Introduction

In a surprising shakeup within the aerospace sector, former Google CEO Eric Schmidt has officially taken a controlling interest in Relativity Space based in Long Beach, California. This significant change was first reported by The New York Times, following Schmidt's announcement during an all-hands meeting held on Monday.

Background

For months, whispers about Schmidt's potential involvement with Relativity Space have circulated among industry insiders, as sources revealed to Ars Technica that he has been providing crucial financial support since late October when the startup's previous fundraising efforts faltered.

Leadership Changes

But why is Schmidt directly stepping into the leadership role? Relativity Space stands as one of the few American companies on the brink of introducing a medium-lift rocket capable of competing with SpaceX's Falcon 9. The success of the Terran R booster could be pivotal in launching megaconstellations, which are increasingly dominating the future of space ventures.

With Schmidt's ascendance, co-founder and former CEO Tim Ellis has stepped down from his leadership position. Ellis expressed his optimism about Schmidt taking over in a post on X (formerly Twitter), stating, “I know there’s no one more tenacious or passionate to propel this dream forward.” He will still support the company as a co-founder and board member.

The Road Ahead for Terran R

On the same day as Schmidt's announcement, Relativity released a comprehensive 45-minute video detailing the development journey of the Terran R rocket. Remarkably, Ellis appeared only briefly in the video, shifting the spotlight to other leadership figures, including COO Zach Dunn. Dunn emphasized, “There’s no doubt about it, we have a long way to go… We have the foundational elements necessary to succeed.”

Eric Schmidt’s entry offers financial stability to a startup grappling with fundraising challenges after their initial Terran 1 rocket launch in early 2023. Although the Terran 1 was notable for being predominantly 3D-printed, the rocket did not achieve orbit due to issues with its second stage.

In response, Relativity announced it would pivot to the larger Terran R model, boasting an impressive capacity of 33.5 metric tons to low-Earth orbit in expendable mode and 23.5 tons with a reusable first stage. However, this shift has diluted the company's initial mystique aimed at investors since it diverges from their groundbreaking 3D printing technology.

In the accompanying video, CTO Kevin Wu clarified the decision to prioritize friction stir welded aluminum alloy tanks for the Terran R instead of 3D printing—a move designed for quicker manufacturing timelines.

Navigating Outsourcing Decisions

The video marks the company’s return to visibility after months of silence following reports that the Terran R would rely on more traditional manufacturing methods than initially planned. Key components like payload fairings and pressure domes are now being sourced from European suppliers, a decision made to accelerate the rocket's development.

“There’s a tension between engineering optimization and business needs,” added Zack Rubin, senior vice president of manufacturing & supply chain. Such compromises are not uncommon in the high-stakes world of rocket manufacturing.

Future Prospects

The inaugural flight version of the Terran R rocket is slated for construction this year, with high hopes of launching from Cape Canaveral, Florida, in 2026. The company aims to successfully soft land the first stage in the Atlantic, however, the initial Block 1 version of the rocket won’t be reused, marking a strategic delay in their full reuse goals.

Eventually, Relativity Space plans to ramp up production capacity to an ambitious target of 50 to 100 rockets per year as the Terran R development progresses. Will Eric Schmidt's leadership catapult Relativity Space into the annals of space exploration history? Only time will tell.