Amazon (AMZN) founder Jeff Bezos is reportedly lobbying U.S. President Donald Trump for NASA (National Aeronautics and Space Administration) and defense contracts amid the controversial fallout between him and Elon Musk. The billionaire’s space exploration company, Blue Origin, is vying for contracts against Musk’s SpaceX and is seeking to capitalize on the current rift between the frenemies. The news was first reported by the Wall Street Journal, citing people familiar with the matter.
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Blue Origin CEO Dave Limp has also met with Susie Wiles, Trump’s Chief of Staff, to secure more contracts for the company. Currently, SpaceX holds a larger share of the lucrative government contracts market, having recently signed a $5.9 billion Space force deal for 28 flights, while Blue Origin was awarded $2.4 billion for seven launches.
Blue Origin and SpaceX Compete for Space Contracts
Notably, SpaceX is currently far ahead of Blue Origin in the race. Musk’s space exploration company has successfully launched numerous rockets. SpaceX was also instrumental in bringing back stranded astronauts, Sunita Williams and Barry Wilmore, safely to Earth. Additionally, SpaceX’s Dragon rocket regularly transports both astronauts and vital supplies to and from the International Space Station (ISS).
After the public showdown between Musk and Trump, the president decided to withdraw Musk’s nominee for the head of NASA and replaced him with his own choice. Trump also threatened to cancel billions of dollars’ worth of government contracts with SpaceX to reduce the budget deficit. In the meantime, Bezos is trying to get into Trump’s good books by inviting him to his star-studded wedding, though Trump is not expected to attend.
However, a bigger challenge awaits Blue Origin: demonstrating the company’s ability to successfully launch multiple rockets to space. So far, the company has conducted only one mission, in January 2025, where its New Glenn rocket achieved a successful flight to orbit on the first attempt. The second attempt, originally planned for Spring, did not take place, and Blue Origin is now targeting a mid-August launch. Meanwhile, SpaceX has committed to 170 launches in 2025, including flights for its Starlink satellite services.
Is AMZN Stock a Buy?
On TipRanks, AMZN stock has a Strong Buy consensus rating based on 47 Buys and one Hold rating. The average Amazon price target of $243 implies 14.6% upside potential from current levels. Year-to-date, AMZN stock has lost 3.4%.
