One of Elon's strengths is that he can see the future very clearly. A lot of us in Technology have a pretty good idea where things are going too, but Elon has that rare ability to see the future so clearly that he effectively really knows what is going to happen.
Anyways, I mention this because imagine what he must have been thinking as the Falcon 9 was being developed, and he looks around at the competitors:
- one uses Russian rocket engines literally built 40 years ago
- one sources another kind of Russian rocket
- one is run by a bureaucracy huge and unwieldy with input from a dozen national politicians
- one is run by a country where saving face is paramount to the point of trumping safety and critical design issues (space isn't forgiving)
He must have been thinking, why the $)!?@ isn't anyone else entering this market? It is overripe for competition...
Meanwhile the rest of us go, Elon, are you crazy?
Elon has spoken about the history of SpaceX repeatedly. He thought NASA was focused on going to Mars - they weren't. So first he wanted to buy a Russian rocket (an old ICBM rocket I believe) but was a little too frightening. Then finally he sat down and did the math on how much it would cost and was stunned at how low the number really should be compared to the prices he was seeing. He decided to create his own rockets to achieve the goals he wanted.
So I'm not sure how much the competition mattered until he was actually competing with them. Then I'm sure he had the same WTF moment you're pointing out. Since Elon is a straightforward type of person then you can easily see the head shaking confusion that his competitors must create in him.
I was stunned to discover that there have been lots of experimentation in rockets happening at taxpayers expense with no change to what rockets are being used. The fact that a reusable rocket engine was researched, designed, tested, with billions of dollars spent by NASA without ever being launched baffles me beyond words.
It's all talk, research, and design with no action to back any of it up.
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