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SpaceX’s first 33-engine Super Heavy booster reaches full height
Approximately 11 weeks after the process began, SpaceX has finished stacking its newest Super Heavy booster prototype – the first of its kind intended to host 33 new Raptor V2 engines.
Designed to launch Starship’s massive, namesake upper stage part of the way to orbit, Super Heavy is in many ways simpler than Starship but just as complex and unprecedented in others. Ignoring SpaceX’s unusual plans to have boosters land on huge mechanical arms installed on a skyscraper-sized tower, Super Heavy is ‘merely’ a large vertical-launch, vertical-landing liquid rocket booster – the likes of which SpaceX already has extensive experience with through Falcon 9 and Falcon Heavy. What mainly sets Super Heavy apart is its sheer scale.
Measuring around 69 meters (~225 ft) from tip to tail, Super Heavy – just one of two Starship stages – is almost as tall as an entire two-stage Falcon 9 or Falcon Heavy rocket. At nine meters (~30 ft) wide, a single Super Heavy booster – effectively a giant steel tube – should be able to store at least six or seven times as much propellant as Falcon 9 and about two to three times as much as Falcon Heavy. Engine count and peak thrust are similarly staggering.
SpaceX’s newest Super Heavy prototype – Booster 7 (B7) – expands those engine-related capabilities even further. Instead of the 29 Raptor V1 engines installed on Super Heavy B4, Booster 7 is designed to support up to 33 Raptor V2 engines. While the V2 design significantly simplifies Raptor’s design to make it easier to build, install, and operate, it also substantially boosts maximum thrust from around 185 tons (~410,000 lbf) to at least 230 tons (~510,000 lbf). In theory, if Super Heavy B7 is outfitted with a full 33 Raptor V2 engines capable of operating at that claimed thrust level, Booster 7 could theoretically produce at least 40% more thrust than Booster 4. B4, however, has yet to attempt a single static fire.
The fact that SpaceX hasn’t put Booster 4 through a single full wet dress rehearsal (a launch simulation just shy of ignition) or static fire test after more than half a year at the orbital launch site has led many to assume that the prototype is likely headed for premature retirement. With Booster 7 now perhaps just a week or two away from test-readiness, SpaceX finally has a viable replacement capable of both carrying the flame forward and kicking off the qualification of the first prototype designed to use Raptor V2 engines.
Booster 7 features a number of other design changes, including sleeker raceways (external conduits that protect wiring and smaller plumbing); a different layout of the pressure vessels, ‘hydraulic power units,’ and umbilical panel installed on its aft; and significant changes to the aerocovers that slot over that aft hardware. Beyond its Raptor engines, the two next most substantial modifications made to Super Heavy Booster 7 are arguably a pair of strake-like aerocovers and the addition of large internal ‘header’ tanks meant to store landing propellant.
A series of new sharp-edged aerocovers are now expected to slot over the top of two new pairs of five composited-overwrapped pressure vessels (COPVs) that run about a third of the way up Booster 7’s tanks. It’s possible that they will function a bit like strakes, fixed wing-like structures designed to improve aerodynamic stability. In comparison, Super Heavy B4 has four sets of two COPVs spaced evenly around the outside of its engine section.
Finally, SpaceX appears to have upgraded Super Heavy Booster 7 with a full set of internal header tanks, meaning that it should now be able to store all needed landing propellant in separate tanks. That significantly decreases the amount of pressurization gas required and makes it much easier to ensure that Super Heavy’s Raptor engines are fed with an uninterrupted flow of propellant during complex in-space and in-atmosphere maneuvers. Following SpaceX’s decision to turn Super Heavy’s tank vents into maneuvering thrusters, header tanks should also decrease the chances of liquid propellant being accidentally vented while the booster is in microgravity/free-fall conditions.
With any luck, Super Heavy B7 will be fully assembled and ready for proof testing. It’s very likely that it will take SpaceX several more months to mature Raptor V2’s design into something ready for flight and produce and qualify at least 33 of the engines but in the interim, Booster 7 can hopefully kick off cryogenic proof and wet dress rehearsal testing as early as late March or early April.
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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.
Elon Musk
Another Tesla SpaceX merger prediction by ARK Invest has Elon Musk talking
Elon Musk again denies a Tesla China split as new SpaceX merger speculation resurfaces quickly.
Elon Musk restated that Tesla has no plans to separate its China business from the rest of the company, responding to a new round of merger speculation from ARK Invest.
On the firm’s “Brainstorm” podcast, Cathie Wood’s team, including chief futurist Brett Winton and research director Nick Grous, argued a Tesla and SpaceX combination remains likely, with an announcement possible before the end of the year even if the deal itself would not close that quickly. Winton called Tesla’s Shanghai operations a “small ish wrinkle” for a merger rather than a real obstacle, since SpaceX’s national security work with the U.S. government sits uneasily next to Tesla’s manufacturing base in China.
Musk pushed back on the framing directly. “China is awesome. I strongly encourage people to visit,” he wrote on X. He also repeated language he first used in late July, when the Wall Street Journal reported that Tesla executives had been told to prepare for a possible spinoff, sale, or closure of the China business ahead of a SpaceX tie up. Musk called that report “absurdly fake news” at the time, adding that a separation had “never even come up in a discussion ever,” a line he echoed again this week.
The repeated denial has not settled the underlying question, because Shanghai’s role in Tesla’s business is exactly what makes a merger complicated. Gigafactory Shanghai still ships more than half of Tesla’s global deliveries and functions as the company’s main export hub for Europe and Asia. Teslarati previously reported on Musk’s initial denial, and the merger conversation itself has been building since SpaceX’s IPO gave it public shares to use as acquisition currency.
Wedbush’s Dan Ives has pegged the odds of a Tesla SpaceX merger at 80 to 90 percent by early 2027, and ARK’s prediction of a year end announcement adds another data point to that timeline, even as Musk keeps rejecting the specific mechanics reporters have described. Neither position rules out the other. Musk can deny a China spinoff was ever discussed while analysts still expect some form of combination to move forward, since ARK and Ives are both describing convergence at the corporate level, not necessarily the internal restructuring the Journal described in July.
For now, Tesla’s China business remains intact, and Musk’s comments this week make clear he has no interest in publicly walking that position back, no matter how often the merger question resurfaces.
SpaceX AI investment gamble will make it a big winner, firm says
Tesla headlights cause recall of over 20,000 Model 3 and Model Y
