Bezos Accelerates NASA Moon Landing Competition, "Will Allocate $2 Billion Upon Contractor Selection" (Comprehensive)

Direct Confrontation with SpaceX's Sole Selection... "Will Remove Budget Constraints"
Controversy as NASA Overturned Multiple Contractor Plan and Selected Solely in April

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Hyunwoo Lee] Jeff Bezos, Chairman of Amazon's Board, announced that if NASA selects Blue Origin as the lunar lander contractor, he will provide up to $2 billion (approximately 2.3 trillion KRW) for development costs. This move directly challenges SpaceX, which was solely selected as the lunar lander contractor in April, and is expected to intensify competition for dominance in the space industry.

According to CNN and other foreign media on the 26th (local time), Bezos stated in a letter sent to NASA Administrator Bill Nelson that "If Blue Origin is selected as NASA's lunar lander contractor, Blue Origin will cover up to $2 billion in development costs spanning from the current government fiscal year to the next, as well as the costs for orbital missions for technical investigations," adding, "In return, Blue Origin hopes to sign a fixed-price contract."

The lunar lander production project is part of the U.S. government's Artemis program for lunar exploration. NASA selected SpaceX as the sole contractor for the lunar exploration project in April. Industry experts analyze that Bezos is engaging in a direct confrontation with SpaceX to secure a leading position in the space business sector.

When NASA announced the lunar lander contractor selection at the end of last year, it stated that multiple contractors would be selected considering sustainability and stability. Accordingly, three companies?SpaceX, Blue Origin, and defense contractor Dynetics?bidded, but in April, NASA suddenly changed the plan to select a sole contractor and chose SpaceX, sparking controversy.

NASA explained the sole contractor selection by citing budget pressures from the U.S. government due to the COVID-19 pandemic, stating that SpaceX offered a lower price than other companies and agreed to share all technology with NASA.

Bezos added in the letter, "My proposal will remove NASA's budget constraints," and "If there is no competition in this project, NASA's short- and long-term lunar plans will be delayed, ultimately costing more and not benefiting national interests." NASA and SpaceX reportedly did not immediately respond to requests for comments regarding this matter.