Boeing may sell its space division after another failure with the Starliner spacecraft. During the last test launch, technical problems occurred, causing two NASA astronauts to barely escape serious danger and forced to remain in orbit until 2025. Amid these failures, NASA announced that the next crew rotation to the ISS would be on SpaceX’s Crew Dragon spacecraft instead of the Starliner. The combination of these negative factors further undermines confidence in the Boeing project.
According to the Wall Street Journal, the company is considering leaving the space business due to financial difficulties, particularly losses from Starliner. Boeing has also been in contact with Jeff Bezos’ Blue Origin, which may indicate that it is looking for new partners or buyers.
The Starliner, which is part of NASA’s Commercial Crew Program, has not completed its assigned tasks: a month ago, the capsule returned from the ISS without a crew due to technical problems that made the flight too risky. Boeing reports that losses from Starliner development have already reached $1.85 billion, including the latest loss of $250 million in the third quarter.
The situation is also complicated by troubles in other areas of business. Boeing’s commercial aviation division has been suffering from quality control problems as well as prolonged worker strikes. The company plans to lay off 10% of its staff — about 17,000 employees.
Despite the constraints, Boeing continues to work on NASA’s key Space Launch System (SLS) rocket to take astronauts to the Moon. However, according to a report from NASA’s inspector general, work on SLS has been delayed and is well over budget.
The newly appointed Boeing CEO, Kelly Ortberg, faces a big task: restructure the company and get rid of unprofitable projects. “We have to focus on quality over quantity,” he noted during a recent conference call with analysts. “What will deliver the most value over the long term is the big question.”
Earlier we reported on how the abandoned Boeing Starliner crew shared their experience of a failed space mission.
Provided by reuters.com
