Boeing Considers Selling Its Space Business Amid Challenges

Boeing is strategically evaluating the potential sale of its space business, which includes its NASA contracts, according to a report from The Wall Street Journal. This exploration comes at a time when the company faces significant hurdles with its Starliner program, designed to ferry astronauts to the International Space Station (ISS). Competing primarily against SpaceX’s Crew Dragon, which has proven to be far more effective with over 40 critical visits to the ISS, Boeing acknowledges the challenges, reporting losses over $1.8 billion related to the Starliner program alone. New CEO Kelly Orberg advocates for a leaner approach, expressing the need for Boeing to focus on fewer projects that are executed better, rather than a broader range of less effective endeavors. The report also highlights complications surrounding other joint ventures and programs, particularly the Space Launch System and the United Launch Alliance (ULA), with potential sales and valuations discussed totaling between $2 billion to $3 billion. As Boeing grapples with these issues, it signals a potential pivot in strategy to remain relevant in an increasingly competitive space economy where agility and innovation are paramount. The delays and difficulties underscore Boeing’s struggle to adapt to the rapid advancements made by competitors like SpaceX, raising questions about the future direction of its space operations.