A Shrinking, Timid Industry
The May 2 announcement that Boeing and Lockheed Martin are forming a joint venture to build and launch rockets for the U.S. government is another sign the established sector of the American rocket industry continues to shrink and stagnate.
This situation is especially critical because the National Aeronautics and Space Administration is looking to that industry to build its shuttle replacement. Unless other companies step forward and offer competitive services — and NASA is willing to hire them — the lack of flexibility, efficiency and innovation in the industry’s establishment base will make successful completion of the crew exploration vehicle difficult, if not impossible.
The non-competitive nature of the American aerospace industry was evident last fall when almost all of the major aerospace companies decided to team up to bid on the CEV rather than compete against each other.
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