Boeing and Lockheed Martin are to create a joint venture combining engineering and production of their respective Delta and Atlas launch-vehicle families. The 50:50 venture, United Launch Alliance, will be responsible for US government launches and for supplying boosters "at cost" to the two organisations, Boeing Launch Services and International Launch Services, which are responsible for commercial launches of the Delta and Atlas, respectively.
The deal could save the US Department of Defense $100-150 million a year by cutting the cost of supporting both launch-vehicle programmes to maintain assured access to space. Savings will come from reduced infrastructure duplication and overhead costs. Atlas assembly and integration will move to Boeing's Delta plant in Decatur, Alabama, and programme management and engineering will go to Lockheed Martin's plant in Denver, Colorado.
In the next round of its Evolved Expendable Launch Vehicle (EELV) programme, Buy 3, the US Air Force plans to allocate launches to the Delta IV and Atlas IV, rather than award them competitively to Boeing and Lockheed. EELV Buy 3, for 23 launches, is planned to be awarded next year.
Boeing Integrated Defence Systems chief executive Jim Albaugh acknowledges the alliance raises questions about competition, but says US government policy is to retain the two launchers and competitiveness is not necessarily part of the policy. Boeing and Lockheed believe the joint venture will provide assured access to space at the lowest possible cost by eliminating duplication in infrastructure.
Under the agreement, the companies will suspend their pending litigation over an earlier competition for EELV launches and will end all claims against each other so the venture can move forward.
GRAHAM WARWICK/WASHINGTON DC
Source: Flight International