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Race to Space: The Rise of Private Enterprise

By February 17, 2015No Comments

It has been over 50 years since humanity first made its voyage into space. Those that developed the first space crafts had less technology available to them, but what they had in abundance was a passion for what they did and the understanding that their effort truly mattered to their country and the entirety of humanity.

As we attempt to move forward in understanding the universe that we live in, we are confronted with obstacles and questions that the past did not have to deal with before.  Governments are no longer willing to heavily invest in technologies to take us into orbit and travel through space. Though interest in space travel has changed, it has always remained vital to bringing advancements to life.

Non-Governmental Organizations Can Fill a Void

Is it really feasible for governments to take a step back and pass the proverbial torch onto the private sector? Can companies really stick to the imperatives of the mission while maintaining a profit? And what happens as new technology becomes increasingly restricted to corporations instead of being open for the public to use and build upon?

These are questions many of us have thought of before and have yet to find satisfying answers to. Perhaps some of you might chime in at the end of this article to shed light on your perspective. The questions posed above should really be looked into carefully, because how society moves forward in space can shape so much of our future.

In this post we will discuss whether or not for-profit companies can produce reliable outcomes in space travel, and if their technological development will better life on this planet or if it will create a larger divide between those that have access to technology and those that do not.

The Case for Privatization

When NASA develops technology they have an inherent reason to be motivated for the mission, in that their teams are in part driven by the fact that what they do is for their country. This is not to say that engineers, scientists and workers at private companies don’t feel the same in their work – but that those that work at NASA are on a mission for their nation. This can be compared to our military, in that they serve a duty to the country, which for many in their ranks is beyond themselves.

For private enterprise to have the same determination on quality there needs to be strong leaders in those companies and an enthusiastic committed development team.  In many ways we see this with SpaceX’s Elon Musk and Virgin Galactic’s Richard Branson. Both bring an energy and spirit to their company to do the best they can. Perhaps this is just good marketing, no matter the case – time will tell.

In my view, for-profit companies can be leaders in space technology. In fact many of NASA’s missions have utilized equipment produced by for-profit organizations. Many of America’s leading aerospace companies have been developing new technology every step of the way. It is often the case that NASA contracts companies to work collaboratively on projects. In addition to this there are some key advantages brought on as space exploration and travel become more commercialized.

Why it Works

The core advantage is that competition breeds innovation. This was seen in the “Cold War” between the U.S.S.R. and the U.S.A for a good portion of the past century. Lately, geopolitical maneuvers have been less concerned about space, and therein lies the reason why private enterprise will be so vital in the coming decades. Companies will compete with one another to engineer the next generation of vehicles to get us further than we have ever been before.

Feel free to disagree with me, and let us know your reasoning. Though it isn’t guaranteed that companies can go further than the government in technology, there is a strong argument for it. A possible issue that can come, if companies are truly successful, is concerning who gains the greatest benefit most from new technology.  Corporations will own the rights to any new space technology they develop which leaves the door open for them to hoard the benefits.

This may cause an issue as things progress, but in the grand scheme of things – it most likely will not. There is enough incentive to compete that more companies will form to do more. The government can also acquire vehicles from corporations as they currently do. As space travel becomes cheaper it may be possible in the future for smaller companies to own their own space transports. However, to efficiently progress technologically, markets need to be balanced. No one producer should have monopoly power over the industry for it to be a fair market. Though there are major companies that have large market share – a monopoly does not seem to be occurring any time soon.

The Future of Space Exploration

There are many reasons to be hopeful about humanity’s prospects in space. There is so much that we can learn and develop that can have immediate ramifications for life on our planet. Newer technology will come to fruition by striving to expand our reach as a species.

Let us know what you think. Is space exploration actually as important as it seems? Feel free to share your perspective on some of the issues posed by this article.

Author Newegg Staff

Newegg Insider writers and contributors from throughout the Newegg.com team.

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