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SpaceX Texas test HQ fires up a dozen Falcon, Starship rocket engines in six hours
Though it often falls under the radar relative to SpaceX’s high-profile Boca Chica Starship hub, another even more important Texas outpost appears to be busier than ever testing the rocket engines and boosters instrumental to all SpaceX operations.
Famous for occasionally supporting half a dozen or more rocket tests on busy days, SpaceX’s McGregor, Texas facilities showed off exactly that kind of rapid-fire activity on Friday, March 19th, flexing the sheer variety and volume of rocket hardware liable to pass through its gates.
Located on the grounds of a former US military explosives factory, SpaceX’s McGregor, Texas rocket development and test facilities have been testing Falcon, Dragon, and Starship parts and supporting each program’s development for a decade and a half. After being fabricated and assembled in Hawthorne, California, virtually every single active propulsive component SpaceX has ever flown has spent some amount of time in McGregor.
For boosters, every cold gas maneuvering thruster is qualified in Texas before being sent back to Hawthorne for final installation. Each stage’s nine Merlin 1D engines are individually tested in McGregor, shipped back to Hawthorne, installed on a booster, shipped back to McGregor, and static fired as an integrated first stage before SpaceX deems a Falcon 9 or Falcon Heavy core ready for flight. The exact same process (separate engines and thruster qualification followed by integrated vehicle testing) is performed with Falcon upper stages and their Merlin Vacuum engines, as well as all Dragon spacecraft and their Draco (and SuperDraco) thrusters. The same is true for the two Raptor engine variants and cold-gas thrusters that power Starship.
On March 19th, nearly all of those different engines and vehicles – and the separate stands used to test each of them – came together for an exceptionally busy day at McGregor. According to local resident Reagan (@bluemoondance74), who lives within earshot of SpaceX’s extraordinarily busy rocket testing HQ, at least five unique tests were performed in just six hours – all but one of which was squeezed into the last ~125 minutes.
Around 2:40 pm, an unknown test – possibly a Merlin Vacuum (MVac) or Merlin 1D (M1D) engine – kicked off the salvo. Four hours later, SpaceX completed arguably the most significant test of the day, firing up the first Falcon Heavy center core to head to McGregor in almost 24 months. Assuming that static fire was a success, the booster will be inspected, have its tanks cleaned, and be shipped to Florida to complete the first stage of SpaceX’s fourth Falcon Heavy rocket for a launch as early as July.
An hour and a half after the Falcon Heavy center core’s static fire, SpaceX fired up a Raptor engine (either a sea level or vacuum variant), followed by another likely M1D or MVac test just minutes later. Finally, at 8:52 pm, SpaceX ignited a second Raptor engine at an entirely separate vertical test stand (known as the tripod stand) recently modified to support testing Starship engines in a more flight-like configuration. Altogether, assuming no repeated tests, SpaceX effectively tested a booster and 13 (9+4) rocket engines in a little over six hours.
More likely than not, one or both of those Raptors will soon find themselves on a Starship or Super Heavy prototype in Boca Chica. The M1D and/or MVac engines will assuredly find a place on a future Falcon booster or upper stage. The Falcon Heavy center core (B1065 or B1066) is scheduled to launch as early as July 2021 and will be the first of its kind to fly in an intentionally expendable configuration. Another Falcon Heavy center core – possibly B1067 – will likely also find itself in McGregor within the next few months for the rocket’s fifth launch, scheduled no earlier than (NET) October 2021.
All told, SpaceX’s McGregor rocket testing HQ is about as busy as – if not busier than – it’s ever been as the company works towards an unprecedentedly ambitious 48-launch 2021 manifest, builds and flies at least four Dragon spacecraft, and pursues an even more ambitious effort to begin orbital Starship launches this summer. Quieted away in rural Texas, McGregor may largely go unnoticed but its infrastructure remains as integral as ever for virtually every single SpaceX project – past, present, and future.
SpaceX confirmed today that it has officially signed its third massive compute deal, providing compute at its Colossus data center in Southaven, Tennessee.
Reflection AI will gain immediate access to NVIDIA GB300 chips at SpaceX’s Colossus 2 data center. In return, Reflection will pay SpaceX $150 million per month starting on July 1, with total payments reaching approximately $6.3 billion if the contract runs through its duration, which is until 2029. Either party can terminate the agreement with 90 days’ notice after the initial three-month period.
CNBC first reported the deal.
🚨 SpaceXAI has agreed to a new compute deal with Reflection AI.
Reflection gets access to NIVIDIA GB300s, and will pay $150M per month to SpaceXAI for the compute. pic.twitter.com/bNPare8U5u
— TESLARATI (@Teslarati) June 22, 2026
This latest partnership highlights SpaceX’s strategy of commercializing its massive Colossus supercomputing infrastructure, originally developed to power Elon Musk’s Grok AI models. The company has rapidly expanded its customer base in the AI sector following its February 2026 merger with xAI, a transaction that valued the combined entity at $1.25 trillion.
SpaceX has previously signed significant compute deals with other major players.
It granted Anthropic exclusive access to the full capacity of its Colossus 1 data center, which exceeds 300 megawatts and includes over 220,000 NVIDIA GPUs. Details from SpaceX’s IPO filings indicate Anthropic will pay $1.25 billion per month through May 2029, potentially generating around $45 billion over the term of the deal.
Additionally, Google agreed to pay SpaceX $920 million per month for compute capacity from October 2026 through June 2029. This 32-month period will provide Google access to roughly 110,000 NVIDIA GPUs, along with supporting processors and memory. Capacity ramps up through September at a reduced fee, with termination options after the first year.
SpaceXA also established arrangements for computing power with Cursor, an AI coding startup. SpaceX acquired them in a $60 billion all-stock deal.
These arrangements position SpaceX’s collective position as an AI infrastructure powerhouse with high-margin revenue potential. The Google deal alone could generate nearly $29.5 billion over its term, while the Reflection contract adds another $6.3 billion.
Combined with the Anthropic arrangement, SpaceX stands to realize tens of billions in revenue from compute leasing in the coming years, which diversifies beyond SpaceX’s traditional rocket launches and Starlink operation.
The deals underscore growing demand for advanced AI training and inference capacity amid chip shortages and surging model development needs. Reflection, valued at $25 billion and focused on “American open intelligence” with government and national security ties, cited recent restrictions on closed models as validation for open-source approaches.
For SpaceX, the partnerships transform capital-intensive data centers into flexible revenue sources while supporting its broader AI ambitions after the company has gone public.
It is safe to say SpaceX won’t be going for electric rockets anytime soon.
In a characteristically blunt reply on X, SpaceX frontman Elon Musk stated, “Unfortunately, electric rockets are impossible,” following reports that MSCI had assigned SpaceX its lowest possible ESG rating of CCC.
The assessment, issued just this past week, coinciding closely with SpaceX’s public market debut, placed the company on par with nations like Russia in sustainability scoring and cited significant risks in environmental, social, and governance areas.
MSCI flagged SpaceX’s exposure to rocket emissions and other operational impacts, alongside governance concerns such as concentrated control by Musk and limited shareholder protections. Musk’s terse comment directly addressed the environmental pillar, underscoring a core physical constraint that ESG frameworks often overlook when evaluating high-thrust industries.
Unfortunately, electric rockets are impossible
— Elon Musk (@elonmusk) June 21, 2026
Electric propulsion systems do exist and are widely used in space. Ion thrusters and Hall-effect thrusters accelerate ionized propellant, typically xenon or krypton, using electric fields, achieving very high specific impulse, often exceeding 3,000 seconds compared to roughly 300–450 seconds for chemical rockets.
This efficiency makes them ideal for satellite station-keeping, orbit raising, and deep-space missions where low thrust over long durations is sufficient. SpaceX’s own Starlink satellites employ electric propulsion for these purposes.
However, launching from Earth’s surface demands something entirely different: enormous thrust delivered rapidly to overcome gravity and atmospheric drag. A typical orbital-class booster must generate thrust far exceeding its weight, often in the millions of Newtons within seconds.
Chemical rockets achieve this through exothermic combustion of dense propellants, producing high-mass-flow, high-velocity exhaust. Electric systems, by contrast, expel very small amounts of mass at extremely high speeds. Generating equivalent thrust would require impractical onboard power levels, massive energy storage or generation systems, and prohibitive added mass, rendering the approach infeasible with current or near-term technology.
Musk has previously expressed a similar sentiment, noting a desire for electric orbital rockets while acknowledging the inescapable requirements of Newton’s third law and energy delivery. The distinction is clear: electric propulsion excels once a vehicle is already in space; it cannot replace the high-thrust chemical phase required to reach orbit from the ground.
The episode illustrates broader critiques of ESG ratings. Proponents argue they incentivize better risk management and long-term sustainability. Detractors, including Musk—who has previously called ESG a “scam”—contend that such metrics can penalize essential activities when no practical alternative exists, potentially discouraging innovation in sectors like space access.
Elon Musk dubs the S&P 500 ESG as “outrageous scam” after Tesla gets booted from index
SpaceX has sought to mitigate launch-related impacts through reusability: Falcon 9 boosters have flown more than 30 times in some cases, dramatically lowering the manufacturing and emissions burden per kilogram delivered to orbit. Starship’s design further emphasizes rapid reusability and methane propellant, which can theoretically be produced via sustainable pathways.
Ultimately, Musk’s remark serves as a reminder that certain engineering realities persist regardless of scoring systems. As humanity expands its presence in space for communications, science, and exploration, balancing genuine environmental progress with technological necessity remains a central challenge.
ESG frameworks may evolve, but the fundamental limits of electric launch propulsion are unlikely to change soon.
Tesla just trademarked ‘MEGAPOD’ with the United States Patent and Trademark Office (USPTO), its latest move in what seems to be a hint that the company is incredibly focused on its AI efforts and storage needs as compute increases.
The application carries serial number 99893717 and lists the applicant as Tesla, Inc., located at 1 Tesla Road, Austin, Texas 78725.
The filing remains in ‘live pending’ status, and it is a new application waiting for assignment to an examining attorney. It has not yet been published or registered.
Tesla just trademarked MEGAPOD
Summary:
“Modular data center hardware systems for artificial intelligence computing, comprised of computer servers, computer hardware for artificial intelligence processing, computer networking hardware, electrical power distribution units, and… pic.twitter.com/3l85DsKadl— Robin (@xdNiBoR) June 19, 2026
According to the official goods and services description in the application, Tesla describes ‘MEGAPOD’ as:
“Modular data center hardware systems for artificial intelligence computing, comprised of computer servers, computer hardware for artificial intelligence processing, computer networking hardware, electrical power distribution units, and cooling systems, sold as a unit; self-contained modular computing hardware systems for artificial intelligence workloads; integrated computer hardware platforms for artificial intelligence computing, namely, enclosures containing computer hardware, power distribution hardware, and cooling hardware, sold as a unit; downloadable software for monitoring, managing, optimizing, and regulating modular artificial intelligence computing hardware systems.”
This description specifies complete, self-contained modular units that integrate servers and specialized AI processing hardware with networking components, power distribution, and cooling systems. It also includes associated downloadable software for oversight and optimization of these systems. The language emphasizes hardware sold “as a unit” and enclosures that combine the necessary elements for AI computing workloads.
Tesla has an established history of developing and commercializing modular hardware systems. Its Megapack product line, for example, consists of utility-scale battery energy storage systems designed as containerized units for grid applications. The MEGAPOD filing follows a similar pattern of protecting a name for modular, integrated hardware platforms, this time focused on artificial intelligence computing infrastructure.
This could be an early move, especially as Tesla did not have trademark rights to the word ‘Cybercab,’ the name of its self-driving, ride-hailing-focused vehicle.
Trademark applications of this type allow companies to secure priority rights to a name for defined categories of goods and services. The USPTO examines applications for compliance with legal requirements, including distinctiveness and absence of conflicts with prior marks. If the application proceeds successfully through examination, publication, and any opposition period, it could result in a federal trademark registration providing nationwide protection. This is what Tesla’s obvious intention is with ‘MEGAPOD.’
Public reports and analysis suggest MEGAPOD could represent modular, container-style AI computing pods designed for easy deployment. These would bundle servers, AI accelerators, power systems, and cooling into self-contained units suitable for distributed AI workloads. This approach aligns with Tesla’s announced AI compute strategy.
In March 2026, Elon Musk outlined plans for “Digital Optimus” (also referred to as Macrohard), a joint Tesla-xAI project for AI agents capable of handling complex digital tasks. The plans include running these agents on Tesla’s AI4 hardware in parked vehicles as well as dedicated compute units installed at Supercharger stations, which collectively offer substantial unused electrical capacity.
What is Digital Optimus? The new Tesla and xAI project explained
A modular hardware platform like the one described in the ‘MEGAPOD’ filing would support scalable, rapid deployment of such distributed compute resources. It could complement Tesla’s other AI infrastructure efforts, including the Dojo supercomputer used for training models and the development of AI systems for autonomous driving and robotics, by enabling edge or regional AI inference without reliance on traditional centralized data centers.
SpaceX confirms third massive compute deal at Colossus data center
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