Just in: The Trump administration considered ending SpaceX contracts but found them vital for the Defense Department and NASA, reports WSJ. #SpaceX #Defense
*THE TRUMP ADMINISTRATION REVIEWED SPACEX’S GOVERNMENT CONTRACTS AFTER A FEUD BETWEEN TRUMP AND MUSK - WSJ https://t.co/FXXTHuMqVI
Trump administration is examining SpaceX's government contracts due to ongoing disagreements between Trump and Elon Musk. 📝
The Trump administration initiated a review of SpaceX's federal government contracts following a public feud between President Donald Trump and SpaceX CEO Elon Musk, particularly after Musk criticized Trump's tax plan. According to reports from the Wall Street Journal, Trump aides considered terminating some of SpaceX's contracts. However, the review concluded that most of these contracts are vital to national security and space exploration missions, primarily for the Pentagon and NASA. The administration found that SpaceX's services are critical for Pentagon launches, NASA missions, and national-security satellite deployments, with no viable alternatives currently available. SpaceX holds approximately $22 billion in government contracts, and the company has reportedly saved the government over $40 billion compared to traditional launch systems, with SpaceX launches costing less than $75 million each, significantly less than alternatives like the Space Launch System (SLS). Despite the tensions between Trump and Musk, the government's reliance on SpaceX's capabilities has prevented a large-scale cancellation of contracts.