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“NASA Cancels Multibillion-Dollar Satellite Servicing Project Due to Delays and Cost Overruns”

NASA has made the decision to cancel the On-Orbit Servicing, Assembly, and Manufacturing (OSAM) 1 mission due to extensive delays and cost overruns. The project aimed to demonstrate satellite servicing technologies by refueling the Landsat 7 spacecraft and performing in-orbit assembly of a Ka-band satellite antenna. However, technical, cost, and schedule challenges, as well as a lack of committed partners, led to the cancellation.

The cancellation of OSAM-1 was announced by NASA on March 1, with the agency stating that it would begin the process of an orderly shutdown. This process would involve transferring hardware and exploring potential partnerships or alternative uses for the hardware. NASA also expressed its commitment to supporting the project’s workforce at the Goddard Space Flight Center through fiscal year 2024.

The OSAM-1 mission, originally known as Restore-L, was initiated about a decade ago with the goal of launching in 2020 to refuel Landsat 7. However, the mission faced significant delays and cost overruns. By April 2022, the projected cost had increased from $626-753 million to $2.05 billion, with a launch date pushed back to December 2026. The NASA Office of Inspector General (OIG) predicted further overruns, estimating a cost at completion of up to $2.17 billion and a launch window between March and June 2027.

The OIG report identified Maxar as a key factor in the problems faced by OSAM-1. Maxar was responsible for supplying both the spacecraft bus and the robotics payload, called Space Infrastructure Dexterous Robot (SPIDER). Delays in delivering these components contributed to the mission’s setbacks. Maxar admitted underestimating the complexity of modifying its satellite bus for use in low Earth orbit and faced technical issues with SPIDER as well as subcontractor management problems.

The use of fixed firm price contracts was also highlighted as a contributing factor to the project’s challenges. These contracts did not provide NASA with the means to incentivize Maxar’s performance. NASA had to step in and provide labor assistance, costing an estimated $2 million, to help with the OSAM-1 bus in 2022 and 2023. Maxar acknowledged that OSAM-1 was not a high priority for the company in terms of staffing quality.

Despite the cancellation, OSAM-1 did not lack funding. Congress consistently exceeded NASA’s funding requests for the mission. Between 2016 and 2023, NASA requested $808.5 million, but Congress appropriated over $1.48 billion. For fiscal year 2024, NASA requested $227 million, and both the House and Senate versions of spending bills fully funded the mission.

The cancellation of OSAM-1 comes at a time when many companies are actively pursuing satellite servicing technologies. These companies often adopt more cooperative approaches, such as designing satellites with refueling ports to simplify the refueling process. The lack of discussion about OSAM-1 at the annual meeting of CONFERS, a satellite servicing industry group, indicates a shift towards these alternative approaches.

Bo Naasz, who leads satellite servicing capability development at NASA, acknowledged the challenges of developing a spacecraft designed to refuel an unprepared spacecraft. He emphasized the value of OSAM-1 in demonstrating robotic technologies that could be applied to other applications while gaining experience in satellite servicing. Despite the difficulties, Naasz believes that satellite servicing is ready and can be successfully implemented.

While the cancellation of OSAM-1 is undoubtedly a setback for NASA, it highlights the complexities and challenges involved in satellite servicing projects. However, the agency remains committed to supporting its workforce and exploring potential partnerships or alternative uses for the hardware. As commercial companies continue to pursue satellite servicing technologies, it is clear that collaboration and innovative approaches will play a crucial role in the future of space exploration.

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