How do NASA and commercial companies work together on space projects?

Partnership model between NASA and industry

NASA partners with commercial companies through a range of arrangements: contracts, public-private partnerships, milestone-based agreements, and Space Act Agreements. The goal is to leverage private-sector innovation, lower costs, and speed access to space while focusing NASA resources on science, exploration, and technology development.

Typical collaboration areas:

• Cargo and crew transport to low Earth orbit (LEO).
• Development of lunar delivery systems and commercial landers.
• Technology demonstrations and small satellite services.
• Launch services and logistics.

Benefits and structure

• Shared risk: Private partners often take on development risk and invest their own capital.
• Cost-effectiveness: Competition drives efficiencies.
• Flexibility: NASA can buy services rather than build everything itself.
• Standards and oversight: NASA sets safety, performance, and integration requirements.

Overall, the commercial partnership model has enabled routine access to LEO, accelerated technology maturation, and opened new market opportunities while allowing NASA to concentrate on deep-space exploration and flagship science missions.