> But, why would they would they choose to sell at a loss when they could beat the competition at twice the price?
Because they promised to cut prices by an order of magnitude. Following a promise like that, you can't just offer a 10-15% price reduction.
Plus, if they offered at twice the current price, I don't believe they would be competitive. Part of the reason they offer a low price is that they have still-new, not-fully-tested technology. Clients accept the increased risk, but they expect significant savings in return.
Also, for certain flight configurations, SpaceX's pricing isn't particularly competitive even at its current level.
Because they promised to cut prices by an order of magnitude. Following a promise like that, you can't just offer a 10-15% price reduction.
Plus, if they offered at twice the current price, I don't believe they would be competitive. Part of the reason they offer a low price is that they have still-new, not-fully-tested technology. Clients accept the increased risk, but they expect significant savings in return.
Also, for certain flight configurations, SpaceX's pricing isn't particularly competitive even at its current level.