NASA Terminates Funding for X-33 / X-34 Programs

NASA has announced it will not use Space Launch Initiative (SLI) funds for the X-33 or X-34 programs. As a result, the current X-33 program will end when the cooperative agreement between NASA and Lockheed Martin expires on March 31, unless Lockheed Martin chooses to go forward with the program with its own funds. NASA is also in the process of ending its X-34 contract with Orbital Sciences Corp. Continuation of both programs had depended upon their successfully competing for Space Launch Initiative funding, but NASA determined that the benefits to be derived from flight testing the X-33 or X-34 X-vehicles did not warrant the magnitude of government investment required and that SLI funds should be applied to higher priority needs.

Rep. Dana Rohrabacher (R-California), chairman of the House Science Space and Aeronautics Subcommittee, applauded NASA's decision to terminate the X-33 and X-34 programs. Arthur Stephenson, Director of NASA's Marshall Space Flight Center in Huntsville, Alabama, said, “What we're hearing from industry and our own evaluation is that we believe a single-stage-to-orbit vehicle for a second generation vehicle [a follow-on to the space shuttle] is not viable at this time. We are focusing on multi-stage, beginning with a two-stage vehicle.”

NASA investment in the X-33 program totaled US$912 million, staying within its 1996 budget projection for the program. Lockheed Martin originally committed to invest US$212 million in the X-33, but during the life of the program increased that amount to US$357 million. NASA has invested US$205 million on the X-34 program.

NASA began the X-33 program, working with Lockheed Martin, in 1996 as part of its Reusable Launch Vehicle program. It called for the demonstration of a subscale single-stage-to-orbit vehicle, one that would go from launch pad to orbit without using multiple stages. In November 1999 the X-33's composite liquid hydrogen fuel tank failed during testing. An investigation into the cause of the failure revealed that composite technology was not mature enough for such a use. Lockheed Martin proposed to complete development of the X-33 by replacing its two composite liquid hydrogen tanks with aluminum tanks. NASA agreed to permit them to compete for SLI funding to do so, but with this termination announcement, determined the benefits of testing the X-33 in flight did not justify the cost.

The X-34 program also was initiated in 1996, to provide a low-cost technology test bed that would demonstrate a streamlined management approach with a rapid development schedule and limited testing. A joint NASA/Orbital Sciences Corporation review of the project last year revealed the need to redefine the project's approach, scope, budget and schedule. To ensure safety and mission success of the X-34 it became necessary to increase government technical insight, hardware testing and integrated systems assessments. As a result, the projected cost of completing the X-34 program at an acceptable level of risk rose significantly above the planned budget. NASA decided that such additional funding for X-34 risk reduction would have to be competed within the SLI evaluation process. NASA determined that the benefits to be derived from continuing the X-34 program does not justify the cost. 

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