The Starship launched on Friday as part of the companies 12th test flight, to eventually land on Mars.
During the flight, the spacecraft successfully separated from its booster and deployed a series of test payloads designed to simulate satellite launches.
However, engineers confirmed that one of the rocket’s engines failed during ascent, placing additional stress on the remaining systems.
SpaceX have stated that this malfunction was the cause of the unexpected explosion.
Due to the engine malfunction the Starship was not in the correct orbit to return.
The booster of the Starship fell uncontrolled into the Gulf of Mexico before the Starship returned to the Indian Ocean where it subsequentley burst into flames.
The Starship was designed to be reusable, however its untimely end has led to spaceX deeming it un recoverable.
Musk has remained undeterred by the ships fate calling it "epic" and telling his team "you scored a goal for humanity" via X.
SpaceX is still taking reservation for private flights to the moon and Mars.
