Elon Musk reveals assembled Starship test rocket

SpaceX,Elon musk,SpaceX layoffs

SpaceX,Elon musk,SpaceX layoffs

Elon Musk's rocket company SpaceX will reduce its workforce by about 10% of the company's more than 6,000 employees, it said on Friday.

A company source says SpaceX remains financially strong and can continue to "manufacture and launch at a reliable cadence in the years ahead".

News of the layoff first surfaced from an email sent by SpaceX President Gwynne Shotwell, who reportedly called the business move "a very hard but necessary decision".

"Either of these developments, even when attempted separately, have bankrupted other organizations".

The decision to trim down was "only due to the extraordinarily hard challenges ahead", SpaceX pointed out.

Another Elon Musk company, electric auto maker Tesla Inc, said in June it was cutting 9 percent of its workforce by removing several thousand jobs across the company in cost reduction measures.

Assuming that the company now employs more than 6,000 people, a 10 percent cut would amount to 600 jobs. "This means we must part ways with some talented and hardworking members of our team", the company said.

SpaceX, which has developed reusable rockets and is working on Starship for a future anticipated Mars mission, gets most of its income from launching payloads for both private companies and the United States government.

This isn't the first time SpaceX has made job cuts.

On Friday morning, SpaceX marked its first mission of 2019 with the launch of a Falcon 9 rocket from Vandenberg Air Force Base in Southern California. One of the company's most recent launches involved sending a cargo capsule to the International Space Station.

In documents filed with the Securities and Exchange Commission this month, the privately held company reported raising $273.2 million from eight investors as part of a $500 million Series J financing round.

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