From the SpaceX status page:
"For the last few months, optional activities such as website updates have gone on the back burner while we finished the regeneratively cooled Merlin 1C engine, got the Falcon 9 first stage integrated, proof tested and fired, signed up our first GTO (geostationary transfer orbit) customer - Avanti Communications Group, and took our COTS system past the big CDR milestone."
Signing a contract for placement into a geostationary orbit is huge! I'm really hoping these folks don't spend all their capital on development of bigger engines without establishing the operational business that will generate revenue. They seem to be looking to raise $100M in the first half of 2008, hopefully that will happen and keep this company going to profitability.