Boeing is looking to exit the space business by offloading its space program to improve business holdings and operations, as reported by The Wall Street Journal. Boeing has been a major NASA contractor since the Apollo days, working on projects like Starliner, SLS, and ISS operations. The company’s major projects have faced difficulties recently, including delays and cost overruns with SLS. Boeing has also struggled in its core airplane business, facing bad press after fatal crashes involving the 737 Max. In an effort to correct course, Boeing replaced its CEO and is considering shedding portions of its portfolio.
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In a surprising move, aerospace giant Boeing has announced its plans to divest from its space business, as reported by The Wall Street Journal. This decision comes as part of a larger effort to streamline and improve the company’s operations and holdings.
Boeing has a long history in the space industry, dating back to its involvement in NASA’s Apollo program. Over the years, the company has worked on major projects such as Starliner, the Space Launch System (SLS), and operations for the International Space Station (ISS). However, all of these projects have faced significant challenges in recent years.
The SLS, which is NASA’s heavy-lift launch vehicle designed for sending Artemis crews back to the moon, has experienced delays and cost overruns. Boeing, responsible for building the core stage of the rocket, saw its debut delayed several times due to engineering issues.
Additionally, Boeing’s involvement in ISS operations may be impacted, as the space station is set to be decommissioned in 2030 with no clear successor in place. The company’s struggles in its core airplane business, including the fallout from the 737 Max crashes and a recent labor strike, have also contributed to the decision to reevaluate its space holdings.
Boeing’s CEO Kelly Ortberg hinted at this strategic shift during an earnings call in October, suggesting that the company may be looking to shed certain assets to focus on its core businesses. This move aligns with a trend in the industry, as fellow contractor Lockheed Martin has also considered selling off its space assets, such as the United Launch Alliance.
As Boeing navigates these changes, it will be interesting to see how this impacts the future of the space industry and the company’s overall trajectory. Stay tuned for more updates on this developing story.
Fun Fact: Boeing’s involvement in space dates back to the 1960s when it played a key role in building the Saturn V rockets that launched astronauts to the moon during the Apollo missions.
