CAPE CANAVERAL, Fla. - After much anticipation, NASA revealed the winners of its competition to build commercial crew vehicles. During a press conference held at Cape Canaveral Space Center in Florida on September 16, NASA officials announced that Boeing and Space Exploration Technologies (SpaceX) will each be awarded a contract to build the vehicles. Boeing will continue work on its CST-100, while SpaceX will carry on development of its Dragon.
First flights are expected in 2017 for both contractors. The first flights in 2017 is an ambitious goal. NASA indicated that both companies have a credible plan to reach that goal. However, the agency also indicated that it will not sacrifice safety in favor of speed. The previous effort to develop commercial spacecraft, the Commercial Orbital Transportation Services (COTS) program, was delayed by three years. With the priority on safety, and the difficulty associated with developing human-rated spacecraft, a delay from 2017 is possible. However, both companies have spent years developing and refining their spacecraft, mitigating much of the risk for a delayed first flight.
NASA will continue the stepping-stone model it has used so far with its commercial crew development program. A series of five certification milestones have been laid out. Funds will be disbursed as each company reaches those milestones. In this way, NASA reduces its own risk, since money will only be obligated as progress is made.
The two vehicles will serve a number of functions for NASA. They will carry crew, cargo, and experiments to the space station, as well as return crew and used equipment back to Earth. With the added number of vehicles carrying astronauts to the ISS, NASA expects to be able to increase the crew complement aboard to seven, from the current six. Crew capsules will also serve as lifeboats once they are docked to the space station. While there is currently only one space station, NASA hopes that there will be numerous space stations operating in low Earth orbit (LEO) in the future, that the Dragon and CST-100 will be able to service. Most of these will be operated commercially, rather than by NASA.
The contracts, which total $6.8 billion, are firm-fixed-price contracts, meaning NASA will not bear the cost of any increases. Boeing will receive $4.2 billion, while SpaceX will receive $2.6 billion. Contracts will cover human certification, one development flight to the International Space Station, two to six operational flights, and undisclosed special studies. With Boeing receiving nearly two-thirds of the total commercial crew funds, it would appear that the company is NASA's favorite. However, the lower funding provided to SpaceX also demonstrate that company's emphasis on efficiency and cost savings
The commercial contracts are part of a relatively new trend at NASA. The only other contract similar is the Commercial Resupply Services (CRS) contract, in which private companies deliver supplies and experiments to the International Space Station. NASA hopes to save money by tapping into innovative commercial developments, supporting competition, and by using firm-fixed-price contracts. These contracts already demonstrate the efficiency NASA can achieve by working with commercial companies. In May 2014, the Government Accountability Office (GAO) estimated the Orion crew capsule will cost between $8.5 and $10.3 billion to develop. Operational flights and production are not included in those figures. The total commercial crew program will cost NASA an estimated $6.8 billion, including operational flights. Of course the comparison is not entirely fair, since Orion is a more capable spacecraft, being designed to travel further into space than either CST-100 or Dragon. But the cost difference demonstrates potential savings, making the commercial model more appealing to NASA planners in the future.
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