SpaceX Announces Plans To Trim Its Workforce By 10 Percent
A spokeswoman of SpaceX recently told a media outlet that the company has plans to trim its workforce. The company which is currently based in California would reportedly be cutting out the jobs of nearly10 percent of the company’s current workforce. According to the company on its official website, it employs over 6,000 people.
In its official statement, the company noted that so it could continue to deliver for its customers while also recording success in the growing interplanetary spacecraft coupled with an internet that is global space-based, the company has to get leaner.
It noted in its official statement that the developments it intends to embark on soon have led to the bankruptcy of some organizations in the past even when all they did was attempt the developments separately. As a result, the company said it had to let go of some of its hardworking and talented team members while appreciating their commitment and accomplishment when they were with the company.
Tackling Future Challenges
The company noted that its reason for taking action is a result of the challenges ahead which would likely be extraordinarily difficult and it would not have taken action if it wasn’t necessary.
The employees of SpaceX to be laid off would reportedly be offered at least eight weeks pay as well as other benefits. Also, the company has in place some plans to offer assistance with resume help, career coaching and also job searches for the affected employees.
Recently, a Securities and Exchange Commission filing revealed that the company succeeded in raising $273 million from preferred stock. Also in December, a media outlet reported that the company was raising about $500 million in funding and that sum placed its valuation at nearly $30.5 billion.
According to reports, the company makes the bulk of its income from launches of commercial and also national security satellite. Also, it has made money from 2 NASA contracts, and while one of the contracts is a deal worth billions of dollars for the delivery of cargo to International Space Station, the other deal costs almost $2.6 billion and is for the development of a capsule capable of delivering astronauts to International Space Station. According to sources, the capsule’s first launch is scheduled to be held in February.
That isn’t all the ambitious plans the company led by Elon Musk. Musk has noted that the company will carry out hopper test on its spaceship prototype for Mars soon and it might be as soon as February. The project is an expensive one as the production of the spaceship as well as the rocket system will likely cost billions of dollars.
Last year in May, the company was described as profitable, and its profitability has reportedly been for many years.
The development of the company’s new projects as already mentioned would cost billions of dollars. In September 2018, Musk estimates that the company would spend around $2 billion to $10 billion for the development of a spaceship known as Starship and a rocket system known as Super Heavy. Space X has plans to make use of the technology in flying tourists’ right to space, and it also hopes to one day be able to send men to Mars.
Last year, he said that Yusaku Maezawa, a Japanese billionaire has already made an undisclosed deposit so that one day together with six or eight artists, he can go on a trip around the moon. According to Musk’s prediction, that trip could come as early as 2023.
Also, SpaceX is in the middle of the development of a satellites constellation which has the potential to beam internet at high speed down to earth. The chief operating officer of SpaceX, Gwynne Shotwell said last year that she expected the deployment of that satellite constellation to take about $10 billion. It is important to note that SpaceX already made considerable progress with both projects.
Last year, the company deployed two Starlink satellites, although they were demo satellites. This year, it has the intention of deploying the first set of its operational satellites.
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