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mmbop | 2 years ago

That’s a great question. I would guess that part of the answer is that the cost is a massive differentiator for them.

If costs were higher, competitors would probably not launch on SpaceX rockets. They were also not a “safe” choice until recently. They’ve also been able to capture the market and put enormous pressure on their competitors. I’m certain there are other reasons.

I’d love to hear an actual business person weigh in on this.

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arcticbull|2 years ago

Without knowing more about the market, I suspect that - other than at SpaceX - commercial customers don't pay list price.

It's pretty well known nobody pays anywhere close to list price for airplanes from Boeing and Airbus. I've heard discounts as much as 40-50% for planes but the actual numbers are pretty closely guarded. Wouldn't surprise me in the least if this were happening in the launch business.

I'm probably not an "actual business person" though, for whatever definition you're using :)