AMU Homeland Security Opinion

Elon Musk to Sue US Military over Sat Launch Monopoly

By Brett Daniel Shehadey
Special Contributor for In Homeland Security

Entrepreneur and titan of innovation, Elon Musk, starting everything from Pay-Pal to Tesla Motors, to Space Exploration Technologies Corporation (SpaceX), is preparing to file a lawsuit in the Court of Federal Claims in Washington against the US Air Force. SpaceX is arguing that it should be given a chance to compete with the two largest defense contractors providing satellite launches for the military. As of now, Lockheed Martin and Boeing have a joint monopoly on providing space launch contracted services.

United Launch Alliance (ULA) is the joint venture formed by Lockheed and Boeing. The contested contract regards 36 satellite payloads over five years. Musk claims he can save the taxpayers about $1 billion dollars from the $7.2 billion dollar contract. He also demanded a new bidding process that was not exclusionary to any outside of ULA.

ULA spokeswoman Christa Bell said, “ULA recognizes the DOD plan to enable competition and is ready and willing to support missions with same assurance that we provide today.”

SpaceX currently has a contract with NASA for $1.6 billion dollars to supply the International Space Station. About a month ago, Musk trashed Lockheed Martin and Boeing’s use of Russian rockets in the Atlas V.

This is a timely jab but also an issue of concern as Russia steps up its belligerency in its domestic and foreign affairs and as the US considers harder sanctions against their industry. Naturally, cutting off any defense contracts or arms would be up for further review. Pentagon officials tasked the Air Force to look into the Russian contribution in terms of security risks.

Senator John McCain petitioned the inspector general to investigate the Air Force space launch program in a letter that questioned the lack of private competition.

According to the Air Force, SpaceX needs to perform three successful space launches; in addition to undergoing: an audit, a technical review of proposals and other loopholes before it is ready to compete. SpaceX says that it is going through the “paperwork exercises” now.

 

 

 

 

 

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