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SpaceX VP says Starship is already winning commercial launch contracts
A SpaceX executive says that the company’s next-generation, fully-reusable Starship rocket has already secured multiple commercial launch contracts.
Set to debut no earlier than (NET) the first quarter of 2022 with a semi-orbital launch that aims to send Starship about 85% of the way around the Earth, Starship has a ways to go before it’s ready to routinely launch payloads. Nonetheless, SpaceX is confident enough in Starship’s eventual success to have effectively made it the foundation of every one of the company’s future goals – both in the short and long term.
Today, SpaceX’s Falcon rockets have become a spectacularly successful revolution in cost-effective launch through reusability and vertical integration, among other things. Thanks to that unprecedented affordability, SpaceX has been able to kick off the deployment of its Starlink internet constellation, launching more than 1800 satellites and becoming the largest satellite operator in history in less than two and a half years. Where competition is possible, Falcon 9 dominates the global commercial launch market for both small and large satellites. And yet despite its staggering success, Falcon 9 remains at least one or two magnitudes too expensive and too performance-constrained to realize SpaceX’s grander ambitions.
Those overarching goals are simple enough and directly related. First, SpaceX – through Starlink – aims to blanket the Earth’s surface with high-quality, affordable satellite internet that is either indistinguishable from or better than ground-based alternatives, ultimately connecting tens or even hundreds of millions of people to the internet. Second, SpaceX’s founding goal has always been to make humanity a multiplanetary species by enabling the creation of one or several permanent, self-sustaining cities on Mars. For the latter goal, Starship or a fully reusable rocket like it has always been essential – without which it would be prohibitively expensive to launch the sheer mass and volume of supplies needed to build a city on another world.
Recently, if SpaceX’s often hyperbolic CEO is to be believed, Starlink’s success has also become dependent on Starship, with Musk stating in a company-wide memo that SpaceX as a whole could face bankruptcy if Starship isn’t ready to launch 200+ Starlink satellites per month by the end of 2022. While it’s simply untrue that SpaceX is at risk of bankruptcy, there might be some truth behind Musk’s statement. Fearmongering aside, the gist of Musk’s argument is that Starlink is “financially weak” under the current paradigm, where Falcon 9 delivers approximately 50 300-kilogram (~650 lb) satellites to orbit with each launch.
In the same vein as Starship, Musk believes that next-generation “Starlink V2” satellites – several times larger than V1 satellites – will drastically improve the cost-effectiveness of the constellation by allowing SpaceX to squeeze much more network capacity out of every unit of satellite mass. However, making Starlink V2 satellites several times larger would reduce the efficiency of launching them on Falcon 9 by an equal degree – hence the apparently dire need for Starship.
Contrary to Musk’s apocalyptic vision, even if it might be significantly slower and more expensive to deploy, it’s quite likely that a full Starlink V1 constellation launched by Falcon 9 could still be economically viable. What it probably wouldn’t be, though, is exceptionally profitable, which has long been SpaceX’s main plan for funding its multiplanetary dreams. With a Starship capable of achieving its design goals, that could change.
According to Musk and other SpaceX executives, the true cost – before payloads – of a flight-proven Falcon 9 launch is somewhere between $15M and $28M. At an estimated cost of $250-500k apiece, 50-60 Starlink V1 satellites raise the total cost of a Starlink launch to approximately $30-60M – the range between marginal and total cost. In a partially reusable configuration, Falcon 9 is capable of launching about ~16 tons (~35,000 lb) to low Earth orbit (LEO).
Starship, however, is designed to launch at least 100 tons (~220,000 lb) and possibly up to 150 tons (~330,000 lb) to LEO for a marginal cost of as little as $2M. Even if SpaceX is a magnitude off of that target and never gets beyond 100t to LEO, a $20M Starship launch fully loaded with Starlink satellites would still cost five times less than Falcon 9 per unit of satellite mass launched. At 150 tons to LEO for $10M, Starship would cost 15 times less. If SpaceX one day perfects full reusability and marginal costs do fall to $2M, a 150-ton Starship launch could be up to 70 times cheaper than Falcon 9.
For the exact same reasons it could radically improve the cost-efficiency of Starlink deployment and finally make humanity’s expansion beyond Earth affordable enough to be viable, Starship would also inherently revolutionize access to space for all other launch customers – not just SpaceX.
According to SpaceX Vice President of Commercial Sales Tom Ochinero, Starship has already begun to make inroads with SpaceX’s healthy list of existing Falcon customers. While relatively minor and inevitable, it’s still an important symbolic step for SpaceX and Starship as it attempts to deliver a launch vehicle so cheap and capable that it ushers the company’s own Falcon rockets into retirement.
News
Tesla puts Giga Berlin in Plaid Mode with new massive investment
The facility, Tesla’s first in Europe, opened in 2022 and has become a cornerstone for Model Y production and, increasingly, in-house battery manufacturing. Recent announcements highlight a dual focus on scaling vehicle output and advancing vertical integration through 4680 battery cells.
Tesla is pushing forward with significant upgrades at its Gigafactory Berlin-Brandenburg in Grünheide, Germany, signaling renewed confidence in its European operations despite past market challenges.
The facility, Tesla’s first in Europe, opened in 2022 and has become a cornerstone for Model Y production and, increasingly, in-house battery manufacturing. Recent announcements highlight a dual focus on scaling vehicle output and advancing vertical integration through 4680 battery cells.
In April, plant manager André Thierig announced a 20 percent increase in Model Y production starting in July, following a record Q1 output of more than 61,000 vehicles. To support the ramp-up, Tesla plans to hire approximately 1,000 new employees beginning in May and convert 500 temporary workers to permanent positions.
The move is expected to lift weekly production significantly, addressing rebounding demand in Europe after a challenging 2025.
Today, we announced a $ 250m investment for our Giga Berlin Cell factory. This will enable 18GWh of annual 4680 cell production and create more than 1500 new jobs. Good news during challenging times for the German industry. pic.twitter.com/ou4SWMfWh9
— André Thierig (@AndrThie) May 12, 2026
The expansion builds on earlier progress. In 2025, Tesla secured partial approvals to add roughly 2 million square feet of factory space, raising potential annual vehicle capacity from around 500,000 toward 800,000 units, with longer-term ambitions approaching one million vehicles per year. Logistical improvements, new infrastructure, and battery-related facilities are already underway on company-owned land.
Battery production is the latest major focus. On May 12, Thierig revealed an additional $250 million investment in the on-site cell factory. This more than doubles the planned 4680 battery cell capacity to 18 gigawatt-hours annually—up from the 8 GWh target set in December 2025—while creating over 1,500 new battery-related jobs.
Total cell investments at the site now exceed previous figures, bringing the factory closer to full vertical integration: cells, packs, and vehicles produced under one roof. Tesla describes this as unique in Europe and a step toward stronger supply chain resilience.
The plans come amid regulatory and community hurdles. Earlier expansion proposals faced protests over environmental concerns and water usage, leading to phased approvals beginning in 2024. Tesla has navigated these by emphasizing sustainable practices and economic benefits, including thousands of local jobs in Brandenburg.
With nearly 12,000 employees already on site and production steadily climbing, Gigafactory Berlin is poised for growth. The combined vehicle and battery expansions position the plant as a key hub for Tesla’s European ambitions, potentially making it one of the continent’s largest manufacturing complexes if local support continues.
As EV demand recovers, these investments underscore Tesla’s commitment to scaling efficiently in Germany while addressing regional supply chain needs.
News
Honda gives up on all-EV future: ‘Not realistic’
Mibe believes the demand for its gas vehicles is certainly strong enough and has changed “beyond expectations.” As many drivers went for EVs a few years back, hybrids are becoming more popular for consumers as they offer the best of both worlds.
Honda has given up on a previous plan to completely changeover to EVs by 2040, a new report states. The company’s CEO, Toshihiro Mibe, said that the idea is “not realistic.”
Mibe believes the demand for its gas vehicles is certainly strong enough and has changed “beyond expectations.” As many drivers went for EVs a few years back, hybrids are becoming more popular for consumers as they offer the best of both worlds.
Mibe said (via Motor1):
“Because of the uncertainty in the business environment and also the customer demand, is changing beyond our expectation and, therefore, we have judged that it’ll be difficult to achieve. That ratio [100-percent electric in 2040] is not realistic as of now. We have withdrawn this target.”
Instead of going all-electric, Honda still wants to oblige by its hopes to be net carbon neutral by 2050. It will do this by focusing on those popular hybrid powertrains, planning to launch 15 of them by March 2030.
Honda will invest 4.4 trillion yen, or almost $28 billion, to build hybrid powertrains built around four and six-cylinder gas engines.
There are so many companies abandoning their all-electric ambitions or even slowing their roll on building them so quickly. Ford, General Motors, Mercedes, and Nissan have all retreated from aggressive EV targets by either cancelling, delaying, or pausing the development of electric models.
Hyundai’s 2030 targets rely on mixed offerings of electric, hybrid & hydrogen vehicles
Early-decade pledges from multiple brands proved overly ambitious as infrastructure lags, battery costs remain high in some markets, and many buyers prefer hybrids for their convenience and range. Toyota has long championed hybrids, while others have quietly extended internal-combustion timelines.
For Honda—historically known for reliable gasoline engines—this shift leverages its core strengths while buying time to refine electric technology. Whether the hybrid-heavy strategy will protect market share in an increasingly competitive landscape remains to be seen, but one thing is clear: the gas engine is far from dead at Honda, unfortunately.
Elon Musk
Delta Airlines rejects Starlink, and the reason will probably shock you
In a pointed exchange on X, Elon Musk defended SpaceX’s uncompromising approach to Starlink’s in-flight internet service, explaining why Delta Air Lines walked away from a deal.
SpaceX frontman Elon Musk explained on Wednesday why commercial airline Delta got cold feet over offering Starlink for stable internet on its flights — and the reason will probably shock you.
In a pointed exchange on X, Elon Musk defended SpaceX’s uncompromising approach to Starlink’s in-flight internet service, explaining why Delta Air Lines walked away from a deal.
Delta rejected Starlink because it insisted on routing all connectivity through its branded “Delta Sync” portal rather than allowing a simple Starlink experience.
Instead, the airline partnered with Amazon’s Project Kuiper—rebranded as Amazon Leo—for high-speed Wi-Fi on up to 500 aircraft, with rollout targeted for 2028. At the time of the announcement, Kuiper had roughly 300 satellites in orbit, while Starlink operated more than 10,400.
The use of the “Delta Sync” portal would not work for SpaceX, as Musk went on to say that:
“SpaceX requires that there be no annoying ‘portal’ to use Starlink. Starlink WiFi must just work effortlessly every time, as though you were at home. Delta wanted to make it painful, difficult and expensive for their customers. Hard to see how that is a winning strategy.”
Musk doubled down in a follow-up post:
“Yes, SpaceX deliberately accepted lower revenue deals with airlines in exchange for making Starlink super easy to use and available to all passengers.”
Not exactly. SpaceX requires that there be no annoying “portal” to use Starlink.
Starlink WiFi must just work effortlessly every time, as though you were at home.
Delta wanted to make it painful, difficult and expensive for their customers. Hard to see how that is a winning…
— Elon Musk (@elonmusk) May 13, 2026
SpaceX has structured its airline agreements to prioritize zero-friction access—no captive portals, no SkyMiles logins, no paywalls or ads blocking basic connectivity.
While this means forgoing higher-margin deals that would let carriers monetize the service more aggressively, it ensures Starlink feels like home broadband at 35,000 feet. Passengers on partner airlines such as United, Qatar Airways, and Air France have already praised the service for enabling seamless video calls, streaming, and work mid-flight without interruptions.
Delta’s choice reflects a different philosophy. By keeping Wi-Fi behind its Delta Sync ecosystem, the airline aims to drive loyalty program engagement and control the digital passenger journey. Yet, critics argue this short-term control comes at the expense of immediate competitiveness.
Airlines already installing Starlink are pulling ahead in customer satisfaction surveys, while Delta passengers face years of reliance on slower, legacy systems until Leo launches.
SpaceX’s decision to trade revenue for simplicity will pay off in the longer term, as Starlink is already positioning itself as the default high-speed option for carriers that value passenger satisfaction over incremental fees.
Musk’s focus on creating not only a great service but also a reasonable user experience highlights SpaceX’s prowess with Starlink as it continues to expand across new partners and regions.
Tesla puts Giga Berlin in Plaid Mode with new massive investment
Honda gives up on all-EV future: ‘Not realistic’
