One of the most impressive things about Tesla’s stellar Q3 2021 vehicle production and delivery results was the fact that the company was able to hit new records in the middle of a chip shortage crisis. The effects of the chip crisis are substantial, with fellow American automaker General Motors laying the blame for its 33% year-on-year drop in sales to “semiconductor supply chain disruptions and historically low inventories.”
Tesla’s strategy to weather the semiconductor shortage is no secret. In its Q2 2021 Update Letter, Tesla stated that its team “demonstrated an unparalleled ability to react quickly and mitigate disruptions to manufacturing caused by semiconductor shortages.” Tesla was able to do this by using software and new microcontrollers to build its vehicles. The chip shortage still adversely affected Tesla, but not to the same degree as its peers in the automotive sector.
While Tesla’s Q3 2021 production and delivery results are proof that flexibility and a notable degree of vertical integration are key to weathering the global semiconductor crisis, it also shows that the auto sector is in dire need of some innovation. This was explained by Intel Chief Executive Pat Gelsinger in a statement to Fortune last month. According to Gelsinger, the chip shortage in the auto sector is partly due to the fact that most cars today still use chips that are, in a lot of ways, already primitive.
When the pandemic hit, big-ticket items like cars were pushed back while sales of home consumer devices increased. By the time the auto segment bounced back months later, chipmakers like Intel had already reallocated their capacity. And since dozens of chips for vehicles’ systems like electronic brake systems typically rely on obsolete technology, automakers found themselves with very little supply of components such as transistors that can be anywhere from 45 nm to 90 nm in size.
According to the Intel executive, he has been bombarded with requests to invest in new production capacities for semiconductors that were, at best, state-of-the-art when the original Apple iPhone launched in 2007. If carmakers used newer chips, however, then the semiconductor shortage would not be as detrimental to the auto sector.
“I’ll make them as many Intel 16 [nanometer] chips as they want. It just makes no economic or strategic sense. Rather than spending billions on new ‘old’ fabs, let’s spend millions to help migrate designs to modern ones,” Gelsinger said.
The use of updated chips is something that seems inherent in companies like Tesla, as well as newcomers to the production EV market such as NIO, Rivian, and Lucid. In a way, the Intel executive’s statement rings true. There is very little incentive to ramp the production of obsolete chips, after all, especially if newer, better ones are available. Legacy automakers would just need to be bold enough to innovate. This is something that was specifically highlighted by ARK Invest Founder Cathie Wood recently, when she noted that EVs actually need more chips than regular cars.
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NASA has filed a procurement notice announcing its intent to add six post-certification missions to SpaceX’s existing Commercial Crew Transportation Capability contract. The agency said it would order up to three of those missions immediately upon adding them to the contract, with the remaining three available as needed through the end of the International Space Station’s planned operations in 2030.
The reason for the expansion is straightforward. NASA cited recently shortened ISS mission durations, technical issues and schedule delays encountered by Boeing, the allocation of missions between Boeing and SpaceX, and the ongoing technical challenges of maintaining a reliable crew transportation capability as the driving factors behind the decision. Boeing’s CST-100 Starliner has still not been certified for crewed flights, and a cargo-only Starliner mission was not included on NASA’s most recent mission manifest. With Boeing effectively sidelined for the foreseeable future, SpaceX is the only American company capable of rotating crews to the station.
The history behind this contract tells the fuller story of how SpaceX got here. NASA originally awarded SpaceX its Commercial Crew contract in 2014 for $2.6 billion. In 2022 NASA modified the contract to add five missions covering Crew-10 through Crew-14, worth $1.436 billion, bringing the total contract value at that point to $4.9 billion. The recent May 18 filing by NASA extends that runway further, with Crew-12 currently docked at the station and Crew-13 assigned and targeting a mid-September 2026 launch.
According to a report by SpaceNews, NASA stated in its filing: “It is necessary to award additional PCMs to SpaceX given the recently shortened ISS mission durations, technical issues and schedule delays encountered by Boeing, the allocation of missions between Boeing and SpaceX, NASA’s projections for when an alternative crew transportation system may become available, and the ongoing technical challenges of maintaining a reliable capability for crewed flights to ISS.”
No dollar value for the new six missions has been publicly confirmed yet, but based on the 2022 precedent of roughly $287 million per mission, the new block could represent close to $1.7 billion in additional contract value. With SpaceX simultaneously preparing Starship as NASA’s Artemis lunar lander, filing its S-1 for a June IPO, and now absorbing more ISS crew rotation work, the company’s role as the primary contractor for American human spaceflight is no longer a matter of circumstance. It is NASA policy.
In a notable intersection of Big Tech powerhouses, Meta, led by Mark Zuckerberg, has partnered with Canadian energy infrastructure giant Enbridge on a significant renewable energy initiative that will rely on battery technology from Elon Musk’s Tesla.
The project, which was announced this week, marks another step in Meta’s aggressive push to power its expanding data center operations with clean energy, dispelling many of the complaints people have about them.
This new development is located near Cheyenne, Wyoming, and will feature a 365-megawatt (MW) solar farm paired with a 200 MW/1,600 megawatt-hour (MWh) battery energy storage system, also known as BESS. Tesla is providing the batteries for the project, valued at roughly $200 million.
The story was originally reported by Utility Dive.
This Wyoming project represents the first phase of Enbridge and Meta’s joint “Cowboy Project.” Once operational, it will deliver power to Meta’s regional data centers through Cheyenne Light, Fuel, and Power under Wyoming’s Large Power Contract Service tariff.
This tariff, originally developed in collaboration with Microsoft and Black Hills Energy, is designed specifically for large loads like data centers. It ensures that the renewable supply serves hyperscale customers without impacting retail electricity rates for other users.
The battery system will operate under a long-term tolling agreement, providing dispatchable capacity that enhances grid reliability. During periods of high demand, the utility can access the backup generation, addressing one of the key challenges of integrating large-scale renewables with the explosive growth of data center electricity demand driven by artificial intelligence.
This latest collaboration builds on prior joint efforts between Enbridge and Meta in Texas, including the 600 MW Clear Fork Solar, 152 MW Easter Wind, and 300 MW Cone Wind projects. Together with the Wyoming initiative, the companies have now partnered on roughly 1.6 gigawatts (GW) of combined solar, wind, and storage capacity.
The deal highlights the intensifying demand for reliable, low-carbon power from technology giants. Meta has committed to supporting its data center growth with renewable energy, joining peers like Microsoft and Google in seeking large-scale solutions. Enbridge’s Allen Capps described the project as “one of the larger utility-scale battery installations supporting U.S. data center operations and growth.”
The involvement of Tesla’s battery technology adds an intriguing layer, linking two of the world’s most prominent tech leaders—Zuckerberg and Musk—in the clean energy transition.
As data centers continue to drive unprecedented electricity load growth across the United States, projects like this one illustrate how hyperscalers are turning to strategic partnerships with traditional energy players and innovative storage solutions to meet both sustainability goals and reliability needs.
SpaceX has decided to stand down from what was supposed to be the first test launch of Starship’s v3 rocket tonight after a minor issue with a hydraulic pin delayed the flight once more.
The company scrubbed its first test flight of the upgraded Starship v3 on May 21 in the final minutes of the countdown. SpaceX CEO Elon Musk quickly took to social media platform X, explaining that a hydraulic pin on the launch tower’s “chopsticks” arm failed to retract properly.
Musk added that the company would fix the issue this evening. SpaceX will attempt another launch tomorrow night at 5:30 p.m. CT, 6:30 p.m. ET, and 3:30 p.m. PT.
The hydraulic pin holding the tower arm in place did not retract.
If that can be fixed tonight, there will be another launch attempt tomorrow at 5:30 CT. https://t.co/DJAdvDYQpH
— Elon Musk (@elonmusk) May 21, 2026
The countdown for Starship Flight 12 — featuring the taller and more capable V3 stack with Booster 19 and Ship 39 — had been progressing smoothly until the late-stage issue surfaced. The Mechazilla tower arm, designed to secure the vehicle on the pad and eventually catch returning boosters, could not complete its retraction sequence.
SpaceX teams immediately began troubleshooting the hydraulic system for an overnight repair.
Starship V3 introduces several significant upgrades over earlier versions. These include greater propellant capacity, more powerful Raptor 3 engines, larger grid fins, enhanced heat shielding, and an improved fuel transfer system.
We covered the changes that were announced just days ago by SpaceX:
SpaceX unveils sweeping Starship V3 upgrades ahead of May 19 launch
The changes are intended to increase payload performance, support higher flight rates, and advance the vehicle toward operational missions, including Starlink deployments, NASA Artemis lunar landings, and future crewed Mars flights. The debut flight from Starbase’s new Launch Pad 2 marked an important milestone in scaling up the fully reusable Starship system.
This stand-down highlights the intricate challenges of preparing the world’s most powerful rocket for flight. Despite extensive pre-launch checks, a single component in the ground support equipment can force a scrub.
The incident aligns with Starship’s proven iterative development approach. Previous test flights have encountered both successes and setbacks, each providing critical data that refines hardware and procedures. Some outlets may call some of these flights “failures,” when in reality, they are all opportunities for SpaceX to learn for the next attempt.
With V3, SpaceX aims to reduce ground-system dependencies and increase launch cadence to meet ambitious long-term goals.
NASA just gave SpaceX more crew missions because Boeing can’t certify
Elon Musk called it Epic: The full story of SpaceX’s Starship Flight 12
