Will they go backrupt? Seems like there are only two companies that make commercial planes Boeing and Airbus, why is that?
> Will they go bankrupt No > Seems like there are only two companies that make commercial planes Boeing and Airbus, why is that? Planes are difficult to design, low volume, benefit from economies of scale, and come with high liability. There was consolidation in the us aerospace industry in the 70s and 80s and Boeing bought a ton of smaller companies that uses to make planes too.
Development cost of the 737 max was close to $3b and each plane only sells for $120m .. with $12m profit per unit, the market doesn't support more than a few players at those costs that's why Airbus absorbed most of the smaller European players
So did competitors consolidate because that’s now what it takes to develop aircraft, or did shrinking margins follow the duopoly?
They have around 500 grounded. That tells me at 12m, they broke even at plane 250 and have 3b profit.
Are you suggesting to outsource our military contracts to France? It’s not going to happen, as we all recently learned :-)
Where are our Boeing people for details
Working hard on the planes that don't fall out of sky. What r u doing here.
In denial that tomorrow is Monday
🤦♂️🙄 No the largest aerospace company and one of the largest defense contractors in the world isn’t going to go bankrupt. On a serious note, while the 737 max makes up a good amount of their commercial side’s revenue, their defense, space, and global services side have all done extremely well this year to help make up some of the damage from the 737 max. And even if they were to somehow go bankrupt, the US government bailed out the automakers, you think they’d even hesitate to bail out one of their prime DoD suppliers and company that produces products that are the country’s largest and costliest export?
^If a Democrat was in office, there might be so much political pressure and backlash that the bailout could fail
Lol not bailing out Boeing would be a matter of national security. Trust me, no Democrat is going to commit political suicide.
Newsflash Developers: Planes are harder to develop than your stupid Express.js CRUD app
Lol! Thanks, I needed that!
Too big to fail
Honestly the only company that is. It would be a MASSIVE hit to America. America is good at Tech and Aerospace. Giving up our largest player in one of those areas would be unthinkable.
I imagine a reorg and rebrand. They basically run the FAA so nothing's going to happen
hey you have discount code??
Boeing has more products than just the 737 Max. Anyways, Boeing Defense is the profit machine
The only way for them to go back rupt is if via flatulence