Tag: competition

Russian assets in France seized

8:59 am

Russia’s refusal to pay damages in a court case has forced France to seize $700 million owed to Russia’s aerospace industry.

In total, France has seized Russian assets worth $1 billion following the Kremlin’s refusal to pay damages to former Yukos shareholders.

In July 2014, The Hague international arbitration court ruled that Russia must pay $50 billion for expropriating the assets of Yukos. The seized assets include $400 million owed by French-based satellite provider Eutelsat to the Russian Satellite Communications company and $300 million owned by French space launch provider Arianespace to Russia’s Roscosmos space agency, the magazine reported, citing the Shearman & Sterling legal firm which represents the Yukos shareholders.

This story is similar to the Sea Launch court suit by Boeing, whom the Russians owe $300 million. In that case Boeing has moved to block Russia from selling Sea Launch.

Both stories suggest that the Russians are in big financial trouble, partly caused by a lack of understanding of capitalism. In both cases, they formed partnerships with western businesses and failed to realize that those partnerships placed financial obligations upon them. From its Soviet days Russia probably thought they could ignore those obligations if it became inconvenient, and they are now discovering that this is not really possible if they wish to sell their goods to the rest of the world.

I expect Russia’s space industry to increasingly become isolated from the rest of the world market, partly because of these events.

In related news, Roscosmos has revealed that after the initial launch at Vostochny in April, the second launch will not occur until 2017. This indicates that the first launch is merely a face-saving effort to hide the fact that construction is really more than a year behind schedule, not three months.

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Falcon 9 first stage returns to port

8:34 am

The competition heats up: The recovered first stage of last week’s Falcon 9 launch has returned to port, and is being prepared for tests and eventual reflight.

The Falcon 9’s destination is unconfirmed, but SpaceX chief executive Elon Musk said Friday the rocket’s first stage will likely go to launch pad 39A — a former shuttle launch facility now leased by SpaceX — for a series of engine firings to verify its flight readiness.

The objective: Fly the first stage booster again, perhaps as soon as June. “We’re going to do a series of test fires,” Musk told reporters after Friday’s launch. “We’re hoping to do that at the Cape, rather than transport it to Texas (SpaceX’s rocket test facility), and then bring it back. Our plan is to basically fire it 10 times in a row on the ground. If things look good at that point, then it’s qualified for reuse and launch. We’re hoping to re-launch on an orbital mission in … June.”

SpaceX already has one customer, satellite-maker SES, quite eager to pay the discounted price to fly one of its satellites on this booster.

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ULA to launch two Bigelow space station modules

8:22 am

The competition heats up: ULA and Bigelow Aerospace have announced a partnership to launch two of Bigelow’s largest space station modules, each with about as much interior space as both Skylab and Mir.

Both will be ready for launch by 2020. Neither company has made clear if they have any outside investment, though they left open the option of working with NASA and having the modules attached to ISS.

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Dragon arrives at ISS

9:06 am

The competition heats up: SpaceX’s Dragon capsule has been berthed with ISS, bringing with it Bigelow’s privately built inflatable test module.

This berthing also makes it the first time the two American cargo freighters, Dragon and Cygnus, are docked at ISS at the same time.

In a related non-news story, the head of Russia’s space agency Roscosmos, which now controls that country’s entire aerospace industry, claimed in a television interview today that Russia is the world’s “undisputed leader … in launch vehicles and launch services,” noting that they launch about 40% of all launches worldwide.

That’s nice for him to say, but just because you say it doesn’t make it so. I expect that 40% number (which includes all Russian government launches and is thus inflated from their actual market share) to shrink considerably in the coming years, as the Russian space industry has shown a complete inability to innovate in the last twenty years. With the consolidation of that industry into a single corporation all run by the government, I do not expect that inability to go away anytime soon.

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Video of Falcon 9 first stage barge landing

10:57 am

This is so incredible to watch that I must post it on the webpage. I think I’ve already seen it a dozen times, and still cannot get over how the rocket, coming in fast and on an angle, rights itself, lands, bounces slightly, and then settles upright into place.

The future here is rushing up on us, fast, in the best way possible.

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Next Atlas 5 launch delayed indefinitely

9:33 am

In the heat of competition: Because of the continuing investigation into the launch issue during its last launch, ULA has now extended the delay of the next launch of its Atlas 5 from one week to an indefinite delay.

The report at the link is very brief, and it also does not give a source. I was not able to find any other reports of this story after doing a web search as well as a search of ULA’s website, so it remains unconfirmed. Nonetheless, I suspect it is real, suggesting the company has uncovered some unexpected issue with the Atlas 5 that now requires more serious action that is going to take time. Stay tuned.

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ULA trims workforce

9:25 am

The competition heats up: In an effort to cut its costs, ULA has announced that it is laying off 375 workers.

The job cuts are not because the company is having financial troubles, but because they need to lower their launch prices to compete with SpaceX.They have always had some fat that could be trimmed but have not done so because, before SpaceX, there was no effort in the launch industry to cut costs. SpaceX, and some good healthy competition in a free market, is now forcing this upon everyone.

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SpaceX lands its first stage on a barge

1:56 pm

The competition heats up: SpaceX has for the first time successfully landed the first stage of its Falcon 9 rocket on a barge, even as it has successfully launched Dragon to ISS.

Go here to see the stage on the barge, even as I type. More here, including images.

That makes two first stages recovered, suggesting that this is going to become increasingly routine for the company. Now comes the next big step, using one of these used stages a second time to launch another satellite.

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Phase 2 begins in DARPA spaceplane program

8:59 am

The competition heats up: DARPA is about to start asking for proposals for the second phase of its XS-1 spaceplane program.

In Phase 1 of XS-1, DARPA sought to evaluate the technical feasibility and methods for achieving the program’s goals. To achieve that, it awarded prime contracts to three companies, each working in concert with a commercial launch provider: The Boeing Company (working with Blue Origin, LLC); Masten Space Systems (working with XCOR Aerospace); and Northrop Grumman Corporation (working with Virgin Galactic). Phases 2 and 3 will be competed as a full and open Program Solicitation mandating an Other Transaction Authority (OTA) agreement with the expectation of a single resulting award. Cost share is expected.

The primary goal is to build a vehicle that can fly ten times in ten days and put a small satellite into orbit.

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Smallsat company searches for launch services

9:04 am

The competition heats up: Terra Bella, formally known as Skybox Imaging, hopes to have as many as 21 satellites in orbit by the end of 2017.

Space Systems Loral (SSL) is Terra Bella’s manufacturing partner for the SkySat satellites, building 19 SkySat Cs — one prototype and 18 final versions. Joe Rothenberg, director of Skybox engineering and operations at Google, told Via Satellite that the first SkySat C satellite is currently scheduled to launch aboard a Polar Satellite Launch Vehicle (PSLV) from the Indian Space Research Organization (ISRO) on May 31. The PSLV launch is for the prototype to precede the rest of the series. The next four are then to launch on an Arianespace Vega as a rideshare this summer, followed by six more on Orbital ATK’s Minotaur rocket during the fourth quarter this year.

The Skybox C satellite only weights 265 pounds, so it is larger than a cubesat but tiny compared to most commercial satellites. The company’s problem now is that, except for Orbital ATK’s Minotaur rocket, they don’t have a launch vehicle dedicated to this size satellite. And Minotaur is probably too expensive (which is why Orbital wants the right to use surplus ICBM motors to power it). Because of this Terra Bella must launch its satellites as secondary payloads, which leaves them at the scheduling mercy of the primary payload. Virgin Galactic’s LauncherOne is intended to serve this smallsat market, competing directly with Minotaur, but Terra Bella is understandably skeptical of that company’s effort.

A small piece of trivia. Rothenberg was a key NASA manager running the shuttle Hubble repair missions, one of the few NASA efforts that operated like a private company: competitive, hard-working, and demanding of success. It is entirely fitting that he has moved out of the government and into the private sector, where his skills can truly shine. It speaks well of Terra Bella that they hired him.

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Ariane 6 delayed by tax and legal issues

5:35 pm

In the heat of competition: Even as Airbus Safran claimed today that Ariane 6 will be price competitive with SpaceX’s Falcon 9, the company cannot begin work on the new rocket because of a turf war Arianespace and French tax collectors.

The tax issue is as follows:

Airbus and Safran had agreed that Safran would pay Airbus 800 million euros ($874 million) in cash, in addition to its rocket-engine manufacturing capability, to become a 50-50 ASL shareholder with Airbus. Airbus officials since the beginning of the year have been negotiating with French tax authorities to determine how to minimize the tax bite of the cash transfer, which industry officials could be as high as 500 million euros, leaving Airbus with a net of just 300 million euros.

Delays in the cash transfer have meant that ASL, which is expected to count 8,000 employees, has been operating with only around 400 employees. In addition, it has made it difficult for the initial ASL team to present a fixed-price Ariane 6 production proposal to the 22-nation European Space Agency, which is financing the majority of Ariane 6 development.

In addition, the merger is being reviewed by the European Commission, part of the European Union.

The commission is looking at whether Arianespace’s minority shareholders, who are Ariane 6 contractors, will be protected once Airbus Safran Launchers raises its Arianespace shareholding to 74 percent from today’s 39 percent. The commission is also reviewing concerns expressed by satellite builders that Airbus, which is a major manufacturer of commercial satellites, might give its own satellites preferential treatment in setting the Ariane 6 manufest.

Airbus Safran still insists they can get the new rocket launched by 2020, but somehow that doesn’t seem reasonable to me, especially because I expect the French and European government authorities here to carve out their piece of the action, thus making it harder for the private company to deliver on time.

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India to test reusable mini-shuttle in May

8:56 am

The competition heats up: ISRO, India’s space agency, this week announced plans to conduct its first test flight of its half-scale prototype reusable launch vehicle in May.

The RLV, is a scaled-down prototype (some 21.3 feet in length or 6.5 meters) of a future uncrewed single-stage reusable spaceplane, known as Avatar, that is being designed by the ISRO. The May mission will be a technology demonstrator (RLV-TD) to test powered cruise flight, autonomous landing and hypersonic flight using an air-breathing propulsion system. The spacecraft, which resembles a small winged aircraft, will be launched from the first launchpad of the Satish Dhawan Space Centre to an altitude of 43 miles (70 km) atop a two-stage Rohini sounding rocket and then released. It will re-enter the atmosphere and travel back to Earth in a controlled descent, to be recovered from the Bay of Bengal. [emphasis mine]

This vehicle is kind of Inida’s version of the Air Force’s X-37B, except that it is also testing a hypersonic scramjet engine, a cutting edge design that the U.S. has barely been able to fly successfully. Should they succeed, it will place them smack dab in the middle of the elite club of space-faring nations.

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Boeing moves to block Russians from selling Sea Launch

9:21 pm

In a reaction to news that the Russians have a potential buyer for Sea Launch, Boeing has sued to block the sale.

In a motion for a preliminary injunction filed with the U.S. District Court for the Central District of California April 2, Boeing argued that a sale of Sea Launch could hinder its ability to collect on a summary judgment issued last year against Energia of at least $300 million. “If Energia succeeds in selling these assets and moving all of the proceeds thereof to Russia, without paying the hundreds of millions of dollars that it owes, it would unquestionably complicate Boeing’s collection efforts,” the company’s lawyers stated in the court filing.

Energia has refused to pay that $300 million. However, since Sea Launch’s floating launch platform remains docked in California, Boeing retains a great deal of leverage in this legal dispute. I expect the court will eventually put a lock on those assets until the Russians pay up.

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Using ICBMs to lower launch costs

10:02 am

The competition heats up: Orbital ATK is lobbying Congress to lift a ban on the use of decommissioned ICBM missiles for commercial launches.

Orbital ATK is pressing U.S. lawmakers to end a 20-year ban on using decommissioned intercontinental ballistic missiles (ICBM) for launching commercial satellites and the effort has raised concern among companies that have invested millions of dollars in potential rival rockets. Orbital Vice President Barron Beneski said in an interview on Friday that the company was pushing Washington to get the ban lifted as part of the National Defense Authorization Act that sets defense policy for fiscal 2017, which begins Oct. 1. The missiles were idled by nuclear disarmament treaties between the United States and Russia in the 1990s.

The company wants to use the solid rocket motors in the surplus missiles to increase the capability of their Minotaur 4 rocket, designed for the small satellite market. Interestingly, Virgin Galactic, who is aiming for this same smallsat market with its LaunchOne rocket, is protesting, and has even garnered the lobbying support of the industry’s trade organization..

“It’s a dangerous precedent when the government tries to inject itself in the commercial marketplace. It can be disruptive, and not for the right reasons,” Eric Stallmer, president of the Commercial Spaceflight Federation, a Washington DC-based trade organization, said in an interview on Thursday.

Orbital ATK is not asking for exclusive use, so other companies could also obtain surplus missiles for their own use. However, the ATK in Orbital ATK’s name comes from the half of the company that before the merger was an expert in using solid rockets for space. This gives Orbital an advantage here that the other companies do not have, and explains their protests.

Nonetheless, I say tough. The government should surplus these rockets, and let the competitive chips fall where they may. Anything that lowers the cost to put payloads in orbit cannot be a bad thing for the launch industry, as it will serve to increase the number of customers that industry will have and thus help to increase everyone’s sales figures.

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Misuse revealed of vomit comet at NASA

7:16 pm

It appears that, stuck with the “vomit comet” airplane that they no longer had much use for, NASA managers tried to justify its existence and budget by assigning it tasks for which it and its crew were not designed or trained to do.

The unorthodox use of the C-9 aircraft was driven, according to the complaints, by a desire at the high levels of the agency to prove the Vomit Comet was of practical use. Apparently, it didn’t work—the C-9 aircraft program was defunded and shut down in 2014.

Since 1959, NASA has used a variety of aircraft to simulate the weightlessness of space in order to train astronauts and perform basic experiments in zero gravity. From 2005 to 2014, the C-9, built in 1970, became one of NASA’s primary Vomet Comets. According to documents uncovered by Motherboard using the Freedom of Information Act (embedded at the bottom of this article) show that the Vomit Comet was used on at least two occasions for purposes other than simulating space flight, while still labeling the missions “crew training.” In 2013, the agency officially looked into having the plane reclassified to run these types of missions.

In one of these cases, the plane was flown to Greenland without the proper equipment or training for the crew, and experienced what was described by crew as “a near fatal crash.” It didn’t crash, but the crew apparently feared for their lives.

The program was shut down in 2014 with the operations handed over to private companies. Now if NASA needs to train astronauts, they simply hire these companies, which make the bulk of their money flying private missions, something NASA wasn’t allowed to do.

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Russia schedules first Vostochny launch

7:08 pm

The competition heats up: Roscosmos has scheduled April 27 as the date for the first launch from its new spaceport in Vostochny.

I do wish them luck. I don’t think the Russians will be very successful at competing in the new private launch industry that is beginning to emerge, centered as they are on Soviet-style, top-down, giant government-run organizations, but I still hope they succeed at whatever they attempt in space. As far as I am concerned, the more the merrier.

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Russia insures first Vostochny launch

8:40 am

In the heat of competition: Russia’s space agency Roscosmos has obtained insurance for the first launch from Vostochny, covering the rocket and the launch facilities it will use.

This story tells us more about Russia’s present circumstances than the situation at Vostochny. Normally, government space agencies self-insure. Russia, however, is having serious economic problems, and I suspect that the managers there have recognized that if this launch fails and the launchpad is damaged badly, they don’t have the cash to quickly rebuild it. Granted, the insurance itself will probably cost them a lot of money they also don’t have, but considering the significant quality control problems the Russian aerospace industry has had in recent years, combined with the corruption that has surrounded the construction at Vostochny, they are probably wise to cover themselves in the not unlikely chance that something goes wrong.

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Video of Saturday’s New Shepard flight

7:36 pm

Blue Origin has released video of its New Shepard test flight on Saturday, once again in a slick edited presentation rather than raw video of the flight itself. I have embedded this video below the fold.

As promised, the propulsion module came down at full speed until only a few seconds before impact, then fired its engines and gently slowed, then hovered, then touched down without harm. The long shot of it coming down is especially breathtaking.
» Read more

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New Shepard flies again, for the third time

1:23 pm

The competition heats up: On Saturday Blue Origin successfully launched and landed its reusable New Shepard suborbital capsule/rocket spacecraft

The vehicle lifted off from the company’s test site shortly after 11 a.m. Eastern time, according to a series of tweets by company founder Jeff Bezos. The vehicle’s propulsion module, the same one that flew earlier test flights in November and January, made a successful powered landing, he said. Its crew capsule, flying without people on board, parachuted to a safe landing. … The vehicle reached a peak altitude of nearly 103.4 kilometers, slightly above the “von Karman line” frequently used as the boundary of space and similar to previous test flights.

This flight also carried some science experiments, demonstrating that Blue Origin’s customers will not be limited merely to space tourists.

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New Shepard to fly this weekend

4:39 pm

The competition heats up: Jeff Bezos indicated today on Twitter that the next New Shepard flight will be this weekend.

“Working to fly again tomorrow,” Blue Origin founder and Amazon.com CEO Jeff Bezos tweeted on Friday. “Same vehicle. Third time.” Adding to the intrigue, Bezos said there was a higher chance of a crash on the upcoming unmanned test flight. During its descent, the booster’s hydrogen-fueled BE-3 engine will re-light closer to the ground — just 3,600 feet up — and at higher thrust than before.

“Pushing the envelope,” said Bezos. “Impact in 6 sec if engine doesn’t restart & ramp fast.”

I will be out caving this weekend, so my reactions will have to wait until I return on Sunday night. Should be quite exciting however, especially as this will be third flight into space for this ship/rocket, a first as far as I know in space travel. There have been some vehicles reused, but I don’t remember any that reached space and were reused more than once.

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Sierra Nevada favors Alabama for Dream Chaser’s commercial port

9:50 am

The competition heats up: At a workshop in Alabama this week Sierra Nevada’s vice president indicated that though the company has not yet finalized its decision, it is strongly leaning to picking Huntsville as the commercial spaceport for its Dream Chaser mini-shuttle, being built to ferry cargo to ISS.

“There was a leap of faith on the Huntsville side that we would be a company that could get this vehicle built and start servicing the space station…,” Sierra Nevada Vice President John Roth said Thursday. “Yes, we have been approached by other airports for ventures. We’re not moving forward at this time with any of those. Right now, Huntsville is the only community we’re moving forward with a (landing) license on.”

A preliminary local study identified four hurdles to landing Dream Chaser at the Huntsville International Airport: required licenses for the craft and airport, environmental impact approval, Federal Aviation Administration approval of the landing path and possible runway damage.

Why do I sense the unseen hand of porkmeister Senator Richard Shelby (R-Alabama) in this story? Could it be that one of the reasons NASA finally included Dream Chaser in its cargo contract was that the company had not only chosen the Alabama-based Atlas 5 rocket for its launch vehicle but was also courting Alabama for its commercial base, and Shelby had made it clear behind the scenes that he wanted that business? Could it be that Sierra Nevada is now returning the favor, having gotten the contract?

Don’t get me wrong. I think it was a good choice for NASA to give that contract to Sierra Nevada. I just think it important to note how giving some of our power away to politicians allows them to wield that power over us, sometimes to our benefit, sometimes against it, but always to make themselves more powerful. In the end, giving that power away is never a good option.

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OneWeb begins hiring in Florida

10:03 am

The competition heats up: The new satellite company OneWeb, with plans to launch a constellation of 900 satellites beginning next year, has begun hiring engineers for a manufacturing plant it intends to locate in Florida.

The article also notes the construction start of a new building that is suspected but not confirmed as the location of that manufacturing plant.

OneWeb’s existence is visible proof of my contention that if the launch business can lower the cost to orbit it will create new customers who can afford to buy the product. OneWeb is partly lowering the cost on its own by using small cubesat-like satellites, but it is also taking advantage of the renewed competition in the launch industry to get better deals on buying the rockets it needs to launch those satellites.

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Russia selling Sea Launch?

12:12 am

The competition heats up? Though he couldn’t reveal any details, the director of Russian space agency Roscosmos today said that they have found a buyer for Sea Launch.

“I cannot tell you who the investor is, or the value of the contract, due to certain obligations. I hope that we will have something to say about it by the end of April,” Komarov said. He did, however, say that investors from the U.S., Australia, China and Europe have expressed interest in the project.

Because Sea Launch is a floating launch platform, there really is no reason the company can’t be taken over by anyone in the world. And should the buyer use the Ukrainian Zenit rocket that the platform was designed to use, the technical problems might be reduced as well.

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Federal law outlaws launches on foreign rockets

5:37 pm

Killing competition: The American launch industry as well as the FAA regulators are in agreement that a 2005 law that limits American small satellite companies from using foreign launch companies should remain in place.

The CSLA, dating from 2005, is the U.S. government’s way of protecting the seemingly forever-nascent U.S. small-satellite launch industry from competing with government-controlled foreign launchers for U.S. business. It seeks to oblige non-U.S. rocket providers to sign a CSLA that, for all intents and purposes, sets U.S. commercial launch prices as the world minimum for government-owned non-U.S. launch providers.

The rationale is that these non-U.S. launchers, not bound by the constraints of profit and loss – but hungry for hard-currency export earnings – will undercut commercial U.S. companies’ launch prices and keep them from gaining market traction.

India’s launch rockets, for example, are designed and built by India’s space agency ISRO, and are backed not by private funds but by government money. The fear is that India could subsidize its rockets so that the price could always be kept below what any American company could charge.

The truth, however, is that competition and innovation, here in the U.S., has so successful undercut foreign prices that no amount of subsidies can hope to compete. Those foreign companies are now scrambling to actually redesign their rockets to lower their costs and thus their prices, rather than asking for more handouts from their governments. This law should be repealed.

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