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SpaceX VP says Starship is already winning commercial launch contracts

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3 years ago

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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.

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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.

SpaceX says Starship will launch the next generation of Starlink satellites

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.

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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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Tesla launches new Model S and Model X, and the changes are slim

Tesla’s newest versions of its flagship vehicles have arrived with some slim changes.

Published

49 minutes ago

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June 12, 2025

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Credit: Tesla

Tesla has officially launched the newest versions of its flagship Model S and Model X vehicles, but the changes are pretty slim, which is something we expected when a couple cars were spotted during public testing recently.

The new “refreshed” Model S and Model X were spotted recently by The Kilowatts, and the changes appeared to be a new front camera, a new color, and only a handful of other changes.

Tesla officially announced the launch of the Model S and Model X on Thursday night, and here’s what it listed as the changes to the two vehicles:

  • Frost Blue paint color
  • Up to 410 miles of range (Model S Long Range – our longest range Tesla yet)
  • Even quieter inside: less wind + road noise & more effective Active Noise Cancellation
  • New wheel designs & improved aerodynamics = more range
  • Front fascia camera for better visibility
  • Dynamic ambient lighting that brings unique animations along the dash & doors upon entry
  • An even smoother ride thanks to new bushings & suspension design
  • Adaptive driving beams
  • New exterior styling for Model S Plaid, optimized for high-speed stability
  • More space for 3rd row occupants & cargo (Model X)

We expected most of these changes, especially the new Frost Blue paint color, as it was spotted by The Kilowatts in its initial coverage of the cars being spotted a few weeks back. Here’s what it looks like officially:

Some of the changes are familiar from the Model Y Refresh, which featured the quieter interior through acoustic-lined glass, a front fascia camera, new bushings, and suspension improvements for a smoother ride.

However, Tesla did refine the Model S Plaid’s exterior for “optimized high-speed stability.” You can see the difference between the two below:

The front-end air diffusers are much deeper, and the front end is more boxy than the previous iteration of the Plaid Model S.

Here are some more images of the Model S that Tesla released in a teaser video:

Tesla sells such a low volume of the Model S and Model X that it was probably less than likely that the company would put endless manpower and effort into completely redesigning it. CEO Elon Musk said a few years ago that the two cars would only stay in production for “sentimental reasons.” 

While they are very special to the Tesla family, they are not incredibly important to the mission of the company.

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Elon Musk

Tesla owners across the globe prepare for Robotaxi launch with this neat customization

Tesla will eventually have Robotaxis worldwide. Some owners are already preparing.

Published

1 hour ago

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June 12, 2025

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Credit: @HanChulYong | X

Tesla owners are already preparing for the company’s launch of the Robotaxi platform with a new, neat customization that is appearing around the world.

On Tuesday, the first Tesla Robotaxi test mule was spotted in Austin, where the company will launch the first driverless rides of this ride-hailing service. At first, it will be a limited rollout, reserved for a select few. CEO Elon Musk said public rides could occur as soon as June 22.

First Tesla driverless robotaxi spotted in the wild in Austin, TX

However, the Tesla Robotaxi platform is not one that will be confined to cities and geofenced to certain areas.

Eventually, Tesla will gain enough confidence to roll the Full Self-Driving software straight to every car in the customer fleet that paid for it. Owners will be able to generate income for themselves while they sleep, as the cars will operate as ride-hailing vehicles for people to use for transportation.

In an effort to prepare for the launch of Robotaxi, Tesla owners across the globe are installing Tesla’s ‘Robotaxi’ word art on their cars.

Here’s one in South Korea:

Here’s another in the U.S.:

Obviously, this is more of a symbol of support for the Robotaxi launch, but many owners are recognizing that Tesla’s Full Self-Driving software will extend to them the ability to use their personal cars as ride-hailing vehicles, becoming a part of the global fleet of self-driving chauffeurs.

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Elon Musk

Tesla sues former Optimus engineer for stealing trade secrets

Tesla is suing a former engineer who worked on Optimus after he left and immediately started a robotics company that achieved quick development of a hand.

Published

9 hours ago

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June 12, 2025

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Credit: Elon Musk | X

Tesla is suing former Optimus engineer Jay Li in federal court after accusing him of stealing trade secrets and using them to enable a startup he founded after he left.

Li is accused of stealing confidential files and using them to help get his company, “Proception,” off to a rocking start. Tesla says the files Li took helped his new startup “shortcut the typical development process” for robot hands, something that took Tesla years to develop and evolve.

The company said in the complaint (via Reuters):

“Through Li’s pilfering, Defendant Proception purportedly achieved in a matter of months what it has taken Tesla over four years, hundreds of employees, and billions of dollars to achieve.”

Li was an employee at Tesla for several years, working on the Optimus sensor team from 2022 to 2024. The company says it utilized and devoted “extraordinary resources” to the development of Optimus, which has come a long way since its unveiling several years ago.

Tesla Optimus to receive hands with 22 degrees of freedom later this year

Li allegedly downloaded confidential files related to Optimus’ robotic hand movement research before departing the company. He did not work on the hands at the time. However, he left and swiftly started Proception, as the suit states the company was founded just six days after he left Tesla.

Proception was gloating about its ability to build robotic hands just five months after the company was founded. Tesla says the hands have “striking similarities” to its own design for Optimus.

The company is looking for monetary damages and a court order that would block Proception from misusing the secrets it accuses Li of taking.

This is not the first suit Tesla has filed over trade secrets and confidential information theft. Recently, it accused German-Canadian dual citizen Klaus Pflugbeil of stealing battery-related secrets. He was arrested and sentenced to two years in prison.

Men accused of selling Tesla battery secrets arrested in undercover sting

The U.S. Department of Justice used an undercover sting to arrest Pflugbeil.

Tesla is being represented by Josh Krevitt, Orin Snyder, and Angelique Kaounis of Gibson Dunn & Crutcher.

The case is Tesla Inc. v. Perception Inc., U.S. District Court for the Northern District of California, No. 5:25-cv-04963.

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