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Science & Technology
The Verge: Blue Origin ‘gambled’ with its Moon lander pricing, NASA says in legal documents
2021-09-30
[TheVerge]Bezos’ Blue Origin “gambled” with its Moon lander proposal last year by hoping NASA would be willing to negotiate its $5.9 billion price tag, agency attorneys argued in blunt legal filings obtained by The Verge. NASA, cash-strapped with a tight budget from Congress, declined to negotiate and turned down Blue Origin’s lunar lander in April and picked SpaceX’s instead, sparking ongoing protests from Bezos’ space company.

NASA officials haven’t talked much about Blue Origin’s legal quarrels beyond occasional acknowledgements that the company’s protesting — first at a watchdog agency and now in federal court — is holding up the agency’s effort to land humans on the Moon by 2024. But in hundreds of pages of legal filings The Verge obtained in a Freedom of Information Act request, agency attorneys exhaustively laid out NASA’s defense of its Artemis Moon program and doubled down on its decision to pick one company, SpaceX, for the first crewed mission to the lunar surface since 1972.

ROUND 1: A COSTLY BID
In NASA’s main response to Blue Origin’s protest, filed in late May, senior agency attorneys accused the company of employing a sort of door-in-the-face bidding tactic with its $5.9 billion proposal for Blue Moon, the lunar lander Blue Origin is building with a “National Team” that includes Lockheed Martin and Northrop Grumman. Blue Origin was “able and willing” to offer NASA a lower price for its lunar lander but chose not to because it expected NASA to ask and negotiate for a lower price first, the attorneys allege, citing a six-page declaration written by the company’s senior vice president Brent Sherwood in April.

In the declaration, Sherwood complains that NASA “did not afford Blue Origin, a well-funded private space company backed by Jeff Bezos, any opportunity to submit a revised business position” when NASA found out it wouldn’t have enough money from Congress to fund two lander proposals. He said Blue Origin had already committed “almost one billion dollars” of corporate contributions and private investments to the Moon lander bid, and “had the financial potential to increase” that.

Backed by the world’s richest second richest man, Blue Origin indicated in its protest that the $5.9 billion price — nearly double SpaceX’s proposal — was partially based on an assumption that NASA would have more than enough money from Congress to pay for the proposal, even as Congress had been indicating a month before Blue Origin submitted its proposal last December that it wouldn’t give NASA all the funding it said it needed. In NASA’s response, the attorneys said companies were instructed to submit their best proposal first. They pointed to seven instances where NASA told bidders its award decision, and whether to pick one or two companies was based on how much funding it’d end up getting from Congress.

But Blue Origin argued that NASA should’ve canceled or changed the terms of the program when Congress voted to give the agency only a quarter of what it requested. Blue Origin has also argued that it was unfair of NASA to only invite SpaceX to tweak parts of its proposal after selecting it for a potential award, one of many claims that NASA attacked over hundreds of pages of legal rebuttals.

Overall, NASA effectively called BS on that argument, saying “Blue Origin made a bet and it lost.”
Much more of the story at the link

Related:
Blue Origin: 2021-09-29 Space tugs are now going to be real.
Blue Origin: 2021-08-27 ULA quits selling Atlas rockets.
Blue Origin: 2021-08-20 Judge stays further work by SpaceX on Moon Rocket with Bezo's lawsuit.
Posted by:3dc

#7  Probably took 15 minutes for DM to come up with that headline.
Posted by: swksvolFF   2021-09-30 16:28  

#6  Elon Musk had a funny snark the other day: You can't sue your way into orbit, no matter how good your lawyers are.
Engineers for the win!
Posted by: SteveS   2021-09-30 12:49  

#5  Richard Branson's Virgin Galactic is cleared by FAA to resume launches after rocket veered off course for 1 minute and 41 seconds during historic passenger flight
Posted by: Skidmark   2021-09-30 11:00  

#4  NASA blasts Blue Origin and claims Jeff Bezos' space firm 'seeks to prioritise its own fortunes over that of NASA, the United States, and every person alive today'
Posted by: Skidmark   2021-09-30 10:54  

#3  What do you mean, you can't afford our bid. We'll sue you til you can. And then there's your extended warranty that's about to expire...
Posted by: ed in texas   2021-09-30 10:42  

#2  If Ted Turner can give $1B to the UN, Bezos' could pay for it himself.
Posted by: Skidmark   2021-09-30 10:26  

#1  SpaceX was the only company whose bid fit the budget NASA was given.
Posted by: Rob Crawford   2021-09-30 06:57  

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