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SpaceX’s internet satellite strategy faces possible setback (Correction: It’s actually in great shape)
Correction: Upon further analysis of FCC filings and proposed updates to ITU regulations, SpaceX’s Internet constellation is on much steadier ground than it initially appeared to be, and the FCC decision made on September 26 2017 to update its NGSO FSS regulations is likely to help SpaceX far more than it might harm the company.
The ITU has since 2015 taken a stance that aligns more with the FCC’s cooperative spectrum sharing policy and did not intend for Part 5 of its Radio Regulations to be interpreted as a “first come, first serve” attitude. Specifically, the ITU’s 2017 Rules of Procedure pointedly state in Article 9.6 (Word document download) that those rules were not intended “to state an order of priorities for rights to a particular orbital position” and that “the [interference] coordination process is a two way process”. An ex parte filed with the FCC (PDF download) by SpaceX on September 15 stated SpaceX’s support for these international and domestic policy adoptions, as well as the FCC International Bureau’s responsive consideration of SpaceX’s own suggestions.
The company’s first two test satellites could still launch later this year
The U.S. Federal Communications Commission (FCC) responded September 7th to requests for modification to existing satellite communications regulations and FCC practices from a number of prospective constellation operators, including OneWeb, Telesat, and SpaceX.
The FCC ultimately decided to avoid one major rule change that could force SpaceX to completely reconsider its strategic approach to its proposed Low Earth Orbit broadband constellation.
To grossly oversimplify, SpaceX had requested that the FCC apply their non-interference rules for lower orbit communications satellites to internet constellations operating both inside and outside the physical United States. These rules require that communication satellites operating in non-geostationary orbits (NGSO) share the available wireless spectrum equally among themselves when two or more satellites pass within a certain distance of each other relative to ground stations. In simpler terms, consider your smartphone’s cellular connectivity. The FCC’s rule for satellites in lower orbits can be thought of like multiple smartphones using the same cell tower to access the internet: the cell tower simply acknowledges the multiple devices it needs to serve and allows each device a certain amount of bandwidth.
However, the FCC is admittedly a domestic Commission focused on administering communications rules and regulations in the United States, and an agency already exists for coordinating global communications needs, called the International Telecommunication Union (ITU). The ITU’s Radio Regulations are considerably more simplistic. Rather than the FCC’s more nuanced and reasonable methods of spectrum sharing, the ITU allows the first satellite operator actively using a certain orbit or spectrum to become the primary coordinator for all interference issues. Put more simply, it gives those who launch communications satellites first a “first come, first serve” advantage that lets those entities then set the rules for interference with their constellation.
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- In these figures, SpaceX attempts to demonstrate the significance of cooperation between different satellite constellation operators. (SpaceX/FCC)
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- Compared to the first figure, interference events while sharing data on satellite locations is almost nonexistent. (SpaceX/FCC)
Both OneWeb and Telesat, companies also interested in launching global broadband constellations, are licensed in countries other than the United States, meaning that the FCC has given the ITU precedent in deciding how to deal with SpaceX’s potential constellation interference. SpaceX’s proposed constellation of at least several thousand satellites ends up being at a distinct disadvantage simply because it would take far longer for SpaceX to even partially complete its constellation when compared with competitors like OneWeb, who expect to finish launching the first phase of their constellation several hundred satellites by the end of 2020. Under the ITU’s regulations, SpaceX could be forced by competitors to effectively step on eggshells around their constellations by avoiding interference to the furthest extent possible, rather than simply sharing spectrum in the brief periods where different satellites temporarily interfere with each other.
While the FCC’s choice to cede international interference coordination to the ITU is a huge blow to SpaceX’s proposed internet constellation efforts, the same September 7th report also eased a handful of other requirements that would have proven difficult for SpaceX’s massive constellation. For geostationary constellations, the FCC previously required that all satellites be launched within a period of six years, with failure to do so resulting in a revoked license for the company in question. In a small concession to SES, O3b, and SpaceX, the FCC now plans to require that 50% of lower orbit satellite constellations be launched within six years of receiving an FCC license. This would still be a massive challenge for SpaceX’s plan of 4,425 initial satellites and a follow-up constellation of more than 7,000 additional satellites (PDF download).
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- Falcon 9 lands on drone ship JRTI after launching Formosat-5, August 2017. (SpaceX)
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- 2017 saw SpaceX recovery 10 Falcon 9 first stages, 5 by sea. (SpaceX)
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- Falcon 9 B1040 returns to LZ-1 after the launch of the USAF’s X-37B spaceplane. (SpaceX)
The FCC’s September 7th report will not become final unless it is passed by vote in a September 26th Open Commission Meeting. It is possible that SpaceX council will make a statement protesting the FCC’s decision, but it is nevertheless likely that the FCC’s report will be accepted and become official. While the LEO internet constellation has remained a low priority for SpaceX since it was revealed in 2015, the company has steadily continued work on the project and SpaceX has every reason to continue pursuing it given the potential profit margins it could produce. In spite of the now expanded difficulties lying ahead, SpaceX appears to be preparing for the first launch of two test satellites related to its internet constellation efforts. The move is seen as a likely attempt to tag along as passengers during SpaceX’s launch of PAZ, a Spanish earth imaging satellite, during the final three months of 2017.
Elon Musk is scheduled to reveal more details on SpaceX’s Mars exploration and colonization efforts on September 29th. He has stated that this presentation will focus more on the “how” of colonizing Mars, revealing how exactly SpaceX thinks it can fund the development of its Interplanetary Transport System. Musk also confirmed several weeks ago that SpaceX had reduced the size of the ITS rocket to a still-massive diameter of 9 meters, and sources inside the company have also indicated that the company is thinking about modifying its LC-39A Florida launch pad to support both Falcon and ITS vehicles. SpaceX recruiters revealed earlier this week that SpaceX also intends to have their Boca Chica, Texas launch pad, which is currently under construction, be capable of eventually launching ITS-sized vehicles once it comes online in 2019 or later.
Tesla Cybercab rides are officially open to the public in Austin, Texas, as the company confirmed on Thursday following its launch event that the two-seater would be available in the company’s Robotaxi fleet.
Cybercab is Tesla’s first vehicle completely void of any manual controls. It has no steering wheel and no pedals, and it will utilize Tesla’s Full Self-Driving fleet to operate. The first rides have already happened, as those at the event were able to hail a Cybercab to any location within the company’s geofence in Austin.
Tesla’s $25K car is the Cybercab with no steering wheel or pedals
The addition of Cybercab to the public Robotaxi fleet is a major statement in Tesla’s trek to launch fully autonomous driving. For years, critics have complained about the need for drivers to continuously supervise the vehicle.
With Cybercab, there are no manual controls in the cockpit other than to control the seat, the center screen, and the climate. The vehicle is fully geared toward being a living room on wheels in a sense: equipped with Starlink V5 satellites, CEO Elon Musk said the vehicle would enable 4K live video, gaming, and other entertainment options during travel.
Cybercab is basically a super comfortable lounge on wheels with a great TV and epic sound https://t.co/X1aWKoJdJV
— Elon Musk (@elonmusk) September 3, 2026
Musk noted that Cybercab is “designed and built for maximally efficient autonomous operation.”
Tesla continues to push the envelope on autonomy, and over the next several months, the company could start selling Cybercab units to the public.
The company opened up a public interest form on its website to gauge demand, and many have already submitted requests to purchase a fleet of Cybercab units for their own personal ride-hailing side hustle.
The launch of Cybercab in this area marks a major accomplishment for Tesla, as it also announced that it has reached 1 million unsupervised autonomous miles since launching driverless rides on the Robotaxi fleet.
Things are moving along at a fine pace, and although we have waited for this for some time, the day has finally come when Tesla is offering self-driving rides of some kind to the public.
Tesla has quietly opened a public interest form for companies that want to buy fleets of its purpose-built Cybercab robotaxis, marking the first official channel for commercial purchases of the two-seat autonomous vehicle. The form went live on September 3, the same day Tesla hosted an invite-only Cybercab launch event in Austin, Texas.
Tesla titled the page “Help Us Build Our Robotaxi Network.” Applicants provide name, email, phone number, company name, and deployment region. They then select one or more categories: Cybercab fleet vehicle purchasing, mobility hubs and infrastructure, event collaboration, or other. Tesla says a representative will follow up with those who express commercial interest.
Tesla has introduced a new form that you can fill out if you are interested in purchasing a fleet of Cybercabs:
Form: https://t.co/Ut0yoiEyXD pic.twitter.com/uuaCXmksIO
— Sawyer Merritt (@SawyerMerritt) September 3, 2026
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Until now, the company had no public ordering path for the vehicle, which was first shown as a concept at the October 2024 “We, Robot” event.
The Cybercab is designed from the ground up for unsupervised operation. It has no steering wheel and no pedals.
Regulatory filings list a 48-kilowatt-hour battery, a single 219-horsepower front motor, a curb weight of 3,113 pounds, and an EPA-adjusted range near 290 to 300 miles. Tesla has already registered dozens of the vehicles with Texas authorities and has been testing them on public streets around Austin.
Tesla Cybercab sightings broaden well outside of Austin with autonomy in focus
The company’s existing Robotaxi service, which currently uses modified Model Y vehicles in parts of Texas and Florida, is expected to add Cybercabs as production ramps up at Gigafactory Texas.
The form signals that Tesla is preparing to treat the Cybercab as more than an in-house fleet asset. Investors and operators have discussed buying groups of the vehicles and placing them on Tesla’s ride-hailing network, with Tesla taking a platform fee. High-profile figures have publicly stated plans to acquire fleets if Tesla allows third-party ownership.
The new page gives those parties a direct way to register interest rather than waiting for a conventional configurator.
Whether the form leads quickly to firm purchase agreements remains unclear. Regulatory approval for widespread unsupervised operation still varies by state, and Tesla has not published pricing or delivery timelines for fleet customers. The company has previously discussed a target price near $25,000 to $30,000 per vehicle.
For now, the form is an early signal that Tesla wants partners to help scale the network rather than operate every Cybercab itself.
Pairing the launch of the Cybercab fleet form with the Austin event is no coincidence. Tesla is inviting businesses to participate in the next phase of its Robotaxi plan at the moment the production vehicle first appears in public.
Tesla has updated its Robotaxi app so riders can pick which vehicle they want before they book. The latest in-app screens now show two options side by side: the two-seat Cybercab and the four-seat Model Y.
A screenshot circulating Thursday shows the change in practice. In Austin, a rider could choose a gold Cybercab for two people or a Model Y for four. Tesla’s updated description calls Cybercab “our first purpose-built autonomous vehicle,” designed for safety, accessibility, and comfort, and says the lineup is available only through the Robotaxi app.
Tesla has updated their Robotaxi page in the App Store. You’ll be able to select if you want a Cybercab or Model Y Robotaxi.
“Our Robotaxi vehicle lineup now includes Cybercab, our first purpose-built autonomous vehicle. Designed for safety, accessibility and comfort, Cybercab… pic.twitter.com/Jff4klilDr
— Sawyer Merritt (@SawyerMerritt) September 3, 2026
The distinction is more than cosmetic, and it’s important to note that Robotaxi refers to the platform, while Cybercab refers to a vehicle.
Model Y Robotaxis have carried the service since it opened in Austin in mid-2025 and later expanded to Dallas, Houston, and parts of Florida. Those vehicles are converted production SUVs that still have steering wheels and pedals.
Cybercab is different. It has no driver controls, butterfly doors, a low seat height meant to work with wheelchairs, extra trunk space for assistive devices, and braille on the handles. Tesla has registered dozens of the two-seaters with Texas regulators in the days leading up to its September 3 Austin event.
Giving riders a choice lets Tesla match the vehicle to the trip. Most rides involve one or two people, which is where Cybercab is meant to be cheaper and more efficient to operate. Groups of three or four, or anyone who needs more space, can still request a Model Y.
The same app handles booking, payment, cabin settings, and, on Cybercab, features such as phone-based door opening and in-cabin voice controls.
The update does not mean every city suddenly has both cars available. Cybercab support is listed for Austin first, and the purpose-built fleet is still small compared with the existing Model Y roster. Even so, the app change marks a shift from a single-vehicle pilot to a mixed fleet.
Riders can now choose between the compact, purpose-built robotaxi and the familiar SUV that launched the service.
Tesla opens Cybercab rides to the public, with no steering wheel or pedals
Tesla hints its already prepping for Cybercab fleet orders
