Status of ULA sale offer, as seen by bankers

Link here. The article outlines the perspective of the banking community to the sale, relative to the three potential known purchasers, Blue Origin, Cerberus, and Textron.

[M]ost contended that a deal should have been finalized years ago, as SpaceX now dominates the global rocket launch market and has grabbed share from ULA’s best customer, the U.S. military. The sticky part of a sale, those bankers said, is the need for new ownership that can both streamline ULA and invest in further innovation.

The price is another sticking point: Bankers suggested ULA’s owners initially sought more than $4 billion for the company, but the consensus of a reasonable winning bid was in the range of $2 billion to $2.5 billion. As one banker emphasized to me, there’s more competition among heavy launch vehicles like Vulcan today than there was a decade ago, and the rocket’s only just getting going now.

First, it appears that Textron has already dropped out. Second, the reason the sale was delayed was solely the fault of Blue Origin, as delays in delivering its BE-4 rocket engine to ULA caused the first launch of the Vulcan rocket to be delayed years. The sale couldn’t happen until that rocket was proven flightworthy.

The analysis between Blue Origin and Cerberus makes it hard picking either as the likely winner. It suggests that while Blue Origin, as a rocket company, might be able to more quickly take advanage of the ULA’s assets, Cerberus would be a better managerial fit, more able to trim the fat and make ULA more competitive. For sure, Blue Origin shows no ability to trim fat or work fast.

The bankers also indicated a dark horse could still appear.

Hat tip to BtB’s stringer Jay.

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Vibration testing of Sierra Space’s Tenacity mini-shuttle completed

NASA engineers have now completed vibration testing of Sierra Space’s Tenacity mini-shuttle, set to launch on a Vulcan rocket later this year.

Reading between the blather in the NASA press release at the link, it appears that testing was successful, proving that the Dream Chaser spacecraft can survive the vibrations of launch. This conclusion by me however remains unconfirmed. Engineers are now preparing the mini-shuttle for environmental testing.

Next up, Dream Chaser will move to a huge, in-ground vacuum chamber that will continue to simulate the space environment Dream Chaser will encounter on its mission. The spaceplane will be put through its paces, experiencing low ambient pressures, low-background temperatures, and dynamic solar heating.

Previously the launch date had been targeting April 2024, according to ULA officials. It now appears, from the vagueness of recent reports, as well as the actual testing now in progress, that the launch date has slipped. They appear to be targeting the first half of 2024, but are as yet unwilling to commit to a date.

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ULA’s Vulcan rocket successfully places payload in orbit on first launch

Vulcan at liftoff.
Vulcan at liftoff.

After four years of delay, mostly caused by delays at Blue Origin in delivering the two BE-4 engines used in the first stage, ULA’s Vulcan rocket finally completed its first launch early on January 8, 2024, lifting off from Cape Canaveral and successfully placing Astrobotic’s Peregrine lunar lander into orbit.

As of posting the upper stage had just deployed Peregrine, which will leave Earth orbit in about four days using its own engines. The upper stage has one more burn to send it into solar orbit, carrying the ashes of numerous people for the company Celestis.

The 2024 launch race:

3 SpaceX
1 India
1 China
1 ULA

For ULA, this launch is a very big deal. It is the first of two required in order for the Space Force to certify the rocket for future military launches. It also positions the company to begin the many launches that Amazon has awarded it to place into orbit a large percentage of that company’s Kuiper internet satellite constellation, assuming of course Blue Origin can deliver on schedule the many BE-4 engines that ULA will require.

This launch will also likely lead to the sale of ULA. » Read more

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NASA and one private company respond to Navaho nation’s demand to cancel lunar mission

Both NASA and one of the private companies involved in ULA’s first Vulcan rocket launch on January 8, 2023 that will carry the Astrobotic’s Peregrine lunar lander to the Moon have now responded to the Navaho nation, which has stated its religion gives it the unlimited right to decide what can go there.

Navaho President Buu Nygren had claimed earlier this week that the “Moon is sacred to numerous Indigenous cultures” and the payloads of human ashes being sent to the Moon was “tantamount to desecration.” He demanded the mission be delayed or canceled.
» Read more

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Navaho Indians attempt to claim ownership of the Moon, delay Vulcan launch

The president of the Navaho Nation has asked NASA to delay the first launch of ULA’s Vulcan rocket because it carries ashes from a number of people (none who were members of its tribe) that Astrobotic’s Peregrine lander will place on the Moon.

The remains are a payload purchased by the company Celestis, which offers this burial option to anyone who wishes it. On this flight that payload includes a wide range of ashes, including many actors and creators from the original Star Trek series.

Navaho President Buu Nygren claims that the “Moon is sacred to numerous Indigenous cultures and that depositing human remains on it is ‘tantamount to desecration.'”

Nygren highlighted this commitment in his letter, as well as a 2021 memo signed by the Biden administration that pledged to consult the tribe on matters that impact them. “This memorandum reinforced the commitment to Executive Order 13175 of November 6, 2000,” President Nygren wrote. “Additionally, the Memorandum of Understanding Regarding Interagency Coordination and Collaboration for the Protection of Indigenous Sacred Sites, which you and several other members of the Administration signed in November 2021, further underscores the requirement for such consultation.”

In other words, though the Navaho have no plans to ever go there, have done nothing to try to explore it, and have no remains of any tribal members on the flight, he wants to claim the Moon as controlled entirely and forever by the Indian tribes of North America because of a law designed solely to protect specific archeological sites on Earth, where Indian remains are discovered.
» Read more

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ULA’s Vulcan rocket fully stacked for the first time

Peregrine landing site
The landing site for Astrobotic’s Peregrine lunar lander

In preparation for its targeted January 8, 2024 launch, ULA’s Vulcan rocket has now been fully stacked for first time in its assembly building at Cape Canaveral.

ULA’s new rocket has rolled between its vertical hangar and the launch pad at Cape Canaveral Space Force Station several times for countdown rehearsals and fueling tests. But ULA only needed the Vulcan rocket’s first stage and upper stage to complete those tests. The addition of the payload shroud Wednesday marked the first time ULA has fully stacked a Vulcan rocket, standing some 202 feet (61.6 meters) tall, still surrounded by scaffolding and work platforms inside its assembly building.

It will next be rolled to the launchpad for some final checks prior to launch on January 8, 2023. Unlike most first launches, it carries a real payload, Astrobotic’s Peregrine lunar lander, which hopes to softly place several NASA and commercial payloads near the Gruithuisen Domes in the northwest quadrant of the Moon’s visible hemisphere, as shown on the map above.

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Amazon files to have shareholder lawsuit dismissed

On December 11, 2023 Amazon requested dismissal of a shareholder lawsuit against it for acting in bad faith by excluding SpaceX in its initial launch contracts with ULA, Arianespace, and Blue Origin to put its Kuiper constellation of satellites into orbit.

The lawsuit claimed that the board performed little diligence on the proposed contracts to launch the 3,236-satellite constellation with the Ariane 6, New Glenn and Vulcan Centaur rockets. The combined contracts were, it stated, the second largest capital expenditure in Amazon’s history at the time, trailing only its $13.7 billion acquisition of grocer Whole Foods.

The lawsuit stated that the board and its audit committee spent “barely an hour” reviewing those contracts, including those that would go to Blue Origin and ULA. Blue Origin is owned by Amazon founder and former chief executive Jeff Bezos, while ULA has a contract with Blue Origin to use BE-4 engines on its Vulcan rocket. The suit estimated that nearly 45% of the value of the contracts goes to Blue Origin either directly or through the BE-4 engine contract with ULA.

Amazon’s call for dismissal disputes these claims, stating that the board spent far more time on the issue, and then documents this. Interestingly, it makes no mention of the recent additional launch contract Amazon signed with SpaceX on December 3, 2023, but it is obvious that this filing was timed to occur afterward in order to strengthen Amazon’s case.

Amazon’s response (available at the link above) is heavily redacted, so some of the company’s claims are difficult to assess. For example, if the board did consider the issue of launch contractors properly, the subject of using SpaceX should have come up and been discussed at length. The redactions make it impossible to determine if this was so. If anything, what can be read suggests SpaceX was dismissed as an option far too quickly.

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ULA likely to delay first Vulcan launch to January launch window

According to a tweet yesterday by ULA’s CEO, Tory Bruno, the final dress rehearsal countdown of its new Vulcan rocket had some “routine” issues that will require a redo and thus prevent the planned launch on December 24, 2023.

WDR [wet dress rehearsal] update: Vehicle performed well. Ground system had a couple of (routine) issues, (being corrected). Ran the timeline long so we didn’t quite finish. I’d like a FULL WDR before our first flight, so XMAS eve is likely out. Next Peregrine window is 8 Jan.

Peregrine is Astrobotic’s lunar lander, which must launch within certain time frames to get to the Moon as planned.

As many news sites are noting (almost certainly because they read my launch race reports), ULA will likely complete 2023 with only three launches, its lowest total since it was formed in 2007 from a merger of the launch divisions of Boeing and Lockheed Martin. Prior to 2017 the company had averaged about one launch per month. In 2017 however SpaceX’s Falcon 9 rocket finally reached full operations, hitting 18 launches and steadily since then increasing that total. Its success (and lower prices) shifted the business from ULA, causing its annual launch totals to drop significantly, as shown in my 2022 global report.

Once Vulcan begins launching finally ULA should recover, especially because of its large contract with Amazon to launch the Kuiper constellation totalling almost fifty launches. A large percentage of those launches must be completed before 2026 for Amazon to meet the requirements of its FCC license.

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Amazon signs launch contract with SpaceX

Amazon on December 1, 2023 announced it has signed a three-launch contract with SpaceX to place its Kuiper satellites into orbit, supplementing the launch contracts it presently has with ULA, Arianespace, and Blue Origin. From the Amazon press release:

SpaceX’s Falcon 9 is a reusable, two-stage launch vehicle designed for the reliable and safe transport of people and payloads into Earth orbit and beyond, and it has completed more than 270 successful launches to date. Project Kuiper has contracted three Falcon 9 launches, and these missions are targeted to lift off beginning in mid-2025.

In 2022 Amazon had signed contracts with the other three launch companies, with ULA getting 38 Vulcan launches (in addition to 9 already signed for its Atlas-5), Arianespace getting 18 Ariane-6 launches, and Blue Origin getting 12 New Glenn launches.

The problem however is that, except for the Atlas-5, none of these rockets has yet completed its first flight. Since Amazon’s FCC license requires it to get half of its constellation of 3,200+ satellites into orbit by 2026 or face penalties, the uncertainty of these rockets has probably forced Amazon management to consider SpaceX, despite likely hostility to such a deal from Jeff Bezos (owner of Blue Origin and founder of Amazon).

Amazon management also probably decided to sign this deal because of a lawsuit filed in September 2023 by company stockholders, accusing the management of neglience because it never even considered SpaceX in earlier contract negotiations while giving favoritism to Bezos’s company Blue Origin. At that time Amazon had already paid these launch companies about $1.7 billion, with Blue Origin getting $585 million, though not one rocket has yet launched, with Blue Origin showing no evidence that a launch coming anytime soon.

The impression of a conflict of interest by Amazon’s board of directors appeared very obvious. This new SpaceX contract weakens that accusation.

More important the deal will help Amazon actually get its satellites into orbit. It appears that reality is finally biting at Amazon, and its management has realized that the three companies they have been relying on might not be up to the job (especially Blue Origin).

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Amazon’s first two Kuiper satellites in orbit worked exactly as planned

Amazon announced today that its first two Kuiper satellites, launched into orbit by ULA’s Atlas-5 rocket on October 6, 2023, have worked exactly as planned, thus allowing the company to begin building operational satellites.

With the prototypes’ testing in space now complete, Badyal said Amazon plans to begin building the first production Kuiper satellites in December and launch the first satellites for its network in the “latter part of the first half” of 2024. Badyal emphasized that Amazon wasn’t sure what performance to expect from the prototype satellites, since “you don’t know how well it’s going to work in space.”

“They’re working brilliantly,” Badyal said.

The need of Amazon to start launching lots of satellites next year — in order to meet its FCC license requirements to put half of its 3,000+ constellation in orbit by 2026 — puts great pressure on ULA, Blue Origin, and Arianespace to get their new but as yet unlaunchd rockets operating. All three have big launch contracts with Amazon, but none presently appear to have the capability to meet the demands of those contracts.

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Space Force awards SpaceX and ULA new launch contracts worth $2.5 billion

Space Force yesterday awarded both SpaceX and ULA new launch contracts worth $2.5 billion and totaling 21 launches over the next two to three years.

The final batch of assignments were split almost evenly, according to Col. Doug Pentecost, the deputy program executive officer of the Space Force’s Space Systems Command. ULA received 11 missions, valued at $1.3 billion, and SpaceX received 10 missions, valued at $1.23 billion.

Space Systems Command said the missions are scheduled to launch over the next two to three years. ULA, a joint venture of Boeing and Lockheed Martin, will use its soon-to-debut Vulcan rocket for the 11 missions, while SpaceX will fly seven missions with its Falcon 9 rocket and three missions with its Falcon Heavy rocket.

For SpaceX this award is no surprise. The ULA contract is more puzzling. Supposedly the Space Force was not going to award any launch contracts for ULA’s new Vulcan rocket until it successfully launched twice and was certified by the military as operational. Yet, it has now awarded ULA this contract for Vulcan launches. Has the military awarded the contract on a contingency basis? What happens if Vulcan has a failure on one of its first two launches?

The Space Force’s present arrangement limits bidding for launches to just these two companies. If Vulcan fails will it open bidding to other companies, or will it transfer launches to SpaceX?

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ULA sets Christmas Eve as launch date for first Vulcan rocket launch

In an interview for CNBC, ULA’s CEO revealed that the company has now scheduled the first orbital launch of its new Vulcan rocket for December 24, 2023, Christmas Eve, with a backup launch window in January.

The rocket will carry Astrobotic’s Peregrine lunar lander, targeting the western edge of the lunar mare dubbed Mare Imbrium. It will also carry human ashes to be buried in space, from the private company Celestis.

Vulcan was also originally supposed to carry Amazon’s first two test Kuiper satellites, but the delays in developing Vulcan forced ULA to use an Atlas-5 rocket instead, that launched on October 6th.

If the launch is successful, the company will try to quickly ramp up its launch pace to 24 times per year, in order to meet the contract for 47 launches it has with Amazon to launch Kuiper satellites, as well as its contract obligations to the Pentagon to launch military satellites.

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