Amazon has recently sealed a deal with its prime competitor, SpaceX, under the leadership of Elon Musk, to propel satellites into orbit for global internet coverage. This decision comes amidst Amazon CEO Jeff Bezos’ pursuit of his space ambitions through Blue Origin, his private aerospace company, and SpaceX’s ongoing construction of its internet network in space.
While Musk and Bezos are known for their public rivalry and frequent clashes on social media, partnering in the realm of rocket launches isn’t unprecedented among business rivals. Despite some of Amazon’s satellites slated for launch using Blue Origin’s New Glenn rocket, this venture has faced significant delays and might not lift off until next year at the earliest.
The agreement between Amazon and SpaceX, disclosed in a recent press release, reveals plans for Amazon’s satellites to hitch rides on three SpaceX Falcon 9 launches, scheduled to commence by mid-2025.
Amazon’s Project Kuiper aims to create an array of thousands of internet satellites to provide global connectivity, directly competing with SpaceX’s Starlink, already having over 5,000 satellites orbiting Earth.
However, Amazon trails behind its rival, possessing only two prototype satellites launched in October via a rocket constructed by United Launch Alliance (ULA), a collaborative effort between Boeing and Lockheed Martin.
Notably, in April 2022, Amazon made headlines by securing a multibillion-dollar contract to launch Kuiper satellites using rockets from Blue Origin, ULA, and European launch provider Arianespace, leading to a shareholder lawsuit.
The lawsuit, filed by The Cleveland Bakers and Teamsters Pension Fund, accused Amazon executives of breaching fiduciary responsibilities by not considering the cost-effective option of launching Project Kuiper satellites on SpaceX rockets.
Amazon dismissed these claims, asserting their meritlessness and expressing readiness to address them through the legal process.
Highlighting the latest agreement with SpaceX, Amazon stated that it secures enough capacity to deploy most of its satellite constellation, complementing the earlier contracts and aiding the deployment schedule.
Yet, irrespective of the launch provider, Amazon faces the challenge of ensuring satellite functionality.
Rajeev Badyal, Project Kuiper’s Vice President of Technology, mentioned in an interview that the prototypes demonstrated success both on the ground and in space, paving the way for Amazon to launch more operational satellites. Badyal anticipates commencing beta testing for the service with customers by late 2024.
