# **Relativity Space Grows in Texas with New Management**
## **Introduction**
Relativity Space, a firm recognized for its groundbreaking use of 3D printing in the realm of rocket production, is experiencing a major overhaul under the direction of its recently appointed owner and CEO, Eric Schmidt. The ex-Google executive has invested significantly in the enterprise, offering crucial financial support and laying the groundwork for a strategic transformation of its operations. A key highlight of this evolution is the upcoming expansion of manufacturing capabilities to Baytown, Texas, a decision that could greatly impact the U.S. space sector.
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## **Eric Schmidt’s Strategy for Relativity Space**
Eric Schmidt’s takeover of Relativity Space signals his return to a CEO position after over ten years. His investment, estimated to be at least $1 billion, is focused on securing the company’s longevity and facilitating the successful creation of the **Terran R** rocket.
The Terran R is a sizable, reusable launch vehicle intended to rival SpaceX’s **Falcon 9**. However, its dimensions bring about logistical hurdles. With a width of **17 feet, 9 inches**, the rocket’s size makes it impractical to transport across the country via highways, leading to the need for alternative methods of shipping.
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## **Why Texas? The Rationale Behind the Shift**
Initially, Relativity Space intended to manufacture the initial stages of the Terran R rocket at its **Long Beach, California** site and send them through the **Panama Canal** to the **Stennis Space Center** in Mississippi for testing. Subsequently, the rockets would be delivered by barge to the launch site in **Cape Canaveral, Florida**. However, this intricate process was projected to cost as much as **$3.45 million per shipment**, which led the company to pursue a more effective alternative.
The choice to move a significant portion of manufacturing to **Baytown, Texas**, presents various benefits:
– **Access to Waterways**: Baytown’s positioning along the **Houston Ship Channel** grants direct access to the Gulf of Mexico, facilitating transport to testing and launch locations.
– **Reduced Costs**: Texas provides a **lower cost of living** and **business-friendly regulations**, making it a compelling option compared to California.
– **Aerospace Workforce**: The **Johnson Space Center**, situated merely 20 miles away, ensures availability of a qualified workforce skilled in spaceflight and engineering.
While Relativity Space has yet to officially validate the move, a representative indicated:
> “As we ramp up Terran R production to satisfy increasing customer needs, we are investigating alternatives to broaden our manufacturing capabilities.”
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## **Texas: A Developing Center for Space Innovation**
Relativity Space’s potential move to Texas aligns with the state’s wider ambitions to cement itself as a frontrunner in the space industry. In 2023, Texas established the **Texas Space Commission**, earmarking **$350 million** to support commercial space initiatives. Earlier this year, the commission distributed **$47.7 million in grants** to firms such as **SpaceX, Blue Origin, Firefly Aerospace, Intuitive Machines, and Starlab Space**.
Texas is already a hub for leading aerospace companies, including:
– **SpaceX** (Starbase in Boca Chica and a rocket development center in McGregor)
– **Firefly Aerospace** (rocket manufacturing in Cedar Park)
– **Blue Origin** (testing facilities in Van Horn)
Should Relativity Space proceed with its Texas expansion, it would further enhance the state’s role as an essential player in the commercial space landscape.
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## **Conclusion**
With Eric Schmidt at the helm, Relativity Space is making strategic moves to ensure its future in the competitive space launch arena. The prospective transfer of manufacturing operations to Texas could simplify logistics, lower expenses, and position the company for sustained success. As Texas continues to draw aerospace enterprises, it is swiftly establishing itself as a central hub for the forthcoming era of space exploration and innovation.
