Connect with us

News

Blue Origin lawsuit forces SpaceX, NASA to stop joint work on Starship Moon lander

Published

5 years ago

on

Days after Jeff Bezos space startup Blue Origin sued NASA over its decision to solely award SpaceX a contract to turn Starship into a Moon lander, it’s become clear that the space agency will again have to freeze work on the program.

Earlier this week, it was reported that Blue Origin had made good on a veiled threat to sue NASA over disagreements over the space agency’s latest Human Landing System (HLS) procurement decisions. Namely, NASA decided not to proceed with Blue Origin’s National Team Moon lander proposal, which was twice as expensive as SpaceX’s Starship proposal, less technically sound, and promised significantly less cost-sharing.

SpaceX, on the other hand, proposed to turn Starship into a safe, crew-rated, reusable Moon lander for about the same cost as Blue Origin’s proposal price: $6 billion, give or take. However, NASA says that the company offered to pay for more than half of the Starship Moon lander’s development, lowering NASA’s actual cost to just $2.9 billion. Coincidentally or not, $2.9 billion – with some minor concessions on when that funding would be dispersed to the HLS winner – would end up being almost exactly what NASA could afford over the program’s four to five-year lifespan.

As previously discussed on Teslarati, NASA repeatedly and explicitly warned all three HLS Option A competitors (SpaceX, Blue Origin, and Dynetics) that it withheld the ability to award as many or as few contracts as it wanted – including none at all. Ultimately, exactly as it had cautioned, NASA weighed the three proposals it received against its existing budget (a middling $850M of $3.4B requested in FY21) and selected just one – a proposal from SpaceX that was conveniently both the cheapest and most technically sound.

Advertisement

“The fixed-price [Starship] contract will cost NASA $2.9B over four or so years – narrowly within the space agency’s reach if Congress continues to appropriate around $850M annually ($3.4B over four years). The numbers are very simple. As GAO notes [in its protest denial], the Broad Agency Announcement (BAA) tool NASA used for its HLS Option A acquisition also explicitly allowed the agency to select as many or as few proposals as it wants, including none at all. In the lead-up to proposal submission, official NASA documents repeatedly cautioned as much, warning that the agency might not even award one contract depending on funding or the quality of proposals it received.

For Blue Origin’s lawsuit to succeed, the increasingly desperate company will have to convince a federal judge that basic realities and longstanding precedents of federal procurement – not just NASA’s HLS award to SpaceX – are flawed and need to be changed. The odds of success are thus spectacularly low. However, if the presiding judge allows the case to proceed and awards Blue Origin an injunction against NASA, it could force the space agency to cease work on SpaceX’s HLS contract for months and potentially freeze SpaceX’s access to the $300M NASA recently disbursed.”

Teslarati.com — August 16th, 2021

Unfortunately, just as speculated, Blue Origin’s lawsuit appears to have found just enough footing to disrupt the HLS program yet again. Thanks to the first protests of Blue Origin and Dynetics, NASA and SpaceX were forced to stop cooperative work on the Starship Moon lander for more than three months. Now, on August 19th, NASA reportedly “voluntarily paused” work on SpaceX’s HLS Moon lander contract and will continue to do so until November 1st – potentially adding another ~74 days to the 95-day delay Blue Origin’s meddling has already partially caused.

On its own, the announcement is already fairly bizarre. For unknown reasons, Blue Origin apparently agreed to “an expedited litigation schedule” in return for NASA voluntarily pausing work on SpaceX’s HLS contract. It’s unclear why any plaintiff that believes it has a strong case would allow an artificial limit to be placed on the amount of time available for litigation, but that’s exactly what Blue Origin has agreed to.

Per that “expedited schedule,” NASA’s voluntary work halt will end on November 1st after several scheduled rounds of motions and cross-motions from Blue Origin, SpaceX, and the space agency. It’s unclear when a ruling might be expected but the schedule published seems to imply that it would come sometime before NASA and SpaceX resume work.

Advertisement

It’s now increasingly likely that being forced to spend more than five months without the ability to seriously work or collaborate with SpaceX on its HLS contract will significantly delay NASA’s necessary contributions and thus humanity’s return to the Moon. Thankfully, as was the case with the initial 95-day delay caused by contract protests, no part of Blue Origin’s lawsuit will prevent SpaceX itself from continuing to develop Starship, though it almost certainly hampers the company’s ability to mature its Starship Moon lander design.

In the meantime, while Blue Origin busies itself with a general determination to disrupt NASA’s return to the Moon until it receives a slice of the pie its executives and owner feel entitled to, SpaceX will simply continue a full-court press towards Starship’s orbital launch debut and focus on building, testing, flying, and rebuilding the hardware that will return humanity to the Moon and, just maybe, revolutionize spaceflight as we know it.

Related Topics:

Eric Ralph is Teslarati's senior spaceflight reporter and has been covering the industry in some capacity for almost half a decade, largely spurred in 2016 by a trip to Mexico to watch Elon Musk reveal SpaceX's plans for Mars in person. Aside from spreading interest and excitement about spaceflight far and wide, his primary goal is to cover humanity's ongoing efforts to expand beyond Earth to the Moon, Mars, and elsewhere.

Advertisement
Comments

Elon Musk

Tesla Full Self-Driving set to get an awesome new feature, Elon Musk says

Published

7 hours ago

on

February 21, 2026

By

Credit: Teslarati

Tesla Full Self-Driving is set to get an awesome new feature in the near future, CEO Elon Musk confirmed on X.

Full Self-Driving is the company’s semi-autonomous driving program, which is among the best available to the general public. It still relies on the driver to ultimately remain in control and pay attention, but it truly does make traveling less stressful and easier.

However, Tesla still continuously refines the software through Over-the-Air updates, which are meant to resolve shortcomings in the performance of the FSD suite. Generally, Tesla does a great job of this, but some updates are definitely regressions, at least with some of the features.

Tesla Cybertruck owner credits FSD for saving life after freeway medical emergency

Tesla and Musk are always trying to improve the suite’s performance by fixing features that are presently available, but they also try to add new things that would be beneficial to owners. One of those things, which is coming soon, is giving the driver the ability to prompt FSD with voice demands.

For example, asking the car to park close to the front door of your destination, or further away in an empty portion of the parking lot, would be an extremely beneficial feature. Adjusting navigation is possible through Grok integration, but it is not always effective.

Musk confirmed that voice prompts for FSD would be possible:

Tesla Full Self-Driving is a really great thing, but it definitely has its shortcomings. Navigation is among the biggest complaints that owners have, and it is easily my biggest frustration with using it. Some of the routes it chooses to take are truly mind-boggling.

Another thing it has had issues with is being situated in the correct lane at confusing intersections or even managing to properly navigate through local traffic signs. For example, in Pennsylvania, there are a lot of stop signs with “Except Right Turn” signs directly under.

This gives those turning right at a stop sign the opportunity to travel through it. FSD has had issues with this on several occasions.

Parking preferences would be highly beneficial and something that could be resolved with this voice prompt program. Grocery stores are full of carts not taken back by customers, and many people choose to park far away. Advising FSD of this preference would be a great advantage to owners.

Continue Reading

Cybertruck

Elon Musk clarifies Tesla Cybertruck ’10 day’ comment, fans respond

Some are arguing that the decision to confirm a price hike in ten days is sort of counterproductive, especially considering it is based on demand. Giving consumers a timeline of just ten days to make a big purchase like a pickup truck for $60,000, and basically stating the price will go up, will only push people to make a reservation.

Published

8 hours ago

on

February 21, 2026

By

Credit: Tesla

Elon Musk has clarified what he meant by his comment on X yesterday that seemed to indicate that Tesla would either do away with the new All-Wheel-Drive configuration of the Cybertruck or adjust the price.

The response was cryptic as nobody truly knew what Musk’s plans were for the newest Tesla Cybertruck trim level. We now have that answer, and fans of the company are responding in a polarizing fashion.

On Thursday night, Tesla launched the Cybertruck All-Wheel-Drive, priced competitively at $59,990. It was a vast improvement from the Rear-Wheel-Drive configuration Tesla launched last year at a similar price point, which was eventually cancelled just a few months later due to low demand.

Tesla launches new Cybertruck trim with more features than ever for a low price

However, Musk said early on Friday, “just for 10 days,” the truck would either be available or priced at $59,990. We can now confirm Tesla will adjust the price based on more recent comments from the CEO.

Musk said the price will fluctuate, but it “depends on how much demand we see at this price level.”

Some are defending the decision, stating that it is simply logical to see how the Cybertruck sells at this price and adjust accordingly.

Others, not so much.

Some are arguing that the decision to confirm a price hike in ten days is sort of counterproductive, especially considering it is based on demand. Giving consumers a timeline of just ten days to make a big purchase like a pickup truck for $60,000, and basically stating the price will go up, will only push people to make a reservation.

Demand will look strong because people want to lock in this price. The price will inevitably go up, and demand for the trim will likely fall a bit because of the increased cost.

Many are arguing Musk should have kept this detail internal, but transparency is a good policy to have. It is a polarizing move to confirm a price increase in just a week-and-a-half, but the community is obviously split on how to feel.

Continue Reading

Cybertruck

Tesla Cybertruck’s newest trim will undergo massive change in ten days, Musk says

It appears as if the new All-Wheel-Drive trim of Cybertruck won’t be around for too long, however. Elon Musk revealed this morning that it will be around “only for the next 10 days.”

Published

1 day ago

on

February 20, 2026

By

(Credit: Tesla)

Tesla’s new Cybertruck trim has already gotten the axe from CEO Elon Musk, who said the All-Wheel-Drive configuration of the all-electric pickup will only be available “for the next ten days.”

Musk could mean the price, which is $59,990, or the availability of the trim altogether.

Last night, Tesla launched the All-Wheel-Drive configuration of the Cybertruck, a pickup that comes in at less than $60,000 and features a competitive range and features that are not far off from the offerings of the premium trim.

Tesla launches new Cybertruck trim with more features than ever for a low price

It was a nice surprise from Tesla, considering that last year, it offered a Rear-Wheel-Drive trim of the Cybertruck that only lasted a few months. It had extremely underwhelming demand because it was only $10,000 cheaper than the next trim level up, and it was missing a significant number of premium features.

Simply put, it was not worth the money. Tesla killed the RWD Cybertruck just a few months after offering it.

With the news that Tesla was offering this All-Wheel-Drive configuration of the Cybertruck, many fans and consumers were encouraged. The Cybertruck has been an underwhelming seller, and this seemed to be a lot of truck for the price when looking at its features:

  • Dual Motor AWD w/ est. 325 mi of range
  • Powered tonneau cover
  • Bed outlets (2x 120V + 1x 240V) & Powershare capability
  • Coil springs w/ adaptive damping
  • Heated first-row seats w/ textile material that is easy to clean
  • Steer-by-wire & Four Wheel Steering
  • 6’ x 4’ composite bed
  • Towing capacity of up to 7,500 lbs
  • Powered frunk

It appears as if this trim of Cybertruck won’t be around for too long, however. Musk revealed this morning that it will be around “only for the next 10 days.”

Musk could mean the price of the truck and not necessarily the ability to order it. However, most are taking it as a cancellation.

If it is, in fact, a short-term availability decision, it is baffling, especially as Tesla fans and analysts claim that metrics like quarterly deliveries are no longer important. This seems like a way to boost sales short-term, and if so many people are encouraged about this offering, why would it be kept around for such a short period of time?

Some are even considering the potential that Tesla axes the Cybertruck program as a whole. Although Musk said during the recent Q4 Earnings Call that Cybertruck would still be produced, the end of the Model S and Model X programs indicates Tesla might be prepared to do away with any low-volume vehicles that do not contribute to the company’s future visions of autonomy.

The decision to axe the car just ten days after making it available seems like a true head-scratcher.

Continue Reading