According to its CEO and founder, things are getting dire at the company.
The company is at a "genuine risk of bankruptcy" because of the lack of progress towards the company's Raptor engines, according to an email leaked from Musk.
Musk said in the email that it will take one flight every two weeks to save the company.
The production crisis of the Raptors is worse than it was a few weeks ago, according to an email sent by Musk over Thanksgiving weekend. The issues that we dug into after the exiting of prior senior management have turned out to be much more severe than we had reported. There is no way to sugarcoat this.
The senior management he is referring to is almost certainly the former VP of propulsion at the company, Will Heltsley, who left in November after the lack of development surrounding the Raptor.
Musk continued to make his feelings clear in the email, while also stressing the severity of the situation. Even though it was a holiday weekend, he demanded his employees return to work.
Unless you can physically return to Hawthorne, we will need all hands on deck to recover from what is, quite frankly, a disaster.
Even though he was going to take the weekend off, Musk would be on the line all night and through the weekend.
The engines are important to the company. They are expected to play a large role in the goals of the company in the next year, including powering the Starship rocket and Super Heavy boosters, which it plans to use to reach the Moon.
The next generation of Starlink satellites are going to be a key to the financial success of the company. If the company can't get the production going, it can't fly Starlink Satellite V2
Musk admitted in the email that Starlink V1 is financially weak.
Musk said on November 16 that a complete design overhaul is necessary for the engine that can make life multiplanetary.
The CEO told his employees that the company's financial future was on the line as he closed his holiday message.
If we can't achieve a flight rate of at least once every two weeks next year, we face a genuine risk of bankruptcy.
The email is a surprise considering that Musk and the company like to project a runaway success.
Things seemed to be going well for the company, but it seems like things might just blow up for them like so many rockets on a launch pad.
Musk says that the company could face a genuine risk of bankruptcy from engine production.
Top employees of Spacex are leaving for the next generation of rocket development.
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