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United Launch Alliance successfully test fires new Vulcan rocket
United Launch Alliance successfully test-fires new Vulcan rocket
Following a successful Flight Tanking Test (FTT), United Launch Alliance fired up the Vulcan rocket for the first time last night. The two Blue Origin-built BE-4 rocket engines ignited for 6 seconds and pushed ULA closer to their maiden launch of the rocket.
United Launch Alliance stated they are more than 98 percent through the qualification program for Vulcan, and after reviewing data from the Flight Readiness Firing (FRF) and closing the Centaur V anomaly investigation, they will then announce launch plans.
Ignition of the Blue Origin built BE-4 engines (Credit United Launch Alliance)
During this test firing, the BE-4 engines ignited at T- 4.88 seconds and ramped up to 60% power for 2 seconds before powering down.
The United Launch Alliance Vulcan Centaur rocket has faced many delays leading up to this moment, most recently experiencing an anomaly of the Centaur V upper stage that was undergoing qualification testing at the Marshall Space Flight Center in Alabama.
ULA is currently conducting an investigation into the cause of the anomaly, and according to ULA CEO Tory Bruno, they found the issue was on the Centaur upper stage itself, but they are still determining if changes will need to be made to its current flight article that is stacked on Vulcan.
? Let’s relive that beautiful #VulcanRocket Flight Readiness Firing! #CountdowntoVulcan ? pic.twitter.com/WqPe3jbpiW
— ULA (@ulalaunch) June 8, 2023
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Prior to this unexpected issue, Blue Origin originally had planned to deliver two of their flight-ready BE-4 engines to ULA for integration onto the Vulcan rocket by 2020, but various delays in qualifications and testing meant their delivery slipped significantly to late 2022.
Following their integration onto the Vulcan rocket’s first stage, it was then shipped aboard ULA’s ‘RocketShip’ down the Mississippi River, through the Gulf of Mexico, and after rounding the southern tip of Florida to Port Canaveral, Florida, after which it was unloaded and then transported to the Vertical Integration Facility at Cape Canaveral Space Force Station.
Vulcan stands at SLC-40 prior to its Flight Readiness Firing (Credit United Launch Alliance)
This FRF test comes before the planned Summer launch of Vulcan Centaur carrying Astrobotics Peregrine Lunar lander and Amazon’s first two Kuiper satellites, their answer to the SpaceX Starlink satellite constellation.
Also known as the CERT-1 flight, the Vulcan Centaur rocket needs to perform 2 successful launches to qualify to launch national security payloads for the U.S. Space Force and other government payloads.
The second flight will feature the first launch of the Sierra Space Dream Chaser space plane, which will deliver supplies to the International Space Station. As of now, the majority of the payload manifest for Vulcan Centaur is Amazon’s Kuiper satellite constellation and U.S. Space Force national security missions.
The Vulcan Centaur rocket has a few configurations available to suit multiple payload sizes, the rocket can fly with just the 2 BE-4 engines delivering 1.1 million pounds of thrust at sea level to flying with 2, 4, or 6 solid rocket boosters and with 6 SRB’s it would bring its thrust up to 3.8 million pounds.
This would make the Vulcan Centaur capable of delivering 60,000 lbs (27,200 kg) to low Earth orbit or 25,400 lbs (11,500 kg) to the Moon. ULA is also working toward its SMART re-use system, which will allow the 2 BE-4 engines to separate from the first stage, and after an inflatable heatshield deploys, they would return to Earth and splash down for recovery and refurb for their next mission.
However, it is unknown when ULA will begin using this capability.
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In a new note to investors on Tuesday, Morgan Stanley analyst Andrew Percoco said that Tesla has one big financial question to answer for investors regarding its Robotaxi rollout, Full Self-Driving software, and Optimus.
Percoco said in the note that, for the most part, investors are still very positive about the direction the company is headed. However, there are some things the firm would like to see, and they have to do with financials.
Tesla (TSLA) Q2 2026 earnings results: miss on EPS, beat on revenue
Tesla bulls are more than convinced that the company’s Full Self-Driving software is proof it can develop physical AI. Financially, however, there are still some questions, especially on elevated spending, which CEO Elon Musk said would occur as the company works to roll out Robotaxi faster and continue developing its Optimus robot.
The latter two are where Tesla will have to prove progress to investors, as Percoco writes that both projects “will require clearer evidence that Robotaxi is scaling and more tangible Optimus proof points to support the ROI on elevated capex.”
Percoco said the second quarter earnings call did not change his long-term thesis of where Tesla is positioned in the AI race, which is out in front. However, there are concerns that weaker gross margins and higher R&D spend will stress financials, and that has “sharpened our (and investors’) focus on measurable progress across Robotaxi and Optimus.”
Additionally, Robotaxi still needs to be proven with more operation in existing cities while maintaining safety but improving how many rides it gives in any given time, he said. For Optimus, Percoco wrote that he is “still looking for evidence beyond commentary around SOP.”
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Morgan Stanley put Percoco in charge of covering Tesla after long-time analyst Adam Jonas transitioned to the automotive side.
Currently, Morgan Stanley has a $415 price target on Tesla and a ‘Hold’ rating on the stock. It is trading at around $330 at the time of publication, which was 2:30 P.M. on the East Coast.
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.
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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.
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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.
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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.
Tesla has one big financial question to answer for investors: Morgan Stanley
SpaceX AI investment gamble will make it a big winner, firm says
