With the second launch of the SpaceX Falcon 9 and the first launch of the SpaceX Dragon, SpaceX becomes the first private company to successfully launch, orbit and recover a spacecraft.

SpaceX COTS Demo Flight 1 was the first orbital spaceflight of the Dragon cargo spacecraft, and the second overall flight of the Falcon 9 rocket manufactured by SpaceX. It was also the first demonstration flight for NASA's Commercial Orbital Transportation Services (COTS) program. The primary mission objectives were to test the orbital maneuvering and reentry of the Dragon capsule. The mission also aimed to test fixes to the Falcon 9 rocket, particularly the unplanned roll of the first stage that occurred during flight 1. Liftoff occurred on 8 December 2010 at 15:43 UTC.The success of the mission allowed SpaceX to advance its vehicle testing plan. With two back-to-back "near-perfect" Falcon 9 launches and satisfactory tests of the first Dragon capsule, SpaceX "asked NASA to combine objectives laid out for the remaining two COTS missions... and permit a berthing at the ISS during its next flight". This combined test mission was completed in May 2012, and achieved its objectives, opening the path to regular cargo deliveries by Dragon to the International Space Station (ISS) under the Commercial Resupply Services (CRS) contract. Commercial flights started in October 2012 with CRS-1.