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How SpaceX became the MyPillow of government contractors

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It really has been something to watch Elon Musk turn SpaceX into the MyPillow of rocket companies, hasn’t it?

Christ, I guess I have to list off all the depressing stuff from the past few months: the Trump rally, the creepy assassination comments, the even creepier comments about impregnating Taylor Swift, spreading hurricane misinformation on X (and thus hindering relief efforts), claiming his own child was “killed” by the “woke mind virus,” that kind of thing. I have seen a lot of people suggest this is political radicalization, and sure, maybe it is. But I can’t help noticing a sick business logic, too.

Musk has figured out he can leverage the culture wars to his advantage

I have never accused Musk of being anything other than self-interested. As I see it, his only real politics are: Elon Musk should get to do whatever he wants, forever. And his latest political outbursts strike me as being clearly connected to his money. He’s come to the same conclusion as Donald Trump, which is that it’s particularly easy to grift Republican voters, and there are lots of rewards and very few consequences for doing so. Donny, these men are nihilists. 

On the face of it, it might look stupid for a businessman to alienate one of the major US political parties. Musk has a long history of taking subsidies from local, state, and federal governments. His business SpaceX is built essentially on agency contracts in the heavily regulated aerospace industry. But I’m guessing Musk has figured out he can leverage the culture wars to his advantage.

Those of you familiar with SpaceX may recall its litany of lawsuits against the government. For instance, in 2005, the company alleged that Boeing and Lockheed Martin had engaged in anticompetitive behavior meant to keep SpaceX from letting its Falcon 9 compete in government contracts. (The Falcon 9 didn’t have its first launch until 2010.)  

And in 2014, Musk sued the US Air Force over a $11 billion sole-source contract awarded to the United Launch Alliance. (The Falcon Heavy wouldn’t have its first launch until 2018.) SpaceX got concessions, dropping the suit after the Air Force agreed to speed up its efforts to certify SpaceX to launch military satellites — and making more launches available for SpaceX to compete on.

These suits got Musk what he wanted

Now I personally, as a woman familiar with the linear concept of time, find these suits odd. How could SpaceX compete using a rocket it hadn’t yet launched? Sure, the “indefinite delivery / indeterminate quantity” contracts existed for the Falcon I, but that wasn’t what SpaceX was suing over. And yet, these suits got Musk what he wanted: more possible government contracts. In fact, such suits have been as much a hallmark of SpaceX as its rockets.

If you are the kind of person who uses lawsuits to get what you want, you may have made note of the fact that Donald Trump appointed 200 federal judges, including “nearly as many powerful federal appeals court judges in four years as Barack Obama appointed in eight,” as Pew Research puts it. In 2021, more than a quarter of active federal judges were Trump appointees. Let’s not pretend that’s insignificant; if it were, the Federalist Society wouldn’t exist. If Musk supports Republicans, they’ll keep appointing judges who believe things that favor Musk — and he might even get lucky and get some blatantly partisan judges, who’d support him because of his affiliation.

Consider Texas, which has taken a real interest in Musk’s affairs. During Musk’s Twitter acquisition, Texas Attorney General Ken Paxton announced an investigation of Twitter bot numbers — an investigation that neatly aligned with the argument Musk was making to try to get out of buying the social media company. Of course, there’s also the Texas judge who owned Tesla stock and greenlit a Musk-backed lawsuit against Media Matters for America. (The judge in question is known for his politically conservative rulings.)

But wait! There’s more. In 2020, SpaceX was awarded almost $900 million in rural broadband subsidies from the FCC under Trump. But in 2022, the Biden-era FCC rescinded that funding since “the applicant had failed to meet its burden.” Two Republican FCC commissioners objected, and now a Republican House Oversight Committee chair is probing the FCC’s decision.

Does this sound cynical? I suppose

Culture war issues are meant to motivate a largely apathetic voter base that doesn’t especially give a shit about government appropriations. They have been used historically by Republicans, starting with Barry Goldwater, in order to enact specific financial policies that have largely hurt lower-class Americans. It seems Musk has paid enough attention to this particular historical quirk to decide the culture war can help him, too.

Does this sound cynical? I suppose. Sincere, coherent political beliefs are largely the province of the bourgeoisie and nerds who paid attention in government class. The Elon Musks of the world are interested in power. Not everything Musk says is necessarily calculated or politically beneficial — his partisan allegiances have also extended to having friendly conversations with mask-off white nationalists and reposting theories that women are incapable of thought. Crucially, however, there are no negative consequences for these actions — only more attention, which seems to be his personal heroin.

Consider the rocket situation. For NASA, Musk is the only game in town besides Boeing, and he knows it. He also knows that even if he publicly misbehaves — smokes weed, for instance — NASA will do nothing punitive. And I do blame the brain geniuses at NASA. Instead of having in-house rockets for launching our spy satellites, we’re now dependent on Boeing (lol, lmao), the United Launch Alliance (a joint venture that includes… Boeing), and SpaceX. (Sure, Jeff Bezos’ also-ran Blue Origin exists, I guess, but come on.) By outsourcing its engineering, NASA put the national security apparatus at the whims of contractors gone wild.

And Musk’s gamble appears to be that being a visible Republican will benefit him more than being neutral, presumably because he assumes, probably correctly, that Democrats won’t punish him for this. So when it comes to, let’s say, SpaceX’s environmental damage, the safety record of Tesla’s “Full Self-Driving,” and working conditions for his employees, aligning with Republicans lets him suggest any examination of his behavior is politically motivated. Convenient, isn’t it?

You can see the ambition even with the social media platform formerly known as Twitter. By courting the right, as he has unquestionably done, he has attempted to create a value proposition for a company he has largely destroyed. The skew also gives him an excuse: if X dies, Musk can claim it wasn’t because it was mismanaged but destroyed by the radical left or whatever. Thanks to his friendly judges, he can even take those “radical left” critics to the cleaners in court!

Look, Musk’s appearance at the Trump rally launched a thousand think pieces and the goofy photo that launched a thousand memes. But to talk about Musk’s political convictions, you have to talk about the only thing he really believes in: money.



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Google inks nuclear deal for next-generation reactors

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Google plans to buy electricity from next-generation nuclear reactors. It announced the deal yesterday, which it says is the world’s first corporate agreement to purchase electricity from advanced small modular reactors (SMRs) that are still under development.

Google inked the deal with engineering company Kairos Power, which plans to get its first SMR up and running by 2030. Google agreed to purchase electricity from “multiple” reactors that would be built through 2035.

Google needs a lot more clean energy to meet its climate goals while pursuing its AI ambitions. New nuclear technologies are still unproven at scale, but the hope is that they can provide carbon pollution-free electricity while solving some of the problems that come with traditional nuclear power plants.

“The trajectory of AI investments has added to the scale of the task needed”

“Obviously, the trajectory of AI investments has added to the scale of the task needed,” CEO Sundar Pichai said in an interview with Nikkei earlier this month. “We are now looking at additional investments, be it solar, and evaluating technologies like small modular nuclear reactors, etc.”

What sets Google apart with this deal is that it’s turning to next-generation reactors rather than traditional nuclear power plants. SMRs are roughly one-tenth to one-quarter the size in comparison. Their size and modular design are supposed to make them cheaper and easier to build and site than their larger predecessors. And unlike solar and wind energy, which fluctuate with the weather and time of day, nuclear power plants can generate electricity around the clock. Even with new reactor designs, however, there are still environmental and health concerns when it comes to mining and enriching uranium for reactors and storing radioactive waste.

The US Nuclear Regulatory Commission certified a design for a small modular reactor for the first time last year. Experts tell The Verge they expect the first SMRs to connect to US power grids in the early 2030s at the earliest, and big tech’s interest in nuclear energy seems to be giving the industry a boost.

Google says its deal with Kairos Power would eventually help bring up to 500MW of carbon-free energy to power grids in the US. Kairos broke ground on its first demonstration reactor in Tennessee in July.

“Having an agreement for multiple deployments is important to accelerate the commercialization of advanced nuclear energy by demonstrating the technical and market viability,” Jeff Olson, Kairos Power vice president of business development and finance, said in a press release.



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SpaceX launches Starship and catches its Super Heavy booster for the first time

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SpaceX launched Starship for its fifth flight test at about 8:25AM ET from its South Texas launch site. The company succeeded in returning the Starship Super Heavy booster to its landing pad, where it was “caught” using arms on the launch tower that SpaceX refers to as the “chopsticks.”

The catch was a first for the booster, which the company hadn’t returned without incident before its previous flight test in June. The company’s next task is to return Starship, which is expected to splash down in the Indian Ocean, as it did before.

Starship’s booster being caught by its launch tower “chopsticks.”
Screenshot: SpaceX livestream

Liftoff was delayed slightly while it cleared boats out of its launch range, pushing the flight test to the edge of its 30-minute launch window. The Federal Aviation Administration gave SpaceX approval for the test flight on Saturday, October 12th. It had originally expected to clear the fifth Starship test in November, but the FAA and its partner agencies reportedly carried out their assessments faster than anticipated.



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Starship’s fifth test flight is approved: where to watch the launch

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SpaceX plans to launch Starship for the fifth time tomorrow, October 13th, during a 30-minute launch window that opens at 8AM ET. That’s after the Federal Aviation Administration (FAA) declared today that the company has “met all safety, environmental and other licensing requirements for the suborbital test flight,” reports Reuters.

The company will livestream the launch, starting about 35 minutes before liftoff. You can catch that on SpaceX’s website or its X account, as well as in the X TV app.

SpaceX’s goal for tomorrow’s flight is to return the Super Heavy booster to its launch site, which hasn’t happened before. It’s shooting for another successful splashdown of Starship in the Indian Ocean, which it pulled off for the first time in its fourth flight test in June.

The FAA’s clearance wasn’t anticipated until November, but the agency and its partner “conducted assessments more quickly than anticipated,” as CNBC reported yesterday. In addition to tomorrow’s planned launch, Reuters writes that the FAA “also approved the Starship 6 mission profile.”



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