SpaceX has gone through a tough battle in winning a U.S. military contract, but finally, they emerged victorious. According to reports, SpaceX has won its first significant U.S. military contract worth $83 million to launch a satellite into space come 2018.
SpaceX Wins Over Pentagon In Sending A Satellite Into Orbit
The Wall Street Journal reported that SpaceX has finally received their first U.S. military contract and it is a huge deal. The U.S. Air Force awarded Space Exploration Technologies Corp. a.k.a. SpaceX an $82.7 million deal to launch a satellite into the orbit in 2018. The goal of the satellite launch is to support the Global Positioning System used by the military and consumers for navigation.
Per the report, SpaceX's bidding is 40 percent lesser than the Pentagon's offer. It is the first Pentagon's competition in over a decade, but SpaceX beats them by offering a much lower price.
The Air Force announced the award late Wednesday. Meanwhile, Lt. Gen. Samuel Greaves commander of Space and Missile System Center disclosed that they received two offers but did not identify the bidder. However, he announced that SpaceX bid was 40 percent lesser but SpaceX declined to comment.
ULA Backed Out In The Bidding
United Launch Alliance or ULA was among the bidder. However, per the report, ULA backed out last year due to the lack of Russian-made engines and other concerns hindering them to give a fair competition.
"ULA wanted nothing more than to compete, but unfortunately we were unable to submit a bid for this GPS III launch service," a spokeswoman said on Thursday. According to Engadget, the U.S. Air Force awarded a contract for 26 rockets to ULA way back in 2014.
Elon Musk believed that SpaceX had a better offer but it wasn't even allowed the chance to bid. He filed a lawsuit to block the contract and alleged that one of the officials in charge of awarding the deal was handed a cushy job at the ULA.
Well, Musk has now earned a U.S. military contract because finally, SpaceX is awarded the satellite luncheon in 2018. Are you happy for SpaceX? Share your thoughts below.
