Rocket Lab Shows SpaceX Isn’t the Only Game in Orbit
The rapid development of reusable rockets spells trouble for Boeing and Lockheed Martin, which need to think about spinning off their space units.
CEO Peter Beck’s goal is for Rocket Lab to be an “end-to-end space company.”
Photographer: Valerie Plesch/Bloomberg
While space startup Rocket Lab USA Inc. prepares to test-launch its new medium-sized rocket next year, its shares have already blasted into orbit. This mostly reusable rocket, called Neutron, is designed to give space customers an alternative to SpaceX’s prolific Falcon 9.
Rocket Lab’s quick progress and investor enthusiasm show that SpaceX isn’t an outlier. The rapid development of reusable rockets that drive down launch prices are now par for the course. This new way of designing and manufacturing applies to space components as well, including satellites. This spells trouble for the legacy space companies, such as Boeing Co. and Lockheed Martin Corp., which are geared toward long development cycles that count on expensive government contracts.