[[Home|🏠]] <span style="color: LightSlateGray">></span> [[Interviews]] <span style="color: LightSlateGray">></span> September 11 2021 **Insider**: [[Peter Beck]] **Source**: [Yahoo Finance](https://www.youtube.com/watch?v=xu47MDuXotE) **Date**: September 11 2021  🔗 Backup Link: https://www.youtube.com/watch?v=xu47MDuXotE ## 🎙️ Transcript >[!hint] Transcript may contain errors or inaccuracies. **Interviewer:** You heard Shauna talking about Rocket Lab not too long ago—those shares are up about 37% today. This is a company that you and I have only recently been able to start buying into, because they went public via SPAC not too long ago. Let’s talk about some of the big things coming for Rocket Lab with Peter Beck. He is the CEO, and we welcome him back into the stream. Peter, good to have you here once again. It seems like we were just talking to you—what, five or six weeks ago? **Peter Beck:** Yeah, great to be back. **Interviewer:** I don’t want to call it an earnings report, but when you shared what happened in the first six months of the year, the key that seems to have helped you today—and it’s not just me saying this, it’s what analysts are saying—is that your backlog grew to $141.4 million. Plus, there was the announcement of a $25 million deal to launch satellites for Kineis into orbit. It seems like you’ve launched, and there’s nothing that’s going to stop you—or is there a cloud on the horizon? **Peter Beck:** No, look—I mean, we’re just doing as we’ve always done, and that’s just to execute. The deal you mentioned is the Kineis deal. It’s a bulk buy of five launch vehicles, 25 satellites in total. We're launching their entire constellation. This comes on the back of another bulk buy from BlackSky, which is another five rockets launching their constellation. So what you're seeing is just us moving and delivering—both with launch and with significant growth in our space systems division. Most people know us for our rockets, but our satellites and space systems division is growing very strongly as well. ### Navigating COVID Restrictions in New Zealand **Interviewer:** One of your key launch facilities is located in New Zealand, which has recently reinstated COVID-19 restrictions. How significantly do you see that affecting your company in the short term? **Peter Beck:** In the short term, it's a little bit painful. New Zealand has a very strict COVID approach—basically one of elimination. For the last year, that's been great for us, because life has been more or less normal with no community transmission. But with the recent Delta outbreak, the country has gone back into a kind of lockdown, which makes operations difficult. The good news is the numbers are easing back quickly, and we should be back on the pad very soon. Also, we have an additional pad at Wallops Island, Virginia, in the United States. We run three pads in two countries, so we're well diversified for the future. ### Differentiation in a Crowded Market **Interviewer:** For those of us who aren’t rocket scientists, your business might just seem like one of many private companies launching things into space. But the competition doesn't quite work that way. For instance, one of the deals you just landed was thanks to Electron—your launch vehicle—being more efficient and cost-effective for the satellite payload size than competitors. Does this focus future clients on a specific part of the market where Rocket Lab operates best, while other launch companies target different segments? **Peter Beck:** Yeah, I think it's an important distinction. Within the industry, a lot of companies talk about delivery to orbit, but only a few are actually doing it. Behind SpaceX, we’re the second most frequently launched U.S. rocket. That’s a big deal. Also, not all orbits are the same. Take the Kineis deal for example—these are very high-precision insertions into orbit. This isn’t just lobbing up some rocks; this is highly accurate work we've proven again and again. We've now put over 100 satellites into orbit, and that level of mission assurance is essential in this industry. ### What Investors Should Focus On **Interviewer:** For investors looking at your company as a way to gain exposure to space—something a lot of people find exciting—what should they be focusing on? What’s going to drive growth in the coming quarters? **Peter Beck:** If investors are looking to invest in space companies, the first thing they should focus on is execution. Space is a fantastic industry, but there's a lot of promises made. Look at who is actually executing, deploying, and building. Our vision at Rocket Lab is to be an end-to-end company. Yes, we build rockets, and we’re developing a larger launch vehicle as well, but our satellite business is very strong. When you combine satellites and launch under one vertically integrated roof, the efficiency and scale are enormous. The space industry is currently defined by many small-scale niche operators. If it's going to grow into a $1.42 trillion industry, scale needs to be front and center—and that’s our focus. ### Competing with Flashier Founders **Interviewer:** What I hear you saying is that actions speak louder than words. You've delivered over 100 satellites. When we look at your competitors, you've got Bezos—flamboyant, but hasn’t put satellites up yet. Elon Musk—also flamboyant, tweeting constantly. Then there's you. You’ve been on with us before—very rock solid. Is it a disadvantage to not be as flamboyant when other rocket company leaders are grabbing headlines while you're quietly doing the work and launching into space? **Peter Beck:** Well, it's just the way we operate. We're all about execution and doing what we do best. So, I apologize for being too boring. **Interviewer:** You are not boring. **Peter Beck:** I do have a cowboy hat—that makes me more flamboyant! But no, seriously—we’re focused on delivering for our customers and building a large, long-term, sustainable space company. **Interviewer:** And you’re doing extremely well. Peter Beck, CEO of Rocket Lab—thanks so much for joining us again. Rocket Lab shares up over 30% today.