Starship gets contract to deliver Lunar Outpost’s rover to Moon

Capitalism in space: The lunar lander version of SpaceX’s Starship has won a contract from the startup Lunar Outpost to deliver its manned rover to the Moon.

The Colorado company announced Nov. 21 that it signed an agreement for SpaceX to use Starship to transport the company’s Lunar Outpost Eagle rover to the moon. The companies did not disclose a schedule for the launch or other terms of the deal.

This announcement is less a new deal for SpaceX and more an effort to convince NASA to award Lunar Outpost the full contract to build the rover. In April 2024 Lunar Outpost was one of three companies chosen by NASA to receive initial development grants to design their proposed manned lunar rovers. NASA expects to award the full contract, worth potentially up to $4.6 billion, to one of these three companies later this year, after seeing their preliminary designs. It wants to choose two, but at present says budget limitations make that impossible.

NASA picks three commercial companies to build manned lunar rovers

Capitalism in space: NASA yesterday announced that it has picked three commercial companies, Astrolab, Intuitive Machines, and Lunar Outpost, to begin feasibility design work on its new manned lunar rovers, dubbed a Lunar Terrain Vehicle (LTV), for its planned Artemis missions to the Moon.

NASA will acquire the LTV as a service from industry. The indefinite-delivery/indefinite-quantity, milestone-based Lunar Terrain Vehicle Services contract with firm-fixed-price task orders has a combined maximum potential value of $4.6 billion for all awards.

The three companies are actually each a partnership of several American companies, as follows:

  • Astrolab is building its FLEX rover in partnership with Axiom Space, Inc., and Odyssey Space. Its contract is worth up to $1.9 billion.
  • Intuitive Machines is building its RACER rover in partership with AVL, Boeing, Michelin, and Northrop Grumman. This initial award is worth $30 million, but future buys from NASA could exceed $1 billion.
  • Lunar Outpost is building its Lunar Dawn rover in partnership with Lockheed Martin, General Motors, Goodyear, and MDA Space.

All three lead companies are essentially startups that have partnered with older established players, a likely requirement imposed by NASA to give their effort some experienced help. Though this system of dividing up the work between all the players follows the old scheme used by NASA and the established big space companies for decades in order to guarantee every company gets steady work and a continuing cash flow from the government, the difference is that the product will be designed, built, and owned by each partnership, not NASA, allowing each to sell that product to others outside the agency.

If this goes as planned, eventually the government money will become somewhat irrelevant, once a real commercial industry starts functioning in space and on the Moon. That’s what happened in the airplane industry in the 1920s to the 1950s.