Boeing is reportedly considering selling its space division.
Boeing is working to improve its situation.
Kelly Ortberg, who became the CEO of Boeing in August, is considering the possibility of selling the company’s space division as part of an effort to restructure the organization. According to recent reports, these negotiations are in a preliminary stage and may include the sale of the Starliner spacecraft, as well as other projects linked to the International Space Station.
Boeing is facing multiple challenges, including a fraud allegation related to the 737 Max aircraft accidents and issues with the Starliner that left two astronauts at the ISS for several months. This week, a satellite manufactured by Boeing for Intelsat experienced a critical failure and unexpectedly disintegrated after suffering an "anomaly."
In a recent earnings call, Ortberg commented: “It's better to do less and do it better than to do more and not do it well. Clearly, our commercial airplanes and defense systems base will remain within Boeing for the long term. But there are peripheral aspects that we could manage more efficiently or that distract us from our main objective.”
However, it is reported that Boeing will likely continue to manage the Space Launch System, which will help bring NASA astronauts back to the Moon. The company is also expected to retain its commercial and military satellite businesses.
Ortberg will face significant changes in the coming months, especially as the company continues to experience financial losses. Boeing’s results showed a loss of $6.17 billion in the last quarter, with expenses of $250 million on the Starliner project. The company anticipates that it will continue to face economic losses throughout 2025.
