Get 40% Off
🚨 Volatile Markets? Find Hidden Gems for Serious OutperformanceFind Stocks Now

Blue Origin sues U.S. government over SpaceX lunar lander contract

Published 08/16/2021, 11:30 AM
Updated 08/16/2021, 05:56 PM
© Reuters. FILE PHOTO: Amazon and Blue Origin founder Jeff Bezos addresses the media about the New Shepard rocket booster and Crew Capsule mockup at the 33rd Space Symposium in Colorado Springs, Colorado, United States April 5, 2017. REUTERS/Isaiah J. Downing/File P

By David Shepardson

WASHINGTON (Reuters) - Jeff Bezos' Blue Origin sued the U.S government over NASA's decision to award a $2.9 billion lunar lander contract to Elon Musk's SpaceX.

Blue Origin said its lawsuit filed in the U.S. Court of Federal Claims on Friday is "an attempt to remedy the flaws in the acquisition process found in NASA’s Human Landing System."

It added it believes "the issues identified in this procurement and its outcomes must be addressed to restore fairness, create competition, and ensure a safe return to the Moon for America."

Last month, the Government Accountability Office (GAO) sided with the National Aeronautics and Space Administration over its decision to pick a single lunar lander provider, rejecting Blue Origin's protest.

Blue Origin's lawsuit remains under seal. NASA must file a response to the challenge by Oct. 12.

"NASA officials are currently reviewing details of the case," the agency said in a statement. "With our partners, we will go to the Moon and stay to enable science investigations, develop new technology, and create high paying jobs for the greater good and in preparation to send astronauts to Mars."

The agency added, "as soon as possible, the agency will provide an update on the way forward for returning to the Moon as quickly and as safely as possible under Artemis."

Blue Origin and defense contractor Dynetics have argued that NASA was required to make multiple awards. The GAO said it "denied the protest arguments that NASA acted improperly in making a single award to SpaceX."

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

Blue Origin, the rocket company founded by Amazon.com Inc (NASDAQ:AMZN)'s founder, billionaire Bezos, said earlier it remained convinced there were "fundamental issues" with NASA's decision and that GAO was not able to address them "due to their limited jurisdiction."

Blue Origin said it will continue to advocate for two immediate providers as it believes that to be the right solution.

SpaceX, which is headed by Tesla (NASDAQ:TSLA) Inc's CEO, Musk, did not immediately comment on Monday.

NASA had sought proposals for a spacecraft that would carry astronauts to the lunar surface under its Artemis program to return humans to the moon for the first time since 1972.

In April, NASA awarded SpaceX a contract to build such a spacecraft as early as 2024.

Blue Origin had contended NASA gave SpaceX an unfair advantage by letting it revise its pricing.

Bezos has offered to cover up to $2 billion in NASA costs if the U.S. space agency awarded Blue Origin a lunar landing contract.

Latest comments

lool. Rich boys games
awww Bezos said it's not fair?? he thinks allowing him to have a piece of the action will create fairness and competition. Amazon has destroyed how many mom and pop spots? The richest man in the world stomping his feet screaming it's not fair... pathetic
I agree with Mr Bezos
I agree with Mr Bezos
Spot on Sir Bezos. Blue Origin’s program is superior.
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.