli Automotive Lighting, a Mexico-based company. The recall impacts 2020-2023 Model Y vehicles and 2017-2023 Model 3 vehicles. It is estimated that every VIN in this recall is impacted by the defect.
🚨 Tesla is recalling 20,349 2020-23 Model Y vehicles and 2017-23 Model 3 vehicles due to an excessively bright headlamp low beam.
Currently, there is no remedy plan in place, as it is still being developed. pic.twitter.com/y34cIO2U0B
— TESLARATI (@Teslarati) August 11, 2026
Typically, Tesla would remedy recalls of this nature through an Over-the-Air software update, which has been a major focus of criticism by the company and its supporters because the NHTSA still refers to it as a “recall,” even though it requires no action by the vehicle owner. The fix is shipped over the internet and downloaded to the car.
However, there appears to be a potentially different solution for this problem. Tesla has not developed a remedy for this issue, so it could potentially be on the way. The big issue appears to be the fact that these recalled lamps are out of production, and this is an old body style for both vehicles. The headlights and front-end designs are completely different.
Tesla switched to another supplier when the affected headlight design was discontinued. It plans to begin notifying owners of their remedy options by September 15.
Tesla filed a petition protesting the recall to fix the vehicles’ headlight issue, but the NHTSA denied it. Now, Tesla will come up with a solution to fix it.
Tesla has one big financial question to answer for investors: Morgan Stanley
SpaceX AI investment gamble will make it a big winner, firm says
