Rocket startup Relativity experiencing money troublesAccording to a report from Bloomberg today and based on anonymous sources, the rocket startup Relativity is experiencing serious cash shortages that threaten its future.
Relativity Space Inc., the privately held US maker of 3D-printed rockets that once soared to a $4.2 billion valuation, is running low on cash, raising questions about the future of its launch business, people familiar with the matter said.
The company has faced challenges raising additional capital, said the people, who spoke on condition of anonymity because the matter is confidential. Relativity, which last launched a rocket in March 2023 and has plans to launch its larger Terran R in 2026, hasn’t reached a decision on a path forward.
It is hard to say whether this information is correct. However, the story also had this tidbit that I myself have heard from my own sources:
The company also announced plans to incorporate more traditional manufacturing methods with Terran R, moving away from using 3D printing.
Since from its very founding Relativity touted 3D printing as the wave of the future, claiming its decision to build its rockets entirely in that manner would produce rockets fast and cheaply. That it is no longer doing this suggests that reality was not the same as these visions, and the company discovered that it is better to look for the best way to do each thing rather than try to fit everything into the same mold.
It also appears that the company spent a lot of its capital trying to make 3D printing work, and as a result it is now short of cash.
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According to a report from Bloomberg today and based on anonymous sources, the rocket startup Relativity is experiencing serious cash shortages that threaten its future.
Relativity Space Inc., the privately held US maker of 3D-printed rockets that once soared to a $4.2 billion valuation, is running low on cash, raising questions about the future of its launch business, people familiar with the matter said.
The company has faced challenges raising additional capital, said the people, who spoke on condition of anonymity because the matter is confidential. Relativity, which last launched a rocket in March 2023 and has plans to launch its larger Terran R in 2026, hasn’t reached a decision on a path forward.
It is hard to say whether this information is correct. However, the story also had this tidbit that I myself have heard from my own sources:
The company also announced plans to incorporate more traditional manufacturing methods with Terran R, moving away from using 3D printing.
Since from its very founding Relativity touted 3D printing as the wave of the future, claiming its decision to build its rockets entirely in that manner would produce rockets fast and cheaply. That it is no longer doing this suggests that reality was not the same as these visions, and the company discovered that it is better to look for the best way to do each thing rather than try to fit everything into the same mold.
It also appears that the company spent a lot of its capital trying to make 3D printing work, and as a result it is now short of cash.
On Christmas Eve 1968 three Americans became the first humans to visit another world. What they did to celebrate was unexpected and profound, and will be remembered throughout all human history. Genesis: the Story of Apollo 8, Robert Zimmerman's classic history of humanity's first journey to another world, tells that story, and it is now available as both an ebook and an audiobook, both with a foreword by Valerie Anders and a new introduction by Robert Zimmerman.
The print edition can be purchased at Amazon or from any other book seller. If you want an autographed copy the price is $60 for the hardback and $45 for the paperback, plus $8 shipping for each. Go here for purchasing details. The ebook is available everywhere for $5.99 (before discount) at amazon, or direct from my ebook publisher, ebookit. If you buy it from ebookit you don't support the big tech companies and the author gets a bigger cut much sooner.
The audiobook is also available at all these vendors, and is also free with a 30-day trial membership to Audible.
"Not simply about one mission, [Genesis] is also the history of America's quest for the moon... Zimmerman has done a masterful job of tying disparate events together into a solid account of one of America's greatest human triumphs."--San Antonio Express-News
They might have done better as a business if they had started out as a large scale 3D printing company making large and small parts for other companies. Maybe body panels for cars, or even internal combustion engines.
Then add the rocket production on the side.
Completely agree with pzatchok. The company likely has some proprietary printing technology, which I would think they are looking for ways to leverage, or outright sell.
And if something is ‘confidential’, why are you talking about it, Anonymous Sources?
This is why America needs MSFC…investors hear the old adage of how aerospace turns billionaires into millionaires—-and VCs simply are more risk averse than Elon, who can throw money into hardware.
Jeff Wright,
Your thesis causes me to recall erstwhile British Prime Minister Disraeli’s distinction between misfortune and calamity – the former exemplified by his main opponent Gladstone falling into the Thames and the latter exemplified by someone pulling him out. It would be a misfortune if Relativity were to go under, but it would be an outright calamity if MSFC was ever tasked with designing another rocket.
Here is my definition of a calamity:
https://www.secretprojects.co.uk/threads/early-european-rocketry-projects.4130/page-7#post-698135
They didn’t even try to save anything.
Here, folks lament how this or that LV is a “boondoggle” or “hobby rocket.”
But at least things get *built*
China, like SpaceX, at least try to find ways to support aerospace…different economic systems—but you have at least some level of commitment.
An aerospace library disposed of?
No wonder Europe is behind.
Have the Greens done THAT much damage?
I can’t comprehend that….