Boeing may put its iconic aerospace business up for sale and is in talks with Jeff Bezos' Blue Origin, reports say
Aerospace giant Boeing is under such financial pressure that it is exploring selling business units that support NASA's core missions, sources said. The Wall Street Journal Friday
That could include the company's Starliner space taxi program and operations related to the International Space Station, but would not include NASA's massive Space Launch System rocket, the report said.
Such considerations occurred even before Kelly Ortberg took over as CEO in August. D Journal Said that before he came aboard, Boeing discussed taking over some of NASA's programs with Jeff Bezos' Blue Origin space company.
A Boeing spokesman said this information fate The company does not comment on market rumors or speculation. Blue Origin did not immediately respond to a request for comment.
The news comes days after Boeing released third-quarter results that showed a $6 billion loss as its commercial aircraft unit was hampered by a strike that continues, with workers rejecting the latest offer.
In addition, accidents involving Boeing passenger jets earlier this year have brought the company's manufacturing processes and work culture under increasing scrutiny, weighing more on its commercial division.
During Ortberg's first earnings conference call as CEO on Wednesday, he promised to make the company iconic again, but also suggested taking a hard look at units outside its core commercial and defense businesses.
“We're better off doing less and doing it well than doing more,” he told analysts. “What do we want this company to look like five and 10 years from now? And do these things add value to the company or distract us?
Boeing's long space legacy includes the iconic Saturn V rocket that carried astronauts to the Moon during the Apollo program as well as space shuttles. It is also the prime contractor for the space station.
But its Starliner program suffered a major setback earlier this year, when a crewed test flight carried two astronauts to the space station but a capsule malfunction left them stranded.
In August, NASA said it would return astronauts to Earth on a SpaceX mission in February 2025, pushing the astronauts' total time in space to eight months if all goes according to plan.
Meanwhile, SpaceX has been ferrying astronauts to and from the space station for years as other contractors under NASA's Space Taxi program. Elon Musk's company has also emerged as a top provider of launch services for the US military, other governments and companies around the world.
SpaceX's latest triumph was a test flight of its giant Starship rocket that landed its super heavy booster on a launch pad earlier this month.
In contrast, Boeing is lagging behind its Starliner space taxi as well as its Space Launch System rocket, which is being designed for deep-space missions. Although it had a successful pilot launch in 2022, it has suffered delays and cost overruns.
For its part, NASA said it has come a long way from “stopping Boeing” as a space partner and expressed continued confidence in the company.
In August, NASA Administrator Bill Nelson said he was “100%” sure Boeing would launch another crewed mission on Starliner in the future, citing the working relationship between NASA and the company.