Elon Musk's SpaceX to lay off 10 per cent of workforce

Galtero Lara
Enero 13, 2019

Elon Musk said on Friday that his company, SpaceX, had completed the installation of a Starship reusable space-rocket system launch vehicle for a suborbital test flight.

The layoffs were announced to workers in an email from SpaceX president Gwynne Shotwell, the Los Angeles Times reported. SpaceX has since confirmed the news, saying in a statement that it must get "leaner" in order to achieve its goals - ones that, it said, "have bankrupted other organizations".

"This action is taken only due to the extraordinarily hard challenges ahead and would not otherwise be necessary, " the company said in a statement. "This means we must part ways with some talented and hardworking members of our team", the company said.

Over the past year, the company has signaled that it will focus increasingly on its Starlink satellite venture as well as the development of a massive Starship spacecraft and Super Heavy rocket booster.

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"We are grateful for everything they have accomplished and their commitment to SpaceX's mission", the company continued.

Last month, SpaceX launched its first United States national security space mission, when a SpaceX rocket carrying a U.S. military navigation satellite blasted off from Florida's Cape Canaveral.

If the test launches go well, SpaceX could be ready to launch NASA astronauts to the International Space Station by midyear. It reduced nine percent of its workforce, thus removing several thousand jobs across the company in cost reduction measures. In June, Musk fired seven people in the senior management team over disagreements about the pace of work on the Starlink satellites.

At the end of previous year, SpaceX valuation rose to $30.5 billion after initiating a $500 million equity sale, according to the Wall Street Journal.

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