NASA’s plan to get someone else to do a lot of their work has crashed and burned. Last year the agency signed a contract with Rocketplane Kistler, pledging millions of dollars towards RPK’s reusable space rocket, provided the company could raise similar millions of their own. Following the failure of the company to raise the money NASA has torn up the agreement (Aerospace Daily & Defense Report). On the plus side this now means that around $200 million could be available for others building their own rockets in the garage (Wired).

The Wall Street Journal, which broke the story that RPK might be unable to get the money a few weeks ago, quotes RPK’s chairman stating that “we’re looking at all the possible ways to cure the deficiency” But it also notes some are already predicting the firm will suspend operations and could even file for bankruptcy protection. The NASA decision is not the company’s only problem – it is also being sued by a space-tourism agency (Wired has the full story).

NASA has a similar agreement to the RPK one with another commercial company SpaceX. What now remains to be seen is whether the current problems are a one off, or a sign of deeper problems with the viability of commercial space flight (explored in a Nature article last month).

Image: Artist’s impression of RPK launch / RPK