Sierra Nevada to make its space operations a separate company
Capitalism in space: Sierra Nevada has decided to spin off its space operations involving Dream Chaser and its proposed private space station into a separate company called Sierra Space.
In a message to employees April 14, SNC [Sierra Nevada] Chairwoman and President Eren Ozmen said the company’s Space Systems division will become a standalone company, called Sierra Space, although remain a subsidiary of SNC.
…Ozmen provided few details about how the transition of SNC’s space business to Sierra Space would unfold, but she said it would take several months to complete. Even after the transition, Sierra Space will “continue deep cooperation and synergy” with SNC’s other business areas in aviation and defense.
My guess is that Ozmen does not want the risks of its space-related projects to impact its more reliable aviation and defense holdings. By separating it out, she can better isolate the success or failure of each. This does not necessarily mean that the space holdings are failing, only that they carry a greater financial risk.
Sierra Space’s future strongly hinges on the success of the first Dream Chaser cargo shuttle, Tenacity, whose inaugural flight has been delayed from ’21 to ’22. If that fails, all the other plans of this space division will likely fail as well. If it succeeds however the company’s financial future will be quite promising.
Capitalism in space: Sierra Nevada has decided to spin off its space operations involving Dream Chaser and its proposed private space station into a separate company called Sierra Space.
In a message to employees April 14, SNC [Sierra Nevada] Chairwoman and President Eren Ozmen said the company’s Space Systems division will become a standalone company, called Sierra Space, although remain a subsidiary of SNC.
…Ozmen provided few details about how the transition of SNC’s space business to Sierra Space would unfold, but she said it would take several months to complete. Even after the transition, Sierra Space will “continue deep cooperation and synergy” with SNC’s other business areas in aviation and defense.
My guess is that Ozmen does not want the risks of its space-related projects to impact its more reliable aviation and defense holdings. By separating it out, she can better isolate the success or failure of each. This does not necessarily mean that the space holdings are failing, only that they carry a greater financial risk.
Sierra Space’s future strongly hinges on the success of the first Dream Chaser cargo shuttle, Tenacity, whose inaugural flight has been delayed from ’21 to ’22. If that fails, all the other plans of this space division will likely fail as well. If it succeeds however the company’s financial future will be quite promising.