Blue Origin setback and NASA’s lunar plans

On April 19, 2026, Blue Origin launched its New Glenn rocket from Cape Canaveral and reused a booster for the first time. The booster landed successfully, but the flight ended with a problem when the upper stage failed to raise the payload to its planned altitude. "The payload was placed into an off-nominal orbit." The satellite separated and powered on, yet its altitude was too low to begin operations.

AST SpaceMobile said BlueBird 7 will be deorbited because its thrusters cannot correct the low altitude, and the company expects to recover the cost through insurance. The Federal Aviation Administration has ordered an investigation and has grounded New Glenn launches while Blue Origin leads the anomaly review with FAA oversight. Preliminary data indicate an upper-stage engine did not produce enough thrust during the second-stage sequence.

NASA has contracts with commercial partners and is working with Blue Origin to develop the Blue Moon lander, which New Glenn is designed to launch for future Artemis missions; the agency also lists a $3.4 billion contract value for that development. With New Glenn grounded, schedules for uncrewed lander demonstrations may face delays while the investigation proceeds.