Ariane 6 delayed by tax and legal issues

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 Arianespaceโ€™s minority shareholders, who are Ariane 6 contractors, will be protected once Airbus Safran Launchers raises its Arianespace shareholding to 74 percent from todayโ€™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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SpaceX sets date for next Dragon launch

The competition heats up: SpaceX has scheduled April 8 for the next Falcon 9 launch, set to carry its first Dragon capsule since the launch failure last year.

Though this is the most important news contained by the article, its focus is instead on the various preparations that SpaceX is doing at its Texas test facility to prepare for this launch as well as the increased launch rate required for the company to catch up on its schedule.

Note that the Dragon launch will also be significant in that it will be carrying Bigelow’s inflatable test module for ISS, built for only $17 million in less than 2 years. NASA, ESA, or JAXA would have required at least half a billion and several years to have accomplished the same.

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SpaceX estimates 30% price cut from reusable 1st stage

The competition heats up: At a satellite conference on Wednesday SpaceX President Gwynne Shotwell estimated that they will be able to cut the price of launch to about $40 million, a 30% cut from their already low prices, once they can reliably begin reusing the first stages of the Falcon 9 rocket.

Given that SpaceX has no intention, for now, of recovering the second stage, she said a launch with a previously used first stage could be priced 30 percent less than the current Falcon 9 rockets.

SES of Luxembourg, SpaceXโ€™s biggest backer among the large commercial satellite fleet operators, has said it wants to be the first customer to fly with a reused stage. But SES Chief Executive Karim Michel Sabbagh said here March 8 that SES wanted a 50 percent price cut, to around $30 million, in return for pioneering the reusable version.

Shotwell said it was too early to set precise prices for a reused Falcon 9, but that if the fuel on the first stage costs $1 million or less, and a reused first stage could be prepared for reflight for $3 million or so, a price reduction of 30 percent โ€“ to around $40 million โ€“ should be possible.

Shotwell also said they hope to launch 18 times this year, with the first Falcon Heavy launch now set for November. This is another two month delay from their previous announcement, which had said they were hoping to launch in September.

With only two launches so far this year, I must say I am skeptical they can achieve 16 more launches in the year’s remaining 9 months, a rate of about one almost every two weeks. They have never come close to this schedule, and though I believe they can eventually do so, I don’t think they can do it so quickly.

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Iridium dumps Russia for SpaceX

In the heat of competition: Because of Russian red tape Iridium has switched from a Russian rocket to SpaceX’s Falcon 9 for placing its first 10 next generation communications satellites in orbit this year.

I thought the Putin government’s consolidation of its entire aerospace industry into a single corporation was going to speed things up? Not. Then again, SpaceX might not be any better, considering the problems it continues to have meeting its launch schedule.

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SpaceX scrubs Falcon 9 launch again

Update: It appears that they called the launch because of winds, though it also appears that the lower oxidizer temperatures have also reduced their weather margins.

In the heat of competition: For the second day in a row SpaceX has canceled a commercial launch of its Falcon 9 rocket because they were unable to get the oxygen in its tanks as cold as required.

The denser propellant gives the rocket added thrust, contributing to what SpaceX says is a 33 percent overall increase in its performance compared to the previous version.

But during countdowns Wednesday and Thursday, SpaceX reported trouble keeping the “deeply cryogenic” propellant cold enough. Although Thursday’s launch window lasted 96 minutes, it turned out SpaceX really only had one opportunity during that window. If any problem arose, SpaceX said the liquid oxygen would have to be drained and re-loaded, a process that would take too long.

This problem is troubling, suggesting that there might be a more fundamental issue here than they are saying. First, there was the significant delay since the last launch of this upgraded fueling system in December, implying that the data from that launch required some reworking. Now, they have scrubbed two launches in a row because they couldn’t get the oxygen cold enough to properly fuel the rocket. I also wonder if they need to reach a colder temperature in order to get enough fuel loaded to get the satellite to its proper orbit.

I generally trust SpaceX’s engineers to address a problem and fix it. Right now, however, they are under the gun. They need to get this working and begin launching rockets on a more reliable schedule. They have a lot of customers waiting in line.

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SpaceX launch scrubbed

SpaceX today scrubbed its Falcon 9 launch of a commercial communications satellite about a half hour before launch time.

They have not revealed why they cancelled, though they report the rocket is in good condition and have rescheduled for the same 6:46 pm (Eastern) launch tomorrow.

Update: It appears they had not gotten the rocket’s liquid oxygen as cold as they want. The colder it is, the denser it is, and the more fuel they can pack into the tank.

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