Blue Origin, the space exploration company founded by Jeff Bezos, is reportedly laying off about 10% of its workforce, impacting approximately 1,000 employees. This news comes less than a month after the inaugural launch of its New Glenn rocket. The company aims to streamline operations and prioritize the growth and production of its heavy-lift launch vehicle.
In an email sent to employees on Thursday, Blue Origin CEO David Limp announced the layoffs, which will primarily affect roles in engineering, research and development, program/project management, and management layers. This information was obtained by CNN. The move comes after years of delays and the successful first launch of New Glenn on January 16 from Cape Canaveral Space Force Station. This marked a significant milestone for Blue Origin as its first rocket to achieve orbit, unlike its suborbital New Shepard rocket used for space tourism. While the second stage successfully reached orbit after two BE-3U engine burns, the booster was unfortunately lost during its attempted ocean landing. Despite this setback, the inaugural flight was considered a major achievement.
During a company-wide meeting, Limp explained that the layoffs are intended to help Blue Origin scale up New Glenn manufacturing and increase launch frequency, as reported by Reuters. This strategic move positions New Glenn as a potential competitor to SpaceX’s Falcon Heavy, intensifying the rivalry between Jeff Bezos and Elon Musk. New Glenn, designed as a partially reusable heavy-lift rocket, boasts a capacity of 45 metric tons to low Earth orbit and 13 metric tons to geostationary transfer orbit. Standing at 313 feet tall, it features a reusable first stage powered by seven BE-4 methane-burning engines. In comparison, SpaceX’s partially reusable Falcon Heavy can carry 63 metric tons to low Earth orbit and 26 metric tons to geostationary orbit.
SpaceX has long been a dominant player in the space industry. Blue Origin gained momentum last year under new leadership, replacing former CEO Bob Smith with former Amazon executive David Limp. According to anonymous sources who spoke with Reuters, Limp has been tasked with streamlining Blue Origin’s business units and focusing on New Glenn’s development, injecting a sense of urgency after a period of stagnation. However, some employees have expressed concerns that this accelerated pace has impacted company morale and culture.
While Blue Origin’s progress in its space ambitions is encouraging, it appears to have come at a cost for some of its employees. The company is betting that these difficult decisions will ultimately pave the way for future growth and success in the competitive landscape of space exploration.
