Is the future of Elon Musk’s SpaceX company in danger?

by time news

Elon Musk, CEO of Tesla and owner of the private space company SpaceX, sent a letter to his employees the day after Thanksgiving, expressing concern that the company could be in “real risk of bankruptcy”, unless it can accelerate the production of Raptor engines that propel the spacecraft rockets .

He said, “We face the danger of insolvency if next year we fail to launch Starship at a rate of once every two weeks.”

Starship is a giant spacecraft developed by SpaceX which is powered by innovative Raptor engines and is supposed to carry people and cargo to the moon and Mars. The company has performed several short test flights, but launches into space will require the installation of 39 raptor engines in each rocket, which necessitates the acceleration of their production rate.

This is not the first time SpaceX has been in serious financial risk. Musk often talked about how dangerous it was to launch the company in 2002 and how it almost failed a few years later. Last year, Musk tweeted that in the “first days” of Tesla and SpaceX, he had very little faith that both ventures would succeed.

In 2013, Musk spoke at a Google startup event about how SpaceX nearly collapsed after its first three rocket launch attempts all failed between 2006 and 2008. The issue was simple, he invested about $ 100 million of his money to set up SpaceX, which covered only three attempts to launch a rocket into orbit.

Today, SpaceX is already an established company and last month it reached a valuation of $ 100 billion, which leads to the belief that the company is not really facing bankruptcy again.

In October, a Morgan Stanley survey found that a majority of 63% of “institutional investors and industry experts” believe that SpaceX could eventually become more profitable than Tesla, whose market value today is more than $ 1.1 trillion. Therefore, it is possible that Musk uses the threat of bankruptcy as a motivational tactic for his employees and there is no real threat in this.

It should be noted that Musk’s company recently defeated Blue Origin of Amazon founder Jeff Bezos – his space company will have an exclusivity with NASA to develop a system for landing humans on the moon. Does NASA think the company will succeed? In the meantime, they believe in her.

Comments on the article(0):

Your response has been received and will be published subject to system policies.
Thanks.

For a new response

Your response was not sent due to a communication problem, please try again.

Return to comment

.

You may also like

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.