Monday, August 3, 2026

Policy & Regulation

SpaceX faces FAA investigation after Starship booster failure

The FAA has ordered SpaceX to investigate a Starship booster failure, pausing test flights and potentially impacting the company's timeline for its anticipated mid-June IPO.

SpaceX faces FAA investigation after Starship booster failure

The Federal Aviation Administration (FAA), the US aviation regulator, has ordered SpaceX to investigate the failure of its Starship V3 booster during a test flight on May 22. This regulatory order forces SpaceX to pause further Starship test launches until the investigation is completed and approved by the FAA. “After a thorough assessment of the operation, the FAA has determined the May 22 SpaceX Starship Flight 12 launch resulted in a mishap. The mishap involved the Super Heavy booster as it flew back to the Gulf of America after stage separation. There are no reports of public injury or damage to public property,” the FAA, the Federal Aviation Administration, stated.

The incident occurred during Flight 12, which was the first launch of the upgraded version of the rocket system, following 11 previous test flights. While the booster successfully separated from the ship, it experienced an apparent engine failure after separating from the ship as it flew back toward South Texas. This caused the booster to tumble toward the Gulf of America, most likely exploding on impact. Additionally, the Starship vehicle itself experienced a failure after separation, losing one of its six Raptor rocket engines. This loss contributed to SpaceX abandoning its goal of performing a sustained burn in orbit.

This regulatory pause diminishes the chance of another launch occurring before SpaceX’s anticipated Initial Public Offering (IPO) in mid-June. The delay comes at a critical time, as SpaceX is reliant on Starship becoming reliable and reusable to grow its Starlink satellite internet service. The regulator’s active oversight is not unique to SpaceX; the agency has also ordered rival aerospace company Blue Origin to conduct similar mishap investigations during the development of its New Glenn rocket. The FAA cleared New Glenn to fly last week, ahead of a fourth New Glenn launch attempt, which Blue Origin is expected to perform in the next month or so.

Why it matters

The FAA’s investigation forces a pause in SpaceX’s test program, creating uncertainty for the company’s launch cadence just as it approaches a critical mid-June IPO.