TIMES.KY

Cayman Islands, Caribbeanand International News
Wednesday, Feb 28, 2024

Musk Tells SpaceX Team Company Is on Verge of Bankruptcy Amid Troubled Engine Production - Report

Musk Tells SpaceX Team Company Is on Verge of Bankruptcy Amid Troubled Engine Production - Report

SpaceX, which employs 7,000 people, is valued at more than $100 billion. NASA has awarded it a $2.9 billion contract to create a lunar lander capable of carrying astronauts to the moon. However, the current production situation presents a significant obstacle to achieving that goal by the intended date.

Elon Musk, the CEO of SpaceX, sent an agitated email to his employees on Friday, encouraging them to work on SpaceX's Raptor engine line over the weekend and calling the production situation a "crisis," Space Explore reported.

According to the report, citing an obtained internal email, Musk stated that the company faced a "genuine risk of bankruptcy" if production of the company's new engine for the Starship rocket does not grow to accommodate a high flight rate of "at least once every two weeks" next year.

"The Raptor production crisis is much worse than it seemed a few weeks ago," Musk emphasized. "We face genuine risk of bankruptcy if we cannot achieve a Starship flight rate of at least once every two weeks next year."

SpaceX is working on a huge next-generation rocket called Starship that will be used to launch freight and people on missions to the Moon and Mars. The firm is testing prototypes at a facility in southern Texas and has already completed several short test flights. However, in order to advance to orbital launches, each rocket prototype will require up to 39 Raptor engines, necessitating a rapid increase in engine production.

The company's boss revealed to his team that he had planned to take the extended Thanksgiving holiday off, his "first weekend off in a long time." But when he discovered how serious the Raptor engine problem was, he changed plans and worked through Friday night and into the weekend.

"Unless you have critical family matters or cannot physically return to Hawthorne, we need all hands on deck to recover from what is, quite frankly, a disaster," Musk wrote.

Earlier, Musk reportedly said that SpaceX plans to launch its Starship rocket into orbit in January from its Boca Chica, Texas, base. Musk had stated that he was unsure if Starship will be able to reach orbit on its maiden attempt. However, he stated that he is "certain" that the rocket would reach space in 2022.

According to Musk, "at least 90%" of Starship's development has been "internally funded thus far."

According to a CNBC report, Will Heltsley, SpaceX's vice president of propulsion, left the company earlier this month, causing a stir. Heltsley was removed from the company's Raptor development line before leaving.

Nevertheless, it is difficult to say whether SpaceX is actually in deep trouble. Musk replied to the email's coverage later on Tuesday, suggesting that bankruptcy is unlikely but not unthinkable in the event of a major global recession.


SpaceX designs the Starship spacecraft, as well as its rockets and boosters, to be totally reusable. Falcon 9 rockets are only partially reusable at the moment.

While the booster and upper component of the rocket can be landed and relaunched, the upper portion of the rocket cannot.

SpaceX defeated Jeff Bezos' Blue Origin in early November, which tried unsuccessfully to halt the contract through the courts. In the satellite internet space, Bezos and Musk are competing to provide a high-speed internet connection to clients from low orbit.

So far, SpaceX has put 1,700 Starlink satellites into orbit, according to the company. It has so far attracted 140,000 monthly users who pay $99 each.

Amazon, Bezos' online retailer, is planning to launch Project Kuiper prototype satellites in the fourth quarter of 2022. At a cost of $10 billion, Amazon intends to have 3,236 satellites in low Earth orbit.

Newsletter

Related Articles

TIMES.KY
0:00
0:00
Close
Paper straws found to contain long-lasting and potentially toxic chemicals - study
FTX's Bankman-Fried headed for jail after judge revokes bail
Blackrock gets half a trillion dollar deal to rebuild Ukraine
Israel: Unprecedented Civil Disobedience Looms as IDF Reservists Protest Judiciary Reform
America's First New Nuclear Reactor in Nearly Seven Years Begins Operations
Southeast Asia moves closer to economic unity with new regional payments system
Today Hunter Biden’s best friend and business associate, Devon Archer, testified that Joe Biden met in Georgetown with Russian Moscow Mayor's Wife Yelena Baturina who later paid Hunter Biden $3.5 million in so called “consulting fees”
Singapore Carries Out First Execution of a Woman in Two Decades Amid Capital Punishment Debate
Google testing journalism AI. We are doing it already 2 years, and without Google biased propoganda and manipulated censorship
Unlike illegal imigrants coming by boats - US Citizens Will Need Visa To Travel To Europe in 2024
Musk announces Twitter name and logo change to X.com
The politician and the journalist lost control and started fighting on live broadcast.
The future of sports
Unveiling the Black Hole: The Mysterious Fate of EU's Aid to Ukraine
Farewell to a Music Titan: Tony Bennett, Renowned Jazz and Pop Vocalist, Passes Away at 96
Alarming Behavior Among Florida's Sharks Raises Concerns Over Possible Cocaine Exposure
Transgender Exclusion in Miss Italy Stirs Controversy Amidst Changing Global Beauty Pageant Landscape
Joe Biden admitted, in his own words, that he delivered what he promised in exchange for the $10 million bribe he received from the Ukraine Oil Company.
TikTok Takes On Spotify And Apple, Launches Own Music Service
Global Trend: Using Anti-Fake News Laws as Censorship Tools - A Deep Dive into Tunisia's Scenario
Arresting Putin During South African Visit Would Equate to War Declaration, Asserts President Ramaphosa
Hacktivist Collective Anonymous Launches 'Project Disclosure' to Unearth Information on UFOs and ETIs
Typo sends millions of US military emails to Russian ally Mali
Server Arrested For Theft After Refusing To Pay A Table's $100 Restaurant Bill When They Dined & Dashed
The Changing Face of Europe: How Mass Migration is Reshaping the Political Landscape
China Urges EU to Clarify Strategic Partnership Amid Trade Tensions
Europe is boiling: Extreme Weather Conditions Prevail Across the Continent
The Last Pour: Anchor Brewing, America's Pioneer Craft Brewer, Closes After 127 Years
Democracy not: EU's Digital Commissioner Considers Shutting Down Social Media Platforms Amid Social Unrest
Sarah Silverman and Renowned Authors Lodge Copyright Infringement Case Against OpenAI and Meta
Italian Court's Controversial Ruling on Sexual Harassment Ignites Uproar
Why Do Tech Executives Support Kennedy Jr.?
The New York Times Announces Closure of its Sports Section in Favor of The Athletic
BBC Anchor Huw Edwards Hospitalized Amid Child Sex Abuse Allegations, Family Confirms
Florida Attorney General requests Meta CEO's testimony on company's platforms' alleged facilitation of illicit activities
The Distorted Mirror of actual approval ratings: Examining the True Threat to Democracy Beyond the Persona of Putin
40,000 child slaves in Congo are forced to work in cobalt mines so we can drive electric cars.
BBC Personalities Rebuke Accusations Amidst Scandal Involving Teen Exploitation
A Swift Disappointment: Why Is Taylor Swift Bypassing Canada on Her Global Tour?
Historic Moment: Edgars Rinkevics, EU's First Openly Gay Head of State, Takes Office as Latvia's President
Bye bye democracy, human rights, freedom: French Cops Can Now Secretly Activate Phone Cameras, Microphones And GPS To Spy On Citizens
The Poor Man With Money, Mark Zuckerberg, Unveils Twitter Replica with Heavy-Handed Censorship: A New Low in Innovation?
Unilever Plummets in a $2.5 Billion Free Fall, to begin with: A Reckoning for Misuse of Corporate Power Against National Interest
Beyond the Blame Game: The Need for Nuanced Perspectives on America's Complex Reality
Twitter Targets Meta: A Tangle of Trade Secrets and Copycat Culture
The Double-Edged Sword of AI: AI is linked to layoffs in industry that created it
US Sanctions on China's Chip Industry Backfire, Prompting Self-Inflicted Blowback
Meta Copy Twitter with New App, Threads
The New French Revolution
BlackRock Bitcoin ETF Application Refiled, Naming Coinbase as ‘Surveillance-Sharing’ Partner
×