Boeing considering selling its space division
According a Wall Street Journal exclusive today (behind a paywall), the company is now exploring the possibility of selling off its space division.
The NASA business that Boeing is exploring a sale of includes the troubled Starliner space vehicle and operations that support the International Space Station, but excludes the unit building NASA’s Space Launch System, the newspaper reported.
The U.S. planemaker’s shares rose 0.6% in afternoon trading.
Boeing’s space division includes its Starliner capsule and its work on NASA’s SLS rocket, as well as building many of the modules on ISS and operating it for NASA.
If this is so, it appears the new CEO, Kelly Ortberg, has decided that in order to get the company back on track it needs to focus on Boeng’s first and central business, building airplanes. Space is a distraction that is not helping the company bottom line right now in any way. Furthermore, NASA in 2020 told Boeing it would not entertain any new project bids from the company because its past bids were so poorly conceived. That decision remains in effect now, four years later. Since then Boeing has only have gotten a renewal contract to build more SLS rockets, plus a contract to develop a new airplane wing, but little else.
According a Wall Street Journal exclusive today (behind a paywall), the company is now exploring the possibility of selling off its space division.
The NASA business that Boeing is exploring a sale of includes the troubled Starliner space vehicle and operations that support the International Space Station, but excludes the unit building NASA’s Space Launch System, the newspaper reported.
The U.S. planemaker’s shares rose 0.6% in afternoon trading.
Boeing’s space division includes its Starliner capsule and its work on NASA’s SLS rocket, as well as building many of the modules on ISS and operating it for NASA.
If this is so, it appears the new CEO, Kelly Ortberg, has decided that in order to get the company back on track it needs to focus on Boeng’s first and central business, building airplanes. Space is a distraction that is not helping the company bottom line right now in any way. Furthermore, NASA in 2020 told Boeing it would not entertain any new project bids from the company because its past bids were so poorly conceived. That decision remains in effect now, four years later. Since then Boeing has only have gotten a renewal contract to build more SLS rockets, plus a contract to develop a new airplane wing, but little else.