A rocket company that has never reached orbit just landed a NASA contract to fly to Mars. Its only previous launch broke apart mid-flight in 2023.
The company is Relativity Space - and it's now run by former Google CEO Eric Schmidt.
The Deal
On Wednesday, NASA hired Relativity to design the spacecraft, load it with science instruments, and get it to the Red Planet. The mission is called Aeolus and it's set to launch in 2028.
It's the same playbook NASA has been running for years, with the agency designing the science while a private partner builds and flies the hardware.
SpaceX got a version of this deal for space station cargo runs, and Firefly Aerospace got one for a Moon lander.
Aeolus will carry four instruments to orbit Mars and take readings. NASA wants daily updates on the planet's weather and atmosphere - data it says it needs before sending humans anywhere near the surface.
NASA didn't say how much it's paying Relativity, and Relativity didn't comment.
We break down the contracts and deals actually moving markets every morning in Market Briefs - five minutes a day, with a free 45-minute investing masterclass when you sign up.
The Schmidt Angle
Schmidt bought a majority stake in Relativity last year after the company ran into fundraising trouble. He made himself CEO and has stayed quiet about his plans.
What's known: he's reportedly using the rocket to launch a space telescope funded by his family foundation, and he's talked publicly about putting data centers in orbit.
The Mars contract gives him a shot at something Elon Musk has been promising for years but never actually done - send a real mission to Mars.
(Yes, Musk launched a Tesla in that direction in 2018, but that was marketing, not a science mission.)
Schmidt and Musk already trade jabs publicly over AI safety, and now they're competing in space too.
The Risks
NASA's track record with startup partners is mixed, with some going bankrupt before delivering and one Moon lander tipping over on arrival.
Relativity hasn't even finished the rocket that will carry Aeolus. It still needs to design and build the spacecraft, complete a rocket that has never flown, and hit a 2028 launch window all at once.
NASA is betting that lower costs are worth the risk. If Relativity stumbles, the agency loses a mission - but if it works, NASA gets Mars data at a fraction of what an in-house program would cost.
What To Watch
The 2028 window is tight, and Terran R - Relativity's new rocket - still needs to prove it can reach orbit. If Aeolus does get off the ground on time, Relativity becomes the first private company to send a real mission to Mars.
Musk has been promising Mars for years, but Schmidt has roughly two years to launch and get there.
If you want this kind of read on what's moving in the market every morning, join 350,000+ investors reading Market Briefs - you also get a 45-minute investing course thrown in as a bonus.
