Bezos sells another $1 billion in Amazon stock to fund Blue Origin

Capitalism in space: Repeating a stock sale he did in May, Jeff Bezos this week sold another million shares of his Amazon stock to raise another $1.1 billion in cash to finance his Blue Origin rocket company.

The stock sale reduced his holdings in Amazon by 1.3% to 16.4% total.

With this much cash available, Bezos has the luxury of developing and building his business with no help from the government and completely free to do whatever he wants. This freedom puts him in a very enviable position.

6 comments

Tesla stock crashes due to possible loss of tax credit

The stock of Elon Musk’s Tesla electric car company crashed this week, dropping 7% on Wednesday, with the revelation that the Republican tax plan proposes eliminating the $7,500 tax credit for buying an electric car.

Its share price fell more than seven per cent to about $296 apiece from Wednesday’s $321. The draft law emerged as the Elon-Musk-led automaker announced its worst-ever quarter, recording a $671m loss and admitting it had not met its production target for its new Model 3 car, producing just 220 of them against its 1,500 target.

Economists believe that the tax credit is a key driver for electric car sales, and cite the example of when the state of Georgia cut its $5,000 tax credit and saw sales of electric cars slump from 1,400 a month to just 100 a month in response.

What this story highlights is that electric cars are simply not economical at this time, and that the government is distorting the market by pushing them. Without government aid, practically no one would buy them.

It would be far better for everyone to let the market decide. Not only would this save us tax dollars, it would allow the industry to focus its innovative efforts on upgrades that are cost effective and profitable, rather than on pie-in-the-sky fantasies that actually do no good at all.

Hat tip Wayne DeVette for pointing me to this story.

18 comments

Builders of Ghana’s first satellite push for government help

The new colonial movement: The student engineers who built Ghana’s first satellite, GhanaSat-1 and launched in July, are pushing their government to establish the legal framework for future space activities in that country.

Student engineers behind the successful launch of Ghana’s first satellite into orbit have appealed to the government to set up a multi-stakeholder committee to come up with an act, the Ghana outer space act, a key requirement that would enable the country to ratify and sign the United Nations Outer Space Treaty.

They said if the country signed and ratified the treaty, it would give investors the signal and confidence that the country was ready for them to come and establish space science facilities.

The description in the article of what these students want suggests they do not quite understand the ramifications of all the UN space treaties, because it appears they also want Ghana to become signatories to them all. This would be a big mistake. While every country that launches satellites is a signatory to the Outer Space Treaty, very few have signed the Moon Treaty, as its language puts far more serious restrictions on property rights.

0 comments

Local tribe signs deal for Australian spaceport

Capitalism in space: An aboriginal tribe tribe in Australia has signed a lease with a new space company proposing to build a spaceport on their land where smallsat rockets can launch.

The Northern Land Council has granted a 275-hectare lease in northeast Arnhem Land to the Gumatj clan for use as a commercial rocket launching facility. That’ll pave the way for Gumatj Aboriginal Corporation to sublease the site to Equatorial Launch Australia, a firm whose $236 million space base proposal is being considered by federal and NT infrastructure funds.

The 12-year lease has an option for a 28-year extension, and is expected to be finalised later this month.

This is the first I have ever heard of Equatorial Launch Australia. Their website provides little information. Further web searches revealed little as well. My impression is that it is focused on creating a spaceport for the use of new Australian smallsat rocket companies. Whether it plans to launch its own rocket is unclear.

1 comment

SpaceX aims for December 29 launch of Falcon Heavy

Capitalism in space: SpaceX has set a date for the first Falcon Heavy launch as no earlier than December 29.

They hope to be able to do a number of dress rehearsal countdowns prior to actual launch, which is what makes this schedule somewhat tentative.

While SpaceX has ample experience lighting all nine engines of the Falcon 9 simultaneously, with every Falcon 9 going through a full duration hot fire at McGregor followed by a static fire on the launch pad before all nine engines are lit a third time for launch, no company in the U.S. rocket industry has experience lighting 27 engines at the same time.

While each of the three Falcon Heavy debut cores – two flight-proven cores for the side-mounted boosters (boosters B1023 and B1025) and a new core for the central core (booster B1033) – have undergone hot fire testing at McGregor, they were all fired separately because the Texas test site is not built to accommodate three cores at the same time.

This means SpaceX will not gain a full understanding of how all 27 engines light until the more-crucial-than-usual static fire at LC-39A at Kennedy.

8 comments

NASA wants private company to take over Spitzer Space Telescope

NASA has issued a request for proposals from private companies or organizations to take over the operation of the Spitzer Space Telescope after 2019.

NASA’s current plans call for operating Spitzer through March of 2019 to perform preparatory observations for the James Webb Space Telescope. That schedule was based on plans for a fall 2018 launch of JWST, which has since been delayed to the spring of 2019. Under that plan, NASA would close out the Spitzer mission by fiscal year 2020. That plan was intended to save NASA the cost of running Spitzer, which is currently $14 million a year. The spacecraft itself, though, remains in good condition and could operating well beyond NASA’s current plan.

“The observatory and the IRAC instrument are in excellent health. We don’t have really any issues with the hardware,” said Lisa Storrie-Lombardi, Spitzer project manager, in a presentation to the committee Oct. 18. IRAC is the Infrared Array Camera, an instrument that continues operations at its two shortest wavelengths long after the spacecraft exhausted the supply of liquid helium coolant.

The spacecraft’s only consumable is nitrogen gas used for the spacecraft’s thrusters, and Storrie-Lombardi said the spacecraft still had half its supply of nitrogen 14 years after launch.

The way a private organization could make money on this is to charge astronomers and research projects for observation time. This could work, since there is usually a greater demand for research time than available observatories.

6 comments

Minotaur-C successfully launches 10 commercial smallsats

Capitalism in space: Orbital ATK’s Minotaur-C rocket today successfully launched 10 commercial smallsats.

It appears that they have upgraded the accused Taurus rocket in renaming it Minotaur-C.

After Orbital ATK suffered a series of launch failures with the Taurus rockets — which led to the loss of NASA’s Orbiting Carbon Observatory as well as its Glory climate-monitoring satellite — the company redesigned the Taurus. The new and improved rocket uses newer and more reliable technologies that Orbital ATK had built for its other Minotaur rockets.

This success is a very good thing for Orbital ATK, as the rocket likely gives them a strong position in the emerging smallsat market.

6 comments

SpaceX completes installation of two antenna dishes in Boca Chica spaceport

Capitalism in space: SpaceX has completed the installation of two ground station antenna dishes in its Boca Chica spaceport that will be used to facilitate communications with its manned Dragon missions.

A SpaceX spokesman said the antennas will also be used to track flights from Boca Chica once they’re underway. The company acquired the 86-ton antennas from NASA’s Kennedy Space Center at Cape Canaveral and transported them to Boca Chica via semitrailer. The first antenna was installed this summer.

The article also implies that SpaceX plans to eventually launch manned missions from Boca Chica.

4 comments

Satellite data business to grow to $8.5 billion by 2026

Capitalism in space: An industry analysis says that the satellite data market should grow to $8.5 billion by 2026, with the potential to reach $15 billion.

Euroconsult has identified approximately 20 companies that have announced intentions to develop lower-cost constellations to collect data at a high rate of revisit based on smallsat and cubesat technologies. As of 2017, these new operators have attracted more than U.S.$600 million in venture capital to fund their initiatives. None of the newly announced initiatives have yet reached full capacity; for these constellations to come to fruition, additional investments will be required.

Competition is expected to be fierce on the supply side, as companies must differentiate themselves in the marketplace and bring innovative solutions to maintain market share. Consolidation (such as MDA and DigitalGlobe, OmniEarth and EagleView, Terra Bella and Planet) could linger as companies refine business models and continue to seek investments. DigitalGlobe, for example, is aiming to add a lower-cost satellite constellation (Legion) to its portfolio to counter the probable impact of low-priced solutions entering the market. Airbus will also develop its own very high resolution (VHR) optical system, given that the next generation French defence system will not be commercialized.

0 comments

Orbital ATK to launch first Minotaur-C in six and a half years

Capitalism in space: Orbital ATK will try today to successfully launch its renamed Taurus rocket, six and a half years after its previous two launches had ended in failure.

The rocket is now called Minotaur-C and will attempt to launch ten Planet Lab smallsats. As Taurus, the rocket failed 3 times out of 9 launches, and from what I could tell watching the launch industry, was basically a dead product. I am now astonished that it is coming back to life. Apparently, Planet Lab got a good launch price, and can take the risk since its smallsats represent a relatively small investment and can be replaced much more easily than the two research satellites (Orbiting Carbon Laboratory and Glory) that NASA lost in the rocket’s previous two launches more than half a decade ago.

The article outlines nicely the history of this rocket, and how its failures significantly set back the growth of Orbital ATK. Hopefully, it will succeed now, and provide the U.S. another player in the increasingly competitive global launch market.

0 comments
1 534 535 536 537 538 785