Shiv Telegram Media: Virgin Galactic to Discontinue Unity Suborbital Flights by Mid-2024
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Virgin Galactic, the spaceflight company founded by Richard Branson, has announced plans to reduce the frequency of flights for its current suborbital vehicle, VSS Unity, with the intention of completely stopping them by mid-2024. The move comes as the company shifts its focus towards the development of its next generation of vehicles.
Flights of VSS Unity will now occur on a quarterly basis, starting with the next mission in January. There is a possibility of a third mission in the middle of the year, although resources may be redirected towards the development of the company’s Delta-class vehicles, which are seen as crucial to Virgin Galactic’s future.
In order to concentrate resources on the Delta class, Virgin Galactic has announced layoffs and expense reductions. Approximately 18% of the company’s current workforce, or 185 jobs, will be cut. This decision is aimed at ensuring the company’s future success and the development of more advanced vehicles.
While the future of Unity is not yet clear, Virgin Galactic has stated that it has achieved its flight objectives and has learned valuable lessons from its commercial flights. Moving forward, the company plans to prioritize higher revenue opportunities. This includes conducting research and selling seats to private astronauts at premium prices.
Once Unity flights come to an end, staff members will be relocated to a new factory near Phoenix. This move is intended to assist with the assembly of the first Delta-class vehicles. Test flights of the Delta vehicles are expected to commence in 2025, followed by commercial flights in 2026.
The Delta-class vehicles are set to revolutionize Virgin Galactic’s operations. They will have the capability to fly twice a week and generate twelve times more revenue per month compared to Unity. These changes are part of the company’s strategy to achieve positive cash flow by 2026, through increased revenue and reduced expenses.
In the third quarter, Virgin Galactic reported revenue of $1.7 million. The company projects a revenue of $3 million in the fourth quarter. However, it also experienced a net loss of $105 million during the same period. These changes and developments are aimed at rectifying this financial situation and ensuring a profitable future for Virgin Galactic.
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