London Daily

Focus on the big picture.
Saturday, Jul 05, 2025

Virgin Orbit sacks 85% of workforce and ceases operations 'for foreseeable future'

Virgin Orbit sacks 85% of workforce and ceases operations 'for foreseeable future'

Around 675 employees will be laid off across "all areas" of Sir Richard Branson's Virgin Orbit after funding talks collapsed last week, prompting the British billionaire to inject millions into the company.

Sir Richard Branson's Virgin Orbit has said it is laying off 85% of its staff and will cease operations for the foreseeable future.

The satellite launch company, which is 75%-owned by the British billionaire's Virgin Group, was unable to secure new funding from investors.

Back in January, the company failed to complete the first-ever satellite launch from UK soil.

Virgin Orbit is 75%-owned by Sir Richard Branson's Virgin Group.


Sir Richard's investment firm, Virgin Investments, is injecting $10.9m (£8.8m) into the company "to fund severance and other costs related to the workforce reduction".

Virgin Orbit chief executive Dan Hart told employees during a Thursday afternoon meeting that the company would be ceasing operations "for the foreseeable future".

Following news of the layoffs, shares in the company plummeted by 38% in after-hours trading in New York.

The staffing cuts will impact around 675 employees across "all areas of the company", Virgin Orbit said in a regulatory filing, adding that other total costs are expected to reach just over $15m (£12.1m).

It was reported last week that Texas-based Matthew Brown had been in talks to invest $200m (£161m) in the company, but those talks collapsed last week, according to Reuters.

A report in the Financial Times also suggested Virgin Orbit's chief executive Dan Hart is hoping to seal a last-minute investment to stop the firm from collapsing.

The company furloughed nearly all of its 750 employees earlier this month in what Mr Hart described as an "operational pause" while Virgin Orbit sought a financial lifeline.

A small group of employees returned to work on 23 March to focus on rocket engine work, an email to staff said at the time.

Virgin Orbit was founded in 2017 and had been valued at $3.2bn when it went public in 2021 through a "blank cheque deal", but its failed satellite launch represented a major blow to the business.

The mission was the first-ever satellite launch from UK soil, and it was heralded as a major milestone for British space exploration, but it ended in disappointment after the rocket failed to deploy its payload of nine satellites.

The first stage of the mission went according to plan, with a converted Boeing 747 named Cosmic Girl flying 35,000ft over the Atlantic Ocean off Ireland's southern coast.

It then deployed the 21-metre rocket, named LauncherOne, that contained the small satellites which would have been the first launched into orbit from western Europe.

But organisers identified an "anomaly" leading to a "premature shutdown" and the rocket fell back to Earth, landing in the Atlantic Ocean.

Newsletter

Related Articles

0:00
0:00
Close
London Stock Exchange Faces Historic Low in Initial Public Offerings
A new online platform has emerged in the United Kingdom, specifically targeting Muslim men seeking virgin brides
Trump Celebrates Independence Day with B-2 Flyover and Signs Controversial Legislation
Boris Johnson Urges Conservatives to Ignore Farage
SNP Ordered to Update Single-Sex Space Guidance Within Days
Starmer Set to Reject Calls for Wealth Taxes
Stolen Century-Old Rolls-Royce Recovered After Hotel Theft
Macron Presses Starmer to Recognise Palestinian State
Labour Delayed Palestine Action Ban Over Riot Concerns
Swinney’s Tax Comments ‘Offensive to Scots’, Say Tories
High Street Retailers to Enforce Bans on Serial Shoplifters
Music Banned by Henry VIII to Be Performed After 500 Years
Steve Coogan Says Working Class Is Being ‘Ethnically Cleansed’
Home Office Admits Uncertainty Over Visa Overstayer Numbers
JD Vance Questions Mandelson Over Reform Party’s Rising Popularity
Macron to Receive Windsor Carriage Ride in Royal Gesture
Labour Accused of ‘Hammering’ Scots During First Year in Power
BBC Head of Music Stood Down Amid Bob Vylan Controversy
Corbyn Eyes Hard-Left Challenge to Starmer’s Leadership
London Tube Trains Suspended After Major Fire Erupts Nearby
Richard Kemp: I Felt Safer in Israel Under Attack Than in the UK
Cyclist Says Police Cited Human Rights Act for Riding No-Handed
China’s Central Bank Consults European Peers on Low-Rate Strategies
AI Raises Alarms Over Long-Term Job Security
Saudi Arabia Maintains Ties with Iran Despite Israel Conflict
Musk Battles to Protect Tesla Amid Trump Policy Threats
Air France-KLM Acquires Majority Stake in Scandinavian Airlines
UK Educators Sound Alarm on Declining Child Literacy
Shein Fined €40 Million in France Over Misleading Discounts
Brazil’s Lula Visits Kirchner During Argentina House Arrest
Trump Scores Legislative Win as House Passes Tax Reform Bill
Keir Starmer Faces Criticism After Rocky First Year in Power
DJI Launches Heavy-Duty Coaxial Quadcopter with 80 kg Lift Capacity
U.S. Senate Approves Major Legislation Dubbed the 'Big Beautiful Bill'
Largest Healthcare Fraud Takedown in U.S. History Announced by DOJ
Poland Implements Border Checks Amid Growing Migration Tensions
Political Dispute Escalates Between Trump and Musk
Emirates Airline Expands Market Share with New $20 Million Campaign
Amazon Reaches Milestone with Deployment of One Millionth Robot
US Senate Votes to Remove AI Regulation Moratorium from Domestic Policy Bill
Yulia Putintseva Calls for Spectator Ejection at Wimbledon Over Safety Concerns
Jury Deliberations in Diddy Trial Yield Partial Verdict in Serious Criminal Charges
House Oversight Committee Subpoenas Former Jill Biden Aide Amid Investigation into Alleged Concealment of President Biden's Cognitive Health
King Charles Plans Significant Role for Prince Harry in Coronation
Two Chinese Nationals Arrested for Espionage Activities Against U.S. Navy
Amazon Reaches Major Automation Milestone with Over One Million Robots
Extreme Heat Wave Sweeps Across Europe, Hitting Record Temperatures
Meta Announces Formation of Ambitious AI Unit, Meta Superintelligence Labs
Robots Compete in Football Tournament in China Amid Injuries
Trump Administration Considers Withdrawal of Funding for Hospitals Providing Gender Treatment to Minors
×