NASA's Cost-Cutting Efforts Fall Short, Resulting in Delays and Budget Overruns

NASA's inspector general has concluded that the planned 50% cost reduction for the Space Launch System (SLS) Block 1B through a services contract is "highly unrealistic." The report suggests that the cost of SLS will likely remain above $2 billion per launch, and efforts to find additional customers for SLS have been unsuccessful. The lack of competition and ongoing cost reduction efforts that have not achieved expected savings contribute to the skepticism. The report recommends that NASA keep its options open for alternative launch vehicles and continue monitoring the commercial development of heavy-lift space flight systems.