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This niche AI play is seeing business growth rates that are triple the pace of the data centers

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This niche AI play is seeing business growth rates that are triple the pace of the data centers


A large hallway with supercomputers inside a server room data center.

Luza Studios | E+ | Getty Images

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As artificial intelligence fuels the boom in data center growth, investors are eyeing a new frontier: the companies keeping these digital powerhouses cool.

nVent Electric, Vertiv and Modine Manufacturing have seen their stocks soar in 2024, buoyed by partnerships with tech giants investing billions in AI infrastructure. Despite the gains, Wall Street believes these cooling leaders have room to run as the fast-growing data center market they serve desperately requires liquid cooling to operate effectively.

Shares of nVent are up 23% this year, while Vertiv and Modine have rallied 133% and 125%, respectively in 2024. Yet there’s been a lot of volatility in stocks with exposure to data centers. All three names experienced massive drawdowns that coincided with Nvidia’s sell-off on Sept. 3 — when the AI darling tumbled 10% in a single session — creating a buying opportunity, according to many analysts.

That’s because historically, data centers used air cooling to manage the heat generated by traditional cloud applications. But as the AI boom continues using new chips like Nvidia’s graphics processing units to train AI models, they’re generating high density computing power, consuming far more energy, and producing more heat in the process. This shift is forcing data center operators to rethink their cooling strategies to help servers run at peak efficiency, and liquid cooling is emerging as the method of choice given it’s 25 times more effective than air-cooling.

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“The reality is data centers cannot run AI processing in any capacity without using liquid cooling,” said Dean Dray, analyst at RBC Capital Markets to CNBC. “The thermal dynamics of the heat generation in the chips have reached the stage where legacy air conditioning is no longer powerful enough for the concentrated heat that gets created.”

Triple data center growth

Vertiv and Modine are legacy air cooling players that entered the liquid cooling market through acquisitions, while nVent is a pioneer. Unlike traditional air cooling — which relies on air conditioners, fans and vents to blow cool air over racks of servers — the technology uses a liquid coolant to absorb and remove heat right where it’s generated.

“The need for liquid cooling is not cannibalizing the need for mechanical (air) cooling,” Matt Summerville, an analyst at D.A. Davidson said in an interview. Instead, he expects data centers will use a hybrid of legacy air conditioning and liquid cooling systems to protect IT equipment from heat damage and for overall environmental control in data centers.

Liquid cooling, still a nascent industry, is growing sales at a rate of 45% a year — three times faster than the 15% growth rate in data centers. The total addressable market for liquid cooling is roughly $3 billion, with about 5% of data centers using it, analysts said. They expect that to accelerate.

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“The AI-driven side of the liquid cooling market is expected to be in 25% of all data centers by 2028,” Summerville said.

A liquid cooling pioneer

As one of the top five companies in the world involved in data center cooling, nVent, is very well positioned to benefit, William Blair analyst Brian Drab said.

The company has been in the liquid cooling business for well over a decade, giving it the time to refine and innovate its products. Originally invented 15 years ago for high-end mechanical equipment, nVent stumbled upon a major opportunity in data center cooling.

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nVent shares year to date

“They invented the liquid cooling business,” RBC Capital Markets analyst Dean Dray said, describing how data center operators discovered nVent’s products were exactly what was needed to cool high-powered servers. This kicked off relationships that nVent has “with literally all of hyperscale players,” and quietly made it a key partner in designing and testing thermal solutions for every generation of GPUs and chips, he explained.

Dray said nVent is “very guarded” about those partnerships, but will eventually need to figure out how to “explain their market presence and all of the hyperscale players they’re doing business with to get investors comfortable that these relationships exist.”

The company’s core product is a coolant distribution unit — what Drab called the “brains of the liquid cooling system connected to the racks in the data center.” This state-of-the-art liquid cooling technology “knows how hot a chip is and delivers liquid to it – and it’s doing it with thousands of chips throughout the data center,” Drab explained. He has an outperform rating on nVent with an $80 price target, or nearly 10% upside from Friday’s close.

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Currently, nVent’s total revenue exposure to data centers is 23%. Half of that comes from liquid cooling, which is growing more than 40% annually. The other half comes from the electrical equipment for data centers, which is growing 15% annually.

A strong backlog of business

Vertiv has a much larger exposure to liquid cooling, with 75% of its revenue tied to data centers. The company entered the market through the acquisition of CoolTerra in December 2023. Before that, it was primarily in legacy air conditioning.

Jefferies’ analyst Saree Boroditsky estimated Vertiv’s data center revenue could grow at a compound annual growth rate of 20% over the next four years, well above the 9% to 12% top line growth management projected at its December 2023 investor day.

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This week, Boroditsky initiated coverage of Vertiv with a buy and a price target of $125, or about 12% from where the stock closed Friday.

The Jefferies analyst expects Vertiv earnings to grow at 24% CAGR through 2027 given its “strong incoming backlog,” which could provide upside to 2025 estimates. Boroditsky also noted the company’s $5 billion balance sheet capacity, which could be used for acquisitions or share buybacks, providing more upside for the stock.

A newcomer to the space

Modine is a third standout that historically had a rapidly growing air-cooling business. The company recently made its way into liquid cooling. In the beginning of 2024, Modine purchased intellectual property assets of TMG Core, a specialist in liquid cooling technology to accelerate data center growth. Modine’s second purchase this year was the addition of Scotts Springfield Manufacturing, a manufacturer of air handling units, adding more products to its data center solutions portfolio.

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These acquisitions will help with Modine’s data center business, which is already on pace to grow about 50% in 2024 as management focuses on higher growth end markets like cooling solutions.

At its investor day on Sept. 11, Modine provided a forecast for top-line CAGR of 18% to 22% through fiscal 2027 in its climate solutions segment where the data center business is housed, above its previous target range of 15% to 20%.

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A major reason behind the higher targets is the expansion of Modine’s partnerships with hyperscalers. The company recently signed a deal with its third major customer.

“Being able to continue to penetrate these AI pioneers is absolutely going to be key for Modine to maintain market growth on an organic basis,” Summerville said. He added, the company is broadening its reach with plans to serve the Asia Pacific market, where data center activity is ramping up.

Another catalyst for Modine is the company’s commitment to having a CDU available in the market by the end of its fiscal year in March. Summerville gauges, “early excitement around the launch of their cooling distribution unit” as big data center players bring more capacity online.

Following Modine’s investor day, Summerville updated his price target on Modine stock to $155 from $140, implying 15% upside from Friday’s close, while maintaining a buy rating on shares.

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Renowned scientist’s ashes dropped into eye of Category 5 Hurricane Milton as lasting tribute

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Renowned scientist's ashes dropped into eye of Category 5 Hurricane Milton as lasting tribute


As an award-winning scientist, Peter Dodge had made hundreds of flights into the eyes of hurricanes — almost 400. On Tuesday, a crew on a reconnaissance flight into Hurricane Milton helped him make one more, dropping his ashes into the storm as a lasting tribute to the longtime National Oceanic and Atmospheric Administration radar specialist and researcher.

“It’s very touching,” Dodge’s sister, Shelley Dodge, said in an interview Thursday with The Associated Press. “We knew it was a goal of NOAA to make it happen.”

The ashes were released into the eye of the hurricane Tuesday night, less than 24 hours before Milton made landfall in Siesta Key near Sarasota, Florida. An in-flight observations log, which charts information such as position and wind speed, ended with a reference to Dodge’s 387th — and final — flight.

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“He’s loved that aspect of his job,” Shelley Dodge said. “It’s bittersweet. On one hand, a hurricane’s coming and you don’t want that for people. But on the other hand, I really wanted this to happen.”

Hurricane Milton Ashes Weather
 A NOAA crew on a reconnaissance flight, Tuesday, Oct. 8, 2024, into the eye of Hurricane Milton in the Gulf of Mexico, gather before dropping a package containing the ashes of Peter Dodge, an award-winning scientist who made almost 400 hundred flights into the eyes of hurricanes, as a lasting tribute to the longtime radar specialist and researcher. 

Sim Aberson / NOAA via AP


Dodge died in March 2023 at age 72 of complications from a fall and a stroke, his sister said.

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The Miami resident spent 44 years in federal service. Among his awards were several for technology used to study Hurricane Katrina’s destructive winds in 2005.

He also was part of the crew aboard a reconnaissance flight into Hurricane Hugo in 1989 that experienced severe turbulence and saw one of its four engines catch fire.

“They almost didn’t get out of the eye,” Shelley Dodge said.

Items inside the plane were torn loose and tossed about the cabin. After dumping excess fuel and some heavy instruments to enable the flight to climb further, an inspection found no major damage to the plane and it continued on. The plane eventually exited the storm with no injuries to crew members, according to NOAA.

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A degenerative eye disorder eventually prevented Dodge from going on further reconnaissance flights.

Shelley Dodge said NOAA had kept her informed on when her brother’s final mission would occur and she relayed the information to relatives.

“There were various times where they thought all the pieces were going to fall in place but it had to be the right combination, the research flight. All of that had to come together,” she said. “It finally did on the 8th. I didn’t know for sure until they sent me the official printout that showed exactly where it happened in the eye.”

Dodge had advanced expertise in radar technology with a keen interest in tropical cyclones, according to a March 2023 newsletter by NOAA’s Atlantic Oceanographic and Meteorological Laboratory announcing his death.

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The newsletter said colleagues were “saddened by the sudden and tragic loss of one of its longtime meteorologists,” who died peacefully on March 3. 

He collaborated with the National Hurricane Center and Aircraft Operations Center on airborne and land-based radar research. During hurricane aircraft missions, he served as the onboard radar scientist and conducted radar analyses. Later, he became an expert in radar data processing, the newsletter said. He received a Department of Commerce Bronze Medal, two NOAA Administrator Awards and the Army Corp of Engineers Patriotic Civilian Service Award.

Dodge’s ashes were contained in a package. Among the symbols draped on it was the flag of Nepal, where he spent time as a Peace Corps volunteer teaching math and science to high school students before becoming a meteorologist.

Hurricane specialist Michael Lowry shared a photo on social media of the NOAA log noting the ashes were dropped calling it a “beautiful tribute.”

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An avid gardener, Dodge also had a fondness for bamboo and participated in the Japanese martial art Aikido, attending a session the weekend before he died.

“He just had an intellectual curiosity that was undaunted, even after he lost his sight,” Shelley Dodge said.

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How unusual has it been?

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How unusual has it been?


NASA/ISS Image of Hurricane Milton from spaceNASA/ISS

Hurricanes Helene and Milton – which have devastated parts of the south-east United States – have bookended an exceptionally busy period of tropical storms.

In less than two weeks, five hurricanes formed, which is not far off what the Atlantic would typically get in an entire year.

The storms were powerful, gaining strength with rapid speed.

Yet in early September, when hurricane activity is normally at its peak, there were peculiarly few storms.

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So, how unusual has this hurricane season been – and what is behind it?

The season started ominously. On 2 July, Hurricane Beryl became the earliest category five hurricane to form in the Atlantic on records going back to 1920.

Just a few weeks earlier in May, US scientists had warned the 2024 season from June to November could be “extraordinary”.

It was thought that exceptionally warm Atlantic temperatures – combined with a shift in regional weather patterns – would make conditions ripe for hurricane formation.

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So far, with seven weeks of the official season still to go, there have been nine hurricanes – two more than the Atlantic would typically get.

Bar chart showing number of named storms in the Atlantic since 1990. There is large variation from year to year, with 2005 and 2020 standing out as being particularly active seasons. Between 17 and 25 storms were forecast for 2024.

However, the total number of tropical storms – which includes hurricanes but also weaker storms – has been around average, and less than was expected at the start of the year.

After Beryl weakened, there were only four named storms, and no major hurricanes, until Helene became a tropical storm on 24 September.

That is despite warm waters in the tropical Atlantic, which should favour the growth of these storms.

Across the Main Development Region for hurricanes – an area stretching from the west coast of Africa to the Caribbean – sea surface temperatures have been around 1C above the 1991-2020 average, according to BBC analysis of data from the European climate service.

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Atlantic temperatures have been higher over the last decade, mainly because of climate change and a natural weather pattern known as the Atlantic Multidecadal Oscillation.

Map showing average sea surface temperatures across the Main Development Region for hurricanes in the Atlantic, where storms tend to form and get more powerful as they travel west, thanks to energy from warm seas. Temperatures have been higher than normal, marked by oranges. Below is a graph showing increasing temperatures in this region over this period since 1940, marked by a shift from blue to red.

The recipe for hurricane formation involves a complex mix of ingredients beyond sea temperatures, and these other conditions were not right.

“The challenge [for forecasting] is that other factors can change quickly, on the timescale of days to weeks, and can work with or against the influence of sea surface temperatures,” explains Christina Patricola, associate professor at Iowa State University.

Researchers are still working to understand why this was the case, but likely reasons include a shift to the West African monsoon and an abundance of Saharan dust.

These both hampered storm development by creating unfavourable conditions in the atmosphere.

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But even during this period, scientists were warning that the oceans remained exceptionally warm and that intense hurricanes were still possible through the rest of the season.

And in late September, they came.

Chart showing when major hurricanes have occurred since 1940, divided into category three, four and five. Most storms have occurred around early September, shown by a high concentration of dots in the centre. Hurricane Beryl formed particularly early and is shown on the left, while Helene, Kirk and Milton formed after the usual peak, so are slightly to the right.

Starting with Helene, six tropical Atlantic storms were born in quick succession.

Fuelled by very warm waters – and now more favourable atmospheric conditions – these storms strengthened, with five becoming hurricanes.

Four of these five underwent what is known as “rapid intensification”, where maximum sustained wind speeds increase by at least 30 knots (35mph; 56km/h) in 24 hours.

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Historical data suggests that only around one in four hurricanes rapidly intensify on average.

Rapid intensification can be particularly dangerous, because these quickly increasing wind speeds can give communities less time to prepare for a stronger storm.

Hurricane Milton strengthened by more than 90mph in 24 hours – one of the fastest such cases of intensification ever recorded, according to BBC analysis of data from the National Hurricane Center.

Graph showing the nine hurricanes so far in 2024, arranged by their date, and maximum sustained wind speed. After Beryl in June/July, there was a gap until Debby and Ernesto in August, followed by another gap to Francine in early September and another gap until Helene in late September. Thereafter, Isaac, Kirk, Leslie and Milton formed in quick succession. Beryl and Milton were the two strongest hurricanes, so peak highest on the graph.

Scientists at the World Weather Attribution group have found that the winds and rain from both Helene and Milton were worsened by climate change.

“One thing this hurricane season is illustrating clearly is that the impacts of climate change are here now,” explains Andra Garner from Rowan University in the US.

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“Storms like Beryl, Helene, and Milton all strengthened from fairly weak hurricanes into major hurricanes within 12 hours or less, as they travelled over unnaturally warm ocean waters.”

Milton also took an unusual, although not unprecedented, storm path, tracking eastward through the Gulf of Mexico, where waters have been exceptionally warm.

“It is very rare to see a [category] five hurricane appearing in Gulf of Mexico,” says Xiangbo Feng, research scientist in tropical cyclones at the University of Reading.

Warmer oceans make stronger hurricanes – and rapid intensification – more likely, because it means storms can pick up more energy, potentially leading to higher wind speeds.

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What about the rest of the season?

US forecasters are currently watching an area of thunderstorms located over the Cabo Verde Islands off the west coast of Africa.

This could develop into another tropical storm over the next couple of days, but that remains uncertain.

As for the rest of the season, high sea surface temperatures remain conducive for further storms.

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There is also the likely development of the natural La Niña weather phenomenon in the Pacific, which often favours Atlantic hurricane formation as it affects wind patterns.

But further activity will rely on other atmospheric conditions remaining favourable, which are not easy to predict.

Either way, this season has already highlighted how warm seas fuelled by climate change are already increasing the chances of the strongest hurricanes – something that is expected to continue as the world warms further.

“Hurricanes occur naturally, and in some parts of the world they are regarded as part of life,” explains Kevin Trenberth, a distinguished scholar at the National Center for Atmospheric Research in Boulder, Colorado, USA.

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“But human-caused climate change is supercharging them and exacerbating the risk of major damage.”



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WTI, Brent head to small weekly gain

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WTI, Brent head to small weekly gain


2025 will 'definitely' be a problematic year for oil, says OPIS' Tom Kloza

U.S. crude oil on Friday was on pace to eek out its second weekly gain in a row as Israel prepares to retaliate against Iran.

The U.S. benchmark has gained 1% this week, while global benchmark Brent is ahead 0.8%. Oil prices have gained more than 10% through Thursday’s close since Iran hit Israel with ballistic missiles last week.

“Nevertheless, sustaining bullish price momentum in oil has proven to be a high maintenance task: without additional catalysts, the ‘war’ and ‘stimulus’ premiums have shown easy susceptibility to fading,” Natasha Kaneva, head of global commodity strategy at JP Morgan, told clients in a Friday note.

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Here are Friday’s energy prices:

  • West Texas Intermediate November contract: $75.21 per barrel, down 64 cents, or 0.84%. Year to date, U.S. crude oil has gained nearly 5%.
  • Brent December contract: $78.77 per barrel, down 63 cents, or 0.79%. Year to date, the global benchmark has increased about 2%.
  • RBOB Gasoline November contract:  $2.1414 per gallon, down 0.44%. Year to date, gasoline is ahead 1.7%.
  • Natural Gas November contract: $2.685 per gallon, up 0.37%. Year to date, gas has risen about 6%.

Israel’s security cabinet met Thursday to discuss the country’s response to Iran’s attack, according to media reports. President Joe Biden and Prime Minister Benjamin Netanyahu spoke by phone on Wednesday.

Traders have worried that Israel will hit Iran’s oil industry, potentially triggering a cycle of escalation that causes a significant disruption of supplies in the Middle East. Biden has discouraged Israel from targeting Iran’s oilfields. The Arab Gulf states have also reportedly lobbied the White House to pressure Israel to refrain from hitting Iranian energy infrastructure.

“We expect that the White House is potentially encouraging Israel to target refineries instead of oil export facilities, arguing that the economic impact would be more directly felt by Iran,” Helima Croft, head of global commodities strategy at RBC Capital Markets told clients in a Thursday note.

Croft warned, however, that the U.S. influence may have waned since April, when Israel’s response to Iran’s first missile and drone attack was relatively muted.

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Don’t miss these energy insights from CNBC PRO:



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Tiniest ‘ruler’ ever measures distances as small as an atom’s width

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Tiniest 'ruler' ever measures distances as small as an atom's width


This fluorescent technique can precisely measure minuscule distances

Steffen J. Sahl / Max Planck Institute for Multidisciplinary Sciences

The tiniest “ruler” ever is so precise that it can measure the width of a single atom within a protein.

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Proteins and other large molecules, or macromolecules, sometimes fold into the wrong shape, and this can affect the way they function. Some structural changes even play a role in conditions like Alzheimer’s disease. To understand this process, it is important to determine the exact distance between atoms – and clusters of atoms – within these macromolecules, says Steffen Sahl at the Max Planck Institute for Multidisciplinary Sciences in Germany.

“We wanted to go from a microscope that maps positions of macromolecules relative to each other, to taking this bold step of going within the macromolecule,” he says.

To construct their intramolecular “ruler”, Sahl and his colleagues used fluorescence, or the fact that some molecules glow when illuminated. They attached two fluorescent molecules to two different points on a larger protein molecule and then used a laser beam to illuminate them. Based on the light the glowing molecules released, the researchers could measure the distance between them.

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They used this method to measure distances between the molecules of several well-understood proteins. The smallest of those distances was just 0.1 nanometres – the width of a typical atom. The fluorescent ruler also gave accurate measurements up to about 12 nanometres, meaning it had a broader measuring range than can be achieved with many traditional methods.

In one example, the researchers looked at two different forms of the same protein and found that they could distinguish between them because the same two points were 1 nanometre apart for one shape and 4 nanometres apart for the other. In another experiment, they measured tiny distances in a human bone cancer cell.

Sahl says the team achieved this precision by taking advantage of several recent technological advances, like better microscopes and fluorescent molecules that don’t flicker and don’t produce a glow that could be confused with some other effect.

“I don’t know how they got their microscopes so stable. The new technique is definitely a technical advance,” says Jonas Ries at the University of Vienna in Austria. But future studies will have to determine for which exact molecules it will prove most useful as a source of information for biologists, he says.

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“While it boasts impressive precision, the new method may not necessarily achieve the same level of detail, or resolution, when applied to more complex biological systems,” says Kirti Prakash at The Royal Marsden NHS Foundation Trust and Institute of Cancer Research in the UK. Additionally, he says that several other new techniques are already becoming competitive in terms of measuring smaller and smaller distances.

Sahl says his team will now work on two tracks: refining the method further and expanding their ideas about which macromolecules they can now peer inside.

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What is Elon Musk’s Starship space vehicle?

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Getty Images Starship rocket launching into space with trail of fuel behind itGetty Images

Elon Musk wants his new rocket to revolutionise spaceflight. And that rocket, Starship, is now the largest and most powerful spacecraft ever built.

It’s also designed to be fully and rapidly reusable. His private company SpaceX, which is behind the creation, is hoping to develop a spaceship that can be used more like a plane than a traditional rocket system, being able to land, refuel and take off again a few hours after landing.

When will Starship’s next launch be?

While there’s no exact date set yet for the rocket’s next flight, it could be as soon as this weekend – and SpaceX is expecting big things.

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This will be Starship’s fifth outing, and all eyes will be on the landing phases – specifically, the return of the vehicle’s bottom part, the Super Heavy booster.

So far we’ve only seen what might be called a simulated landing at sea, or ‘splashdown’. This will be the first time we hope to see the booster return to the launch pad.

For a spacecraft to be reusable, it needs to be able to land safely.

The SpaceX founder has said they will try to catch the booster in mid-air on its return to Earth using the giant mechanical arms, or ‘chopsticks’, of the launch tower – or as Musk calls it, “Mechazilla”.

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That’s something that’s never been done before, and eventually SpaceX want to catch the Ship – the top part of the vehicle – in the same way. But that won’t happen on the upcoming test flight.

Will Starship go to Mars?

None of Starship’s missions so far have been crewed, and there’s no plans to put people aboard for the next flight either.

But Musk and his company do have grand designs that the rocket system will one day take humanity to Mars.

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A Mars trip isn’t on the horizon just yet. But the behemoth rocket already has some impressive specs, and dwarfs all of its predecessors.

How big and powerful is Starship?

A side by side comparison of Starship with notable former rocket models, including NASA's Saturn V

Starship is the largest and most powerful rocket system which has ever flown

Starship is a two-stage vehicle. The “Ship” is the uppermost part, and that sits atop a booster called Super Heavy.

Thirty-three engines at the base of this booster produce around 74 meganewtons of thrust. To put that into perspective, it’s almost 700 times as powerful as the thrust generated by the common passenger plane, the Airbus A320neo.

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If you’ve flown with Aer Lingus, British Airways or Lufthansa, imagine the kick of taking off in one of those planes. Then multiply that by 700.

The vehicle has grown about a metre since its second test flight in June of this year, with Starship now measuring just over 120m in total.

This additional height comes from the Super Heavy booster itself being made 1m longer.

A diagram showing Starship being assembled on the launchpad using the launch tower

It’s also about twice as powerful as the Saturn V rocket which first took humanity to the Moon’s surface.

SpaceX says that power should be able to move a payload weighing at least 150 tonnes from the launchpad to low-Earth orbit.

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A visual aid showing Starship resting on the launchpad beside the launch tower, with details of Starship's technical specifications

The mechanical chopsticks of the launch tower are used to lift Starship’s parts into position

Both the Ship and the Super Heavy booster are fuelled with a mixture of icy-cold liquid methane and liquid oxygen fuel, known as methalox.

What has Starship done so far?

Starship has had four test flights up to now. During the first flight, the rocket system exploded early, before the Booster was able to separate.

It’s worth noting that such hiccups are part of SpaceX’s plan to speed up development by launching systems they know are not perfect and learning from the faults.

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And each test has seen real progress – first with a hitch-free separation, and eventually a successful return, where both the Ship and the Booster made a controlled descent and hovered above the Indian Ocean and Gulf of Mexico respectively until splashing down.

Getty Images Fire and smoke hang in the sky after Starship's explosion.Getty Images

Fire and smoke hung in the sky after Starship ultimately exploded after a successful separation during its second outing

How does Starship land?

SpaceX A Super Heavy booster is worked on at Starbase in TexasSpaceX

A Super Heavy booster is worked on at Starbase in Texas

Anyone watching nearby as the booster returns to Earth can expect a thunderous boom as it slows down from supersonic speeds.

While SpaceX plan to catch the booster with the launch tower, we won’t get a similar return of the top part – the Ship – this time. When we do, it shouldn’t look too different from the Super Heavy’s descent.

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But since there’s no launch tower on Mars, or on the Moon for that matter, the Ship also needs to be able to land on its legs.

To do that, it manoeuvres itself horizontally as it starts to descend, in what Musk has called a ‘belly-flop’ manoeuvre. This increases the drag on the vehicle, slowing it down.

SpaceX Starship performing a "belly flop" manuever while falling back to Earth before firing its engines to flip it into the vertical position
SpaceX

Starship “belly flops” back to Earth before firing its engines to flip it into the vertical position

Once the Ship gets close enough to the surface, it’s then slow enough to fire its engines in a way that flips the vehicle into a vertical position.

The Ship then uses its rockets to guide itself down safely and land on a hard pad upon its landing legs.

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All of this has been done by the Ship on its previous flight – apart from landing on a pad. So far it has only landed in the sea.

A 4-panel image showing the Ship part of Starship returning from Earth and being caught by the launch tower's mechanical arms

SpaceX hope to eventually catch the Ship using the arms of the launch tower – but they’ll only try to catch the booster this way on the next test flight

What are the challenges?

One of the purposes of test flying is to highlight problem areas, and the quick turnaround between each test flight means that weak links have to be redesigned at lightning speed.

If you get one thing wrong, the entire internal structure of the rocket could be melted by hot gases.

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SpaceX The "Ship" is stacked on top of the Super Heavy booster. The fins sticking out from the booster help steer it back to Earth.SpaceX

What else will Starship be used for?

There are a few things Starship could be used for soon.

So far Musk has used his own rockets, like the Falcon 9 series, to launch his own commercial satellites, known as Starlink.

Those satellites have a short lifespan of around five years, and the flock in orbit needs to be constantly replenished just to keep the same number of satellites in space.

Getty Images People watch from Cape Canaveral, Florida, as SpaceX launch 49 Starlink satellites on board a Falcon 9 rocket Getty Images

People watch from Cape Canaveral, Florida, as SpaceX launch 49 Starlink satellites on board a Falcon 9 rocket

Nasa also wants to use Starship as part of its Artemis programme, which aims to establish a long-term human presence on the Moon.

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NASA An artistic rendering of Starship on the Moon bearing the USA flag.NASA

NASA has plans to use Starship for a lunar mission in 2026

In the more distant future, Musk wants Starship to make long-haul trips to Mars and back – about a nine month trip each way.

“You could conceivably have five or six people per cabin, if you really wanted to crowd people in. But I think mostly we would expect to see two or three people per cabin, and so nominally about 100 people per flight to Mars,” Musk said.

The idea is to send the Ship part of the vehicle into low-Earth orbit, and “park” it there. It could then be refuelled in orbit by a SpaceX ‘tanker’ – essentially another Ship without the windows – for its onward journey to Mars.

It’s also conceivable that Starship could be used to launch space telescopes.

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The Hubble telescope is about the size of a bus, and the James Webb telescope is almost three times as big as that.

To put up thousands of satellites quickly, or a bigger telescope, you need a big rocket.

Finally, Starship has also been built to carry heavy loads needed to build space stations, and eventually, infrastructure for a human presence on the Moon.

How much greenhouse gas does Starship emit?

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A rocket that kicks 700 times harder than a passenger jet is bound to have some impact on the environment.

A draft environmental report by the US Federal Aviation Administration (FAA) released in July shows that the new licence SpaceX is applying for would allow them 25 launches of Starship per year.

The FAA say this would emit a total of 97,342 tonnes of CO2 equivalent – or 3,894 tonnes per launch.

In comparison, a typical car in the US emits about 4.6 tonnes of CO2 per year, according to the US Environmental Protection Agency.

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If we crunch the numbers, that means one launch of Starship emits as much greenhouse gas as 846 cars would emit over the course of a year.

From a sheer numerical standpoint, that’s fairly insignificant compared to say, the commercial aviation industry.

But with Musk hoping to increase the number of launches to potentially hundreds per year in the future, those numbers could start adding up.



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Wall Street analysts downgrade Honeywell. We think they’re making a mistake.

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Wall Street analysts downgrade Honeywell. We think they're making a mistake.


Honeywell International Inc. signage is displayed on a monitor on the floor of the New York Stock Exchange (NYSE) in New York.

Michael Nagle | Bloomberg | Getty Images

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Honeywell stock received a rare downgrade from JPMorgan on Thursday. It’s the first time in more than a decade that analysts at the firm lowered their rating.



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