Elon Musk responds to a leaked email that warns SpaceX that it’s nearing bankruptcy.
Elon Musk has responded to claims that he sent SpaceX employees an Black Friday email asking them to work on SpaceX’s spaceship engine during the weekend.
The email, first posted in the morning via Space Explored, notified employees that production on Raptor engine line was in “crisis.” Raptor engines was at “crisis.”
Musk said the fact that Space X faced a “real risk of bankruptcy” in the event that the production of its new reused Starship rocket wasn’t sufficiently speeded up to be able to handle enough flights by 2021.
The weekend before Thanksgiving, Musk claimed SpaceX will need “all hands on deck,” and he also said he plans to spend the rest of the year working in SpaceX’s Raptor manufacturing line.
Musk tweeted on November 30, 2013: “The Starship program’s significance is not well-known. It’s intended to help people live longer on Mars (and the moon), which takes 1000 times the payload of all current Earth rockets combined to reach orbit.” “If a catastrophic global recession were to dry up financial availability/liquidity while SpaceX was losing billions on Starlink & Starship, then bankruptcy, while still implausible, is not unthinkable,” Musk warned in another tweet in response to allegations of the leaked email. To prove his point Musk SpaceX founder pointed to historical examples. “GM and Chrysler went BK [bankrupt]during the last recession,” he claimed. He hasn’t yet denied the legitimacy of the email as well as the possibility that it was sent from him.
If a severe global recession drains liquidity or cash supply, and SpaceX continues to suffer billions of dollars in losses in Starlink & Starship, bankruptcy is not out of reach.
GM and Chrysler filed for bankruptcy in the recession of 2008.
NASA granted SpaceX an $2.9 billion agreement in April for the construction of Starship as lunar lander, which could bring a team on a trip to moon space as early as 2024. Tests of prototypes have been taking place at Boca Chica, Texas, according to The Verge. This is a simplified version of the news.