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Virgin Galactic Edges Closer To Commercial Spaceflight After Latest Test

Virgin Galactic (SPCE) can start preparing for powered test flights after a successful second glide test of SpaceShipTwo, a key step toward the start of commercial spaceflights. Shares rose.

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SpaceShipTwo flew at Mach 0.85 Thursday, up from Mach 0.7 during the first test on May 1. The faster flight allowed the space company to see how certain systems operate close to what is seen during the rocket boost on a powered space flight.

The space plane flew at an altitude of 51,000 feet before landing back at Spaceport America in New Mexico. The test was a key step before Virgin Galactic can start taking paying passengers to the edge of space.

"It was an important test that, pending data review, means we can now start preparing the vehicles for powered flight," CEO George Whitesides said in a release. "Our focus for this year remains unchanged on ensuring the vehicles and our operations are prepared for long-term, regular commercial spaceflight service."

After the first test in May, Whitesides said the company needed at least one more glide flight before the start of powered testing, and then "see how that goes. 

Virgin Galactic founder Richard Branson had hoped to fly aboard the first commercial SpaceShipTwo flight for his 70th birthday in July. But that timeline is under pressure due to the coronavirus pandemic.

The test also comes after the commercial space company announced it signed a deal with NASA Monday to create an astronaut training program.


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Virgin Galactic Stock

Shares closed up 2% at 15.55 on the stock market today. Boeing (BA), whose venture capital arm HorizonX has a $20 million minority stake in Virgin, fell 2.8%.

Despite any delays due to the pandemic, Virgin Galactic customers are still lining up. The company has received 400 refundable deposit payments from prospective passengers in 44 countries as part of its "One Small Step" initiative.

Virgin Galactic plans the unveiling of the commercial customer cabin in "the coming months."

But analysts believe the real moneymaker for Virgin Galactic will be point-to-point travel. The company wants to integrate Virgin Galactic's "vehicle system" into the national airspace systems, allowing it to land at airports and link to local transport systems.

Follow Gillian Rich on Twitter @IBD_GRich for space news and more.

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