Obsessed with technology?
Subscribe to the latest tech news as well as exciting promotions from us and our partners!
By subscribing, you indicate that you have read & understood the SPH's Privacy Policy and PDPA Statement.
News
News Categories

SpaceX will lay off hundreds of workers after its successful launch of Iridium communication satellites

By Wong Chung Wee - on 14 Jan 2019, 11:38am

SpaceX will lay off hundreds of workers after its successful launch of Iridium communication satellites

(Image source: Associated Press via Fortune)

SpaceX, Elon Musk’s space travel company, plans to lay off 577 employees, which is more than 10% of its 6,000-strong workforce across the country. This piece of news was conveyed in an email from President Gwynne Shotwell, who wrote that “this was a very difficult but necessary decision.

This decision came soon after “the successful launch of the 10 Iridium communications satellites into orbit atop a Falcon 9 rocket from a base in California, the first of many planned flights this year.” The successful launch capped a two-year campaign by Iridium Communications Inc. to refresh its original satellite fleet with a “new generation of mobile communication technology and added global aircraft tracking capability.”

The layoffs are SpaceX’s attempt to reduce operating costs and become a “leaner company.” According to the Wall Street Journal in December last year, the company is valued at US$30.5 billion. Early this year, SpaceX sold “US$273 million in equity as part of a plan to raise a total of US$500 million.”

(Source: Fortune, The Wall Street Journal)

Loading...