Aerospace giant Boeing is reportedly exploring the sale of some portions of its space business as it considers ways to streamline its operations. The Wall Street Journal reported Friday, citing people familiar with the matter, that Boeing is considering selling portions of its NASA business, including its troubled Starliner space vehicle and operations that support the International Space Station.
Boeing's Starliner program has faced development delays and technical problems, with more than $1.8 billion in private cost overruns. Two NASA astronauts who Boeing brought to the International Space Station earlier this year remain stuck there after the Starliner suffered from helium leaks and thruster issues. They are expected to return on rival SpaceX's Crew Dragon craft in February.
The Journal reported that Boeing and Lockheed Martin are separately looking to sell their rocket launch joint venture, the United Launch Alliance, which is focused on national security launches and operates independently of its two parent companies. Boeing is facing an ongoing strike by 33,000 machinists that has halted production of its best-selling 737 Max jets as well as 767 and 777 airliners.
The company's new CEO, Kelly Ortberg, who began serving in that role in August, said on a quarterly call with analysts on Wednesday that he wants Boeing to downscale the number of programs in its portfolio. "We're better off doing less and doing it better than doing more and not doing it well," Ortberg said on the call, though he didn't specifically reference Boeing's space division. GET FOX BUSINESS ON THE GO BY CLICKING HERE Reuters contributed to this report.
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