Breaking News: Boeing's Starliner Program Bleeds $125 Million Due to Delays | What You Need to Know
Boeing's Starliner program has suffered a massive setback, losing $125 million as delays plague its first crewed flight test. Originally planned for just eight days, the mission has now been orbiting for nearly two months. This latest loss adds to the $1.6 billion already sunk into the project, with Boeing shouldering all cost overruns under the fixed-price contract model.
In contrast, SpaceX, awarded a similar fixed-price contract for astronaut transportation services, has been meeting its obligations flawlessly with the Crew Dragon capsule. As a result of Starliner's delays, NASA has purchased additional missions from SpaceX, making the Elon Musk-led company the sole provider of astronaut transportation services for the space agency.
Boeing's struggles stem from serious issues discovered during an uncrewed test flight in 2019, leading to a two-year delay in subsequent tests. While a successful uncrewed mission in 2022 provided a momentary reprieve, new problems arose, pushing back the crewed flight test to June of this year. Despite successfully delivering NASA astronauts to the ISS, ongoing issues, such as malfunctioning thrusters, have delayed their return.
Boeing's mounting losses have prompted caution among executives, casting doubt on future fixed-price contracts. With NASA pushing back the next Starliner mission to at least August 2025, further losses seem inevitable. Major modifications to Starliner's propulsion system could prove costly in a worst-case scenario.
Currently, Starliner's return date to Earth remains uncertain, pending a final readiness review in early August. Encouraging thruster test results suggest progress, with NASA reporting a return to preflight levels of performance. Stay tuned for updates as the situation develops.
In summary, Boeing's Starliner program faces significant financial losses and ongoing technical challenges, impacting its future in the aerospace industry. Investors and industry watchers should monitor developments closely to gauge the program's long-term viability and potential implications on Boeing's overall financial health.