Why Jeff Bezos is Pledging Billions of Amazon Money on Commercial Space Travel

space travel

Reaping billions of dollars from multiple monetization platforms across the vast waters of Internet hasn’t quenched Jeff Bezos’ thirst for exploring untapped territories. After measuring the threshold of today’s global retail industry, the tech billionaire has just announced his plans to take the Space by storm!

The founder of Amazon.com is entering commercial space race by pledging investment of US$ 1 Bn of Amazon stock every year to fund his aerospace venture, Blue Origin. Bezos’ announcement at the Space Symposium Conference created ripples across the world, and grabbed the attention of billionaires as well as budding entrepreneurs towards the uncharted realm of space travel.

Being CEO of the e-commerce behemoth, Bezos is the largest shareholder of Amazon.com, procuring more than 80 million shares and close to 17% stake in the company. Simply put, Bezos will offload more than 1 million of his shares a year to fulfil this commitment, and simultaneously funnel them to boost the developmental growth of Blue Origin. The 53-year old entrepreneurial magnate wants to see the commercial space travel industry expand at the scale of today’s internet-driven businesses. At present, Bezos’ vision to bring down the costs of space travel and make it commercially available for a few thousand dollars seems farfetched. It’s also quite bizarre that this offbeat initiative comes from a guy who has the money to own all NFL teams and still be rich for the rest of his life.

So, what makes commercial space exploration so lucrative to prompt Jeff Bezos into investing billions of dollars and putting the future of his treasured jewel at stake?

Firstly, recent developments of Bezos’ privately-funded aerospace undertaking – Blue Origin – indicate that it is likely to be recognized as a key player in global space race industry in the future. Spaceflights and capsules developed by the company have not only had successful test rides, but they also promise that suborbital & orbital travel can also become a commercial service. Jeff Bezos is deeply invested in the progress of Blue Origin’s endeavors, and believes that the veracity of commercial space travel will be solely contingent upon the reliability of travelers on these vehicles.

Bezos, who was seen enjoy a ride in a Blue Origin capsule, also believes that it may take years of hard work to reduce the costs of space travel. One of the most uncertain aspect of this off-the-wall investment idea is how today’s technology, coupled with the world’s brightest minds, can pave way for such steep goals. In the years to come, Bezos’ aerospace company must develop travel capsules & spaceflights that limit the impact of gravity’s drag without hampering the vehicle’s operational efficiency. Speed constraints of existing spaceflights, lack of positioning systems for space travel, and dodging unprecedented obstacles arising from celestial bodies during travel are other top-of mind challenges that will be major stumbling blocks for Jeff Bezos’ ambition.

Nevertheless, the multi-billionaire philanthropist’s unwavering love for exploring space is likely to help him find a resolve for all such hurdles. Meanwhile, Bezos will continue to be a part of the space exploration world, by investing into businesses through Bezos Expeditions, or even by appearing in mainstream media through cameos in sci-fi space adventure films such as Star Trek Beyond (2016). In the long run, there’s no denying that lavish trips to exotic islands won’t remain the only exorbitant travel destinations as the world’s second-richest man is planning to offer tickets to the most outrageous destination of all – Space!

By Suyog Keluskar

Suyog Keluskar is an experienced Market Research, Customer Insights & Consulting professional, covering latest industry and market updates on Electronics, Semiconductor and ICT domain. With over ten years of experience in business/market research, Suyog delivers customer-centric assignments in market-entry, market expansion, partner identification, competition analysis, market sizing, industry insights and customer intelligence studies. When Suyog is not busy unraveling the consumer mind or unearthing market potential he can be found traveling the road less traveled with a fascinating book on contemporary history in his hand. An avid cricket fan, music lover and you will also find him discussing politics with his friends and peers more often.

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