Lost to SpaceX! Boeing (BA.US) seeks to withdraw from the space race and sell related businesses

Zhitongcaijing · 10/26 02:33

The Zhitong Finance App learned that, according to people familiar with the matter, Boeing (BA.US) is considering selling its space exploration business in collaboration with the government, including the troubled Starliner spacecraft and projects to support the operation of the International Space Station.

Boeing is currently facing a serious financial crisis. Just this week, Boeing workers voted to reject the company's latest contract offer and extended the strike again, causing most aircraft production to stop. The company also announced its worst quarterly results in history this week, with a cumulative loss of 6 billion US dollars for the third quarter.

For decades, Boeing has been working closely with the National Aeronautics and Space Administration (NASA) on large-scale projects, including the Apollo astronaut mission and the creation of the space station. However, in recent years, Musk's SpaceX has replaced Boeing as NASA's most important partner.

In June, American astronauts Wilmore and Williams arrived at the International Space Station aboard the Boeing Starliner spacecraft for the first manned test flight, but due to problems such as propeller failure and helium gas leaks, the return flight was repeatedly delayed, and they are still stranded in space. This has had a serious impact on Boeing's reputation.

Furthermore, since the beginning of this year, Boeing aircraft accidents have continued, revealing serious quality and safety flaws, causing sales of Boeing aircraft to drop drastically, causing the company to be criticized by regulators, legislators, and airlines.

Boeing's new CEO Kelly Ortberg (Kelly Ortberg) has been trying to get Boeing out of the crisis in the aircraft manufacturing business. In a quarterly conference call with analysts on Wednesday, Otterberg said he wanted Boeing to “do less and do better,” but didn't mention the space department.

Otterberg said he is considering selling some assets and seeking to abandon problematic projects. He added that with the exception of core commercial and defense operations, almost everything is on the negotiation table.