Cost-saving SpaceX launch model will survive accident

Significance

The September 1 blast at the Cape Canaveral launching site is a setback for Musk's goal of breaking open the market for government and private sector space launch contracts. SpaceX has attempted to demonstrate that it can compete with established launch companies, which are backed by US aerospace giants Lockheed Martin and Boeing. SpaceX's entrepreneurial methods have suggested significant disruption to the global launching business.

Impacts

• Defence procurement reform would boost the US military's capacity to leverage private sector technological innovations.
• Efforts to reduce US dependence on Russian-manufactured rockets may lose steam if hawkish Senator John McCain is not re-elected.
• Washington's deployment of THAAD missile defence systems to South Korea will spur Beijing's efforts to develop anti-satellite capabilities.