The upper stage, meanwhile, appeared to fly normally until a telemetry display on SpaceX's webcast indicated that one of the ship's six engines shut off more than seven minutes after liftoff. The display then showed more engines failing, and the data stream froze.

In an update posted on SpaceX's website later Thursday evening, officials said ground teams lost contact with the spacecraft approximately eight and a half minutes into the flight. At the time, information on SpaceX's live video stream showed the vehicle was traveling at about 13,246 mph (21,317 km/hr) at an altitude of about 91 miles (146 kilometers).

"Initial data indicates a fire developed in the aft section of the ship, leading to a rapid unscheduled disassembly with debris falling into the Atlantic Ocean within the predefined hazard areas," SpaceX officials wrote in the update.

The falling debris caused air traffic controllers to divert or reroute commercial flights over the Caribbean and the Atlantic Ocean, according to the Federal Aviation Administration.

Air traffic controllers have the ability to activate a "Debris Response Area" if a spacecraft experiences an anomaly with debris falling outside of identified closed aircraft hazard areas, where the FAA notifies pilots in advance about the risk of reentering space junk. Activating a Debris Response Area "allows the FAA to direct aircraft to exit the area and prevent others from entering," the statement read.

This is what the FAA did Thursday evening. Air traffic controllers closed a swath of airspace between the Turks and Caicos Islands, the Dominican Republic, and Puerto Rico to commercial air traffic for more than an hour, causing some passenger airline flights to enter a holding pattern, return to their departure airports, land at alternate airfields, or delay their takeoffs.