Jonathan Andrew Goff wrote:
Randall said:
Ian said
    
Randall said:
      
The tricks are to keep the development cost down
        
If you're worrying about that too much, you're not >>launching enough.
      
The point is that a market that has enough demand 
for you to "launch enough" doesn't exist yet, and
won't just spring like Athena out of the head of
whatever RLV manages to be the first to appear on
the stage.  It will take time to develop, and if
you don't keep development costs down very low for
your 1st generation commercial RLV, then you'll 
likely end up going belly-up from cashflow issues.
Yes. Or you find a very rich guy like Beal who will fund most or all of the development.
As I see it, the first RLVs or ultra low cost 
commercial ELVs will have to be profitable at 
current flight rates.
Not necessarily flight rates.

Actually, I think that the first RLVs will have to be profitable at a small fraction of current total launch mass (or nearly so).

If you make the RLV a minimum size, then launching 100x, might only launch as much mass as one Shuttle. But the vehicle would have already paid for its R&D (because small vehicles are cheaper than big ones to design, build, test, and you've just worn the vehicle out in a short period of a year or two. Note that the Shuttle hasn't worn out, and may never wear out- this represents a considerable loss money.)

So I think that RLVs probably optimise at a lower size than ELVs.
  Down the road once the
news has been spread that you have a low cost
and responsive access to space, the market 
will grow to the point that higher development
costs will be justified.  But anyone who needs
dozens of flights a year to make their business
plan connect must have been enjoying a little
recreation herbage with those guys up in Eugene
I saw this weekend.  It just isn't going to
happen immediately.
No. It would take a few years to design a new vehicle anyway. Whilst you are doing that, you can be trying to sell contracts. If you don't manage to sell any; you might as well pack up and go home.
If you're worrying about it much at all, you're
not launching yet anyway.  You're still in
development.
    
Which is where pretty much all of us are (if that
far).
  
But more to the point, no RLV company could afford
1000 test flights unless someone was paying them 
to do them.
    
Note, I'm talking about orbital RLVs not suborbital.

Yes, but if your test flights generate an asset that you can borrow against, it helps. For example the RLV company buys a bunch of rocket fuel at a few dollars a kilogram. They stuff it in the nose of the test vehicle. Launch it. If it makes it; great, you can potentially sell that payload; it's now worth about $1000-4000/kg. If it doesn't- it didn't actually cost you anything except the test flight, which you were going to do anyway. Of course nobody would necessarily buy that payload at the time you launch it; but it still counts as an asset, and you may be able to borrow against it to help fund further launches. It helps if there are space taxi services around, or you have a contract with a GEOsat launcher or customer anyway.
Exactly.  Which is why it may be better off getting
that experience *as you operate* then going back 
later to get youre EC and MPL reassessed, and your
RLV relicensed under better terms.

~Jon
  
-- 
-Ian

Motto: "You're Not Authorized to Know Our Motto."
So, like, how many lives DOES Shroedinger's cat have anyway?

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