CAPE CANAVERAL, FLORIDA - MAY 30: The SpaceX Falcon 9 rocket with the manned Crew Dragon spacecraft attached takes off from launch pad 39A at the Kennedy Space Center on May 30, 2020 in Cape Canaveral, Florida. NASA astronauts Bob Behnken and Doug Hurley lifted off today on an inaugural flight and will be the first people since the end of the Space Shuttle program in 2011 to be launched into space from the United States. (Photo by Joe Raedle/Getty Images)

SpaceX’s Astronaut Launch Marks The Dawn Of The Commercial Human Spaceflight.

SpaceX  launched two NASA astronauts aboard its Crew Dragon spacecraft, and the accomplishment is a tremendous one for both the company and the U.S. space agency.

At a fundamental level, it means that the U.S. will have continued access to the International Space Station, without having to rely on continuing to buy tickets aboard a Russian Soyuz spacecraft to do so. But it also means the beginning of a new era for the commercial space industry – one in which private companies and individual buying tickets for passenger trips to space is a consistent and active reality.

With this mission, SpaceX will complete the final step required by NASA to human-rate its Falcon  9 and Crew Dragon spacecraft, which means that it can begin operationally transporting people from Earth essentially as soon as this mission concludes (Crew Dragon still has to rendezvous with the space station tomorrow, and make its way back to Earth with astronauts on board in a few weeks). Already, SpaceX has signed an agreement with Space Adventures, a private space tourism booking company that has previously worked with Roscosmos on sending private astronauts to orbit.

SpaceX wants to start sending up paying tourists on orbital flights (without any ISS stops) starting as early as next year aboard Crew Dragon. The capsule actually supports up to seven passengers per flight, though only four seats will ever be used for official NASA crew delivery missions for the space station. SpaceX hasn’t released pricing on private trips aboard the aircraft, but you can bet they’ll be expensive since a Falcon 9 launch (without a human rated capsule) costs around $60 million, and so even dividing that by seven works out to a high price of entry.

So this isn’t the beginning of the era of accessible private spaceflight, but SpaceX is the first private company to actually put people into space, despite a lot of talk and preparatory work by competitors like Virgin Galactic  and Blue Origin. And just like in the private launch business, crossing the gulf between having a private company that talks about doing something, and a company that actually does it, will absolutely transform the space industry all over again.

Tourism

SpaceX is gearing up to launch tourists as early as next year, as mentioned, and while those tourists will have to be deep-pocketed, as eight everything that SpaceX does, the goal is to continue to find ways to make more aspects of the launch system reusable and reduce costs of launch in order to bring prices down.

Even without driving down costs, SpaceX will have a market, however niche, and one that hasn’t yet really had any inventory to satisfy demand. Space Adventures  has flown a few individuals by buying tickets on Soyuz launches, but that hasn’t really been a consistent or sustainable source of commercial human spaceflight, and SpaceX’s system will likely have active support and participation from NASA.

That’s an entirely new revenue stream for SpaceX to add to its commercial cargo launches, along with its eventual launch of commercial internet service via Starlink. It’s hard to say yet what kind of impact that will actually have on their bottom line, but it could be big enough to have an impact – especially if they can figure out creative ways to defray costs over successive years, since each cut will likely considerably expand their small addressable audience.

SpaceX’s impact on the launch business was to effectively create a market for small satellites and more affordable orbital payloads that simply didn’t make any economic sense with larger existing launch craft, most of which were bankrolled almost entirely by and for defence and NASA use. Similarly, it’s hard to predict what the space tourism market will look like in five years, now that a company is actually offering it and flying a human-rated private spacecraft that can make it happen.

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