Over the past decade, SpaceX has emerged as a leader in launching rockets into space. Now, the aerospace giant is set to spend $680 million to deorbit the International Space Station (ISS), as per documents released by NASA on Tuesday.
NASA had announced its intention to deorbit the ISS back in 2022 but only chose Elon Musk’s company as its contractor last month. SpaceX will develop a new vehicle, described as a “tug boat,” to push the station into the Pacific Ocean from space. The company has been awarded an $843 million contract for this mission.
Based in Hawthorne, California, SpaceX outbid two competitors, Northrop Grumman Systems and AlphaSpaces, for the contract, according to a source selection statement made public on Tuesday. AlphaSpaces’s proposal was deemed “unacceptable” and was excluded from consideration.
SpaceX’s “mission suitability” — which evaluates small business utilization, management approach, and technical approach — scored 822 out of 1,000. The proposal had five strengths, three significant strengths, and one weakness.
Northrop’s score was 589 out of 1,000, with the report noting three strengths and seven weaknesses. The Falls Church, Virginia-based firm’s approach to procuring hardware was inadequate, among other issues. Northrop’s proposal also would have cost more than SpaceX’s, labeled only as “higher than” $680 million in the report; its total evaluated cost was “significantly higher” than SpaceX’s. SpaceX’s past performance was rated “very high,” compared to Northrop’s “moderate.”
The ISS has been orbiting Earth since construction began in 1998. Since the first crew arrived in November 2000, it has hosted over 250 visitors from 20 countries. Currently, the ISS accommodates crews from SpaceX, Soyuz, and Boeing.
The space station’s lifetime has been periodically extended, although keeping it in space beyond 2030 would be risky. The ISS’s orbit will naturally decay in 2026, preparing it for deorbiting by mid-2030.
“Selecting a U.S. Deorbit Vehicle for the International Space Station will help NASA and its international partners ensure a safe and responsible transition in low Earth orbit at the end of station operations,” said Ken Bowersox, an associate administrator for NASA’s Space Operations Mission Directorate, in a statement last month. “This decision also supports NASA’s plans for future commercial destinations and allows for the continued use of space near Earth.”