NASA Cancels $2 Billion OSAM-1 Satellite Servicing Mission

The decision follows significant technical, cost, and scheduling challenges, including contractor performance issues.

NASA has terminated the OSAM-1 mission, aimed at demonstrating robotic satellite servicing technology, due to escalating costs and delays.
The project, initially budgeted at $1.5 billion, faced potential costs nearing $2.35 billion and was behind schedule, with a launch date pushed to 2026.
Maxar, the primary contractor, was criticized for underestimating the project's complexity and poor performance, contributing to the mission's cancellation.
Emerging industry trends towards satellites designed for refueling and the development of alternative satellite servicing technologies influenced NASA's decision.
NASA plans to support the approximately 450 personnel involved in OSAM-1 through fiscal year 2024 and explore potential partnerships or alternative uses for the project's hardware.