How one company is making space pay

MSNBC: How do you see the architecture developing for this new space marketplace? Will there be the kind of "coopetition" that we've seen in the software industry?

Benson: There's got to be competition. That's just what makes our world go around. I think competition is a good thing. But there are instances where, for example, SpaceDev could wind up collaborating with SpaceX in utilizing their launch vehicles while at the same time we're developing our own very similar SpaceDev Streaker small launch vehicle. SpaceX would see that as a boost for them because it increases their credibility, it increases their production, it reduces their cost, it increases their profits, and it allows them to move on to the much larger launch vehicles that Elon Musk has envisioned since founding the company. And that allows us to finally unleash the demand for microsatellites which is being held back by the lack of cheap launch capability.

So we may wind up collaborating with Musk on launch vehicles while we're developing our own. Then somewhere down the road we may or may not complete SpaceDev Streaker, and if or when we do, then we'll be launching our own microsats on our own launch vehicles. But at that point, I think SpaceX is probably going to be trying to launch things to the moon and Mars. And more power to him.

MSNBC: Do you expect that there will be a shake-out? Obviously, a lot of these early entrants in the market for suborbital spaceflight are not going to be able to get the whole way to offering something and being able to succeed.

Benson: I think the X Prize is a really good model. There were almost 30 registered entrants, and I would say that there were — let me count them all — one serious competitor. Who won, by the way! I had to think there and count them all up.

There were two or three serious, honest competitors who just didn’t have the wherewithal to do it, Armadillo Aerospace being one outstanding example. They were really going it alone and pioneering it from the absolute basics in the type of technology they were using, doing it very professionally, very scientifically and with a lot of credibility and even a sense of humor.

On the other side of the spectrum, I think we had two or three teams that wouldn't know a rocket if they saw one. Luckily they didn't really do much damage.

There's a little bit of the same thing going on in suborbital space tourism. There are a fewer number of companies than you had for the X Prize. But I do think you still have the spectrum of very serious, well-funded companies like Virgin Galactic; serious but underfunded companies like SpaceDev; a few companies that have some very good ideas but don't have much money; and on the other side of the spectrum there are two or three frauds out there. I don’t think yet they're doing much damage, and hopefully they won't kill people or result in any noticeable scandals.

This is a very serious and important business we're engaging in here — moving human space transport out of the government and into the private sector. I really think that can only be done with a lot of seriousness and practicality, focusing on simplicity, safety and affordability, and not just hyping some technologies and rushing to get something launched.

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