SpaceX was selected for the program along with Rocketplane Kistler (RpK), but RpK's contract was terminated with only partial payment after the company failed to meet the required milestones. The addition of a few more milestones eventually boosted the total contract value to up to $396 million. In 2006, SpaceX received $278 million from NASA under the agency's Commercial Orbital Transportation Services (opens in new tab) (COTS) demonstration program, which was created to spur the development of systems that could transport cargo commercially to the ISS. Related: See The Evolution of SpaceX's Rockets in Pictures The 2009 launch also placed the Malaysian RazakSat satellite into orbit. But eventually, Falcon 1 made two successful flights: on Sept. It took four tries to get Falcon 1 flying successfully, with previous attempts derailed by problems such as fuel leaks and a rocket-stage collision. The company experienced a steep learning curve on the road to orbit. (Later, he wooed launch clients from various sectors to diversify his customer base.) As such, his goal for SpaceX was to develop the first privately built, liquid-fueled booster to make it into orbit, which he called the Falcon 1. So, he sought out a stable customer that could fund the early development of a rocket: NASA. Musk was already an experienced businessman when he started SpaceX, and he strongly believed that more frequent and more reliable launches would bring down the cost of exploration.
(Image credit: NASA/Bill Ingalls) (opens in new tab) SpaceX's first rocket: Falcon 1 SpaceX founder and CEO Elon Musk and the SpaceX team are recognized by Vice President Mike Pence at NASA’s Kennedy Space Center following the launch of the company’s Demo-2 mission to the International Space Station on May 30, 2020.
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