Crony capitalism: Even though ULA prefers Blue Origin’s engine for its Atlas 5, the Air Force continues to fund Aerojet Rocketdyne’s new engine.
The U.S. Air Force announced Feb. 29 it was investing $115 million this year, and with options, as much as $536 million over the next five years, in [Aerojet Rocketdyne’s] AR1, a new liquid oxygen- and kerosene-fueled main-stage engine. The contract award is part of an Air Force initiative to end reliance on the Russian-built RD-180 engine that powers ULA’s Atlas 5 workhorse rocket.
Aerojet says it has two potential other customers to use the engine, but will not name them. In reviewing the field, the only customer I can think of that might be interested would be Orbital ATK (for its Antares rocket), and even there I have doubts. Thus, it appears to me that these funds are really being distributed to prop up a company that is failing, not to build anything useful the government needs.