However, the rocket system's upper stage, which was packed with upgrades for the flight test, did not survive the launch and appeared to break apart over the Gulf of Mexico or the Caribbean Sea. SpaceX confirmed on the live broadcast that the spacecraft's engines started to go out prior to planned engine cut-off and Starship later stopped delivering telemetry data.

The "rapid unscheduled disassembly" was likely caused by a propellant leak, Elon Musk said, and was captured on video by spectators on the ground.