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Eric Schmidt's Space Gamble: Why His Rocket Company Could Beat SpaceX to Mars

Eric Schmidt, the former CEO of Google, is betting his space company can reach Mars before SpaceX does. On Tuesday, NASA announced it had selected Relativity Space, which Schmidt acquired and now leads as CEO, to build and launch a spacecraft carrying scientific instruments to orbit Mars by 2028. The mission, called Aeolus, represents a striking pivot for Schmidt into the capital-intensive world of rocketry and signals his growing influence in space exploration beyond his decades in tech.

What Is the Aeolus Mission and Why Does It Matter?

Aeolus will carry four instruments designed to measure and image Mars from orbit, providing what NASA expects to be the first daily, global view of dust, wind, and temperature in the planet's atmosphere. This data is intended to make future Mars landings safer for robotic landers and, eventually, human astronauts. The mission structure follows a public-private partnership model where NASA provides the scientific instruments and oversight while Relativity handles the spacecraft design, construction, and rocket launch.

NASA administrator Jared Isaacman emphasized the value of this approach, stating that pairing "NASA's world-class instruments with commercial innovation and investment" allows the agency to "deliver more science, more often, and reduce the time it takes to get essential data into the hands of researchers preparing for future human missions to Mars". The agency did not disclose the contract value, and Relativity declined to comment on financial details.

How Did Eric Schmidt End Up Running a Rocket Company?

Relativity Space was founded in 2015 by two former engineers from SpaceX and Blue Origin who envisioned using 3D printing to build cheaper rockets. The company's first rocket, Terran 1, launched in March 2023 but failed mid-flight. Facing fundraising challenges and setbacks, Schmidt took a majority stake in the company last year and installed himself as CEO. His decision puzzled some observers, given that rocketry is a crowded and capital-intensive field dominated by established players like SpaceX and Blue Origin.

Schmidt has remained largely quiet about his investment strategy, though he has expressed interest in orbital data centers and is believed to be using Relativity to launch a space telescope called Lazuli, financed through his family philanthropy, Schmidt Sciences. The pent-up demand for new rockets, fueled by delays at Jeff Bezos' Blue Origin, could create an opportunity for Relativity if its larger Terran R rocket can successfully reach orbit.

Why This Matters: The Broader Context of Schmidt's AI and Tech Influence

Schmidt's move into space exploration adds another dimension to his public presence in technology policy and AI governance. In 2009, Schmidt voiced concerns about how digital media was affecting young people's cognition, telling talk show host Charlie Rose: "I worry that the level of interrupt, the sort of overwhelming rapidity of information... is in fact affecting cognition". That concern has only grown more relevant as social media use among young people has intensified, with recent research showing that 47.5% of young people ages 10 to 14 report losing track of how much they use their phones.

Schmidt

Now, Schmidt is positioning himself not just as a critic of technology's downsides but as an active builder in space infrastructure. The Aeolus contract represents a rare opportunity for a private company to reach Mars before SpaceX, which has long talked about Martian ambitions but has never actually sent its own mission to the Red Planet. If Relativity's Aeolus launches on schedule in 2028, it could mark a significant achievement for Schmidt and a subtle victory over Elon Musk, with whom Schmidt has sparred regularly on AI safety issues.

What Challenges Does Relativity Face?

The 2028 launch timeline is aggressive and will require Relativity to design and build the Aeolus spacecraft while completing development of the Terran R rocket, all on a tight schedule. NASA is taking on considerable risk by partnering with an unproven company; past startup partners have gone bankrupt or seen moon landers arrive misaligned. However, the potential payoff extends beyond the NASA contract, including commercial applications like launching satellites or delivering cargo to the moon.

How to Understand the Commercial Space Race

  • Public-Private Partnerships: NASA funds ambitious missions by sharing development costs with private companies, allowing the agency to stretch its budget further while companies gain experience and commercial opportunities.
  • Rocket Reusability and Cost: Companies like SpaceX have reduced launch costs dramatically through reusable rockets, creating demand for new launch providers and opening opportunities for competitors like Relativity.
  • Market Uncertainty: While demand for launch services is growing, the market for deep-space missions remains murky, making it difficult to predict long-term profitability for companies like Relativity.

Schmidt's acquisition of Relativity and his appointment as CEO represent a calculated bet that the commercial space industry will continue to expand and that there is room for multiple players to succeed. Whether Relativity can deliver on its ambitious timeline and prove its 3D-printed rocket technology remains an open question, but the NASA contract suggests the company has at least cleared a significant credibility hurdle.