Blue Origin, the space company founded by Amazon billionaire Jeff Bezos, is laying off nearly 1,400 employees—about 10% of its workforce—as it moves to streamline operations and accelerate the production of its New Glenn rocket.
The job cuts, announced in an internal memo by CEO Dave Limp, reflect a strategic shift for the company, which aims to trim management layers and focus on ramping up launches.
Limp acknowledged the company had expanded rapidly in recent years but said its structure was not optimized for long-term success.
“We grew and hired incredibly fast in the last few years, and with that growth came more bureaucracy and less focus than we needed,” Limp wrote in the email. “It also became clear that the makeup of our organization must change to ensure our roles are best aligned with executing these priorities.”
The layoffs come just weeks after Blue Origin’s New Glenn rocket completed its first successful uncrewed test flight following years of delays. The heavy-lift rocket is designed to carry satellites and other payloads into orbit, a crucial step in the company’s efforts to compete with rivals like Elon Musk’s SpaceX.
While the test flight marked a milestone, Blue Origin’s attempt to land New Glenn’s first-stage booster was unsuccessful.
Founded in 2000, Blue Origin has been a major player in the private space industry but has struggled to keep pace with SpaceX.
Limp, an Amazon veteran, took over as CEO after Bob Smith stepped down in late 2023. Under his leadership, Blue Origin is finalizing its annual operating plan, which focuses on scaling up manufacturing and increasing launch frequency to secure more commercial and government contracts.