INTERVIEW: ‘I have always dreamed of going into space’ — George Whitesides, CEO Virgin Galactic

George Whitesides, CEO Virgin Galactic, speaks to Arab News. (Illustration by Luis Grañena)
Updated 27 December 2018
Follow

INTERVIEW: ‘I have always dreamed of going into space’ — George Whitesides, CEO Virgin Galactic

  • Virgin Galactic CEO and former NASA chief-of-staff was joined by company founder and billionaire Richard Branson for a test flight into space
  • Traveling at almost three times the speed of sound and reaching a height of 51 miles above earth, VSS Unity officially entered space

DUBAI: On a crisp sunny December day in California’s Mojave desert, stood nervously on the edge of the runway waiting for the SpaceShipTwo spacecraft to begin its takeoff on a test mission into space.
The former NASA chief-of-staff was joined by company founder and billionaire Richard Branson, who had brought his son along for the launch, and they gathered with other colleagues and family members of those involved in what was to become a ground-breaking test flight to send a commercial spaceship designed to carry private passengers into space for the first time.
“It was pretty intense right before the flight,” Whitesides said. “You could tell people had that mixture of excitement and nervousness that you always have over a major flight test milestone,” he said, joking he was as nervous as he had been before his wife gave birth to their first child.
“We had all the staff that built the vehicle and maintained the vehicle and many of their families came — and it was in some ways a family affair,” he said.
It was the fourth test flight for the vehicle, SpaceShipTwo — VSS Unity having completed ground tests and glide tests. The ship took off and was carried into the air by another carrier aircraft before it was blasted into space by the force of the rocket burn.
Traveling at almost three times the speed of sound and reaching a height of 51 miles above earth, VSS Unity officially entered space — as defined by US standards — for the first time.
The flight, piloted by Mark “Forger” Stucky and Frederick “CJ” Sturkow, lasted around 1 hour 15 mins, before returning to Earth and landing in front of the now extremely jubilant crowd of onlookers.
“The announcer started calling out — it’s burned for 10 seconds, 20 seconds, 30 seconds and the excitement was just building and building as the flight got higher and higher,” said Whitesides.
“Finally, the announcer said that the vehicle had reached space, and there was this great release of tension and excitement, and a cheer went out. It was the most amazing thing I’ve ever been part of — it was an incredible moment in time.”
He said when the pilots landed, they came out of the craft “looking cool as cucumbers and as if they just went down to the corner store to buy milk.
“But there was a lot of emotion when they were greeted by their spouses and kids,” he said.
The two pilots earned their “Astronaut Wings” from the US aviation agency FAA Commercial after the flight. The decorations will be officially awarded in a ceremony in Washington next year.
The successful mission not only marked the first human spaceflight to be launched from US soil since the final space mission in 2011, but was also the first time a crewed ship designed for commercial passenger service had reached space.
It is a major step forward for Virgin Galactic’s ambitions to take private citizens into space as tourists.
Virgin Galactic was established as an arm of the Virgin Group by Branson in 2004, and he has faced numerous setbacks in his pursuit of developing space tourism. This culminated in October 2014, when a test vehicle broke apart in flight and killed the co-pilot and left the pilot seriously injured.
For both Branson and Whitesides, the achievement of the test flight on Dec. 13 represented the realization of their childhood aspirations.
“I’ve always wanted to go to space to be honest — in some ways this is the perfect thing. I get to go to space but also help others get to space,” Whitesides said.

-------

BIO

CAREER

- Chief-of-staff for NASA; on leaving he received the Distinguished Service Medal, the agency’s highest award.

- Currently CEO of Virgin Galactic, Sir Richard Branson’s human spaceflight venture, and the Spaceship Company, a manufacturer of advanced space vehicles.  

EDUCATION

- Princeton University’s Woodrow Wilson School

- University of Cambridge

- Fulbright Scholarship to Tunisia

FAMILY

- Lives in California with his wife Loretta and two children

--------

“I grew up in the mid-1970s just after the Apollo program, and was really inspired by what was doing. I remember when I was 11 or 12 looking up, thinking I wanted to go up to space one day, and I have always had that dream,” he said, reflecting on his childhood growing up outside Boston in the US.
Whitesides pursued his early interest in space, first studying at Princeton University’s Woodrow Wilson School before earning a master’s degree in geographic information systems and remote sensing from the University of Cambridge.
His studies took him to work for the US space agency NASA, where be became chief-of-staff. On leaving he was awarded a medal for Distinguished Service, the highest award granted by the agency.
While at the agency, the Virgin Galactic project caught his eye, and he and his wife, Loretta — who also has a passion for space travel — were among the first customers to buy tickets in 2005 for Virgin Galactic’s planned commercial spaceship. This purchase paved the way to his appointment as CEO of the
venture in 2010.
Around the same time, the UAE also took an interest in the project, with the Gulf state initially taking a 31.8 percent stake in 2010, rising to a 37.8 percent the following year. The stake is currently held by the state-owned Mubadala Investment Company.
More recently there had been talks between Branson and Saudi Arabia about a potential $1 billion investment in the project by the Kingdom. Following the murder of Saudi journalist Jamal Khashoggi in October, however, Branson announced he had suspended talks with the Kingdom. Whitesides was unable to comment further on the current state of relations with Saudi Arabia.
Beyond the excitement and exhilaration of launching rockets beyond the Earth’s atmosphere, Whitesides is motivated by the profound impact the Galactic project and space travel could have on humanity as a whole.
“What inspires me is the idea of planetary perspective, the perspective when you go up in space. It is really important for the world to have that right now. If we can take a bunch of leaders from all over the world — some of them commercial leaders, some political leaders and some will be everyday citizens — and take them up into space, we can show them the planet.
“Show them how we are on this relatively fragile rock and you know we need to work together to solve some of our biggest problems. That is very inspiring to me. That is what motivates me. That space perspective is so important to our future,” he said.
Whitesides described photographs taken during the latest mission as “spectacular,” explaining that you can see the “blue marble under the thin atmosphere and
the wonderful beauty of planet Earth below.”
More than 600 people are already on the waiting list for the first commercial flights, all eager to see these views for themselves. Celebrities such as Leonardo diCaprio and pop star Justin Bieber are said to be among those who have bought tickets.
Since the latest test flight, interest has only heightened in getting a seat on the spaceship, Whitesides said, noting the importance of these first pioneers of space tourism.
“They have a special sparkle in their eye about doing new things and being at the forefront,” he said. “Without them we wouldn’t have the evidence of that large potential market out there,” he said.
Technology used for SpaceShipTwo ensures that the aircraft are reusable, Whitesides said, which is key to making this venture commercially viable. Typically spacecraft are abandoned after use one or two times, while the SpaceShipTwo model aims to operate more like a commercial jumbo jet and reused
multiple times.
“If you take a 747 across the Atlantic, that ticket is affordable because the airplane itself is reused thousands of times. So the key, really, to lowering the cost of space and enabling the benefits of space to be experienced more broadly by people around the world is to enable reusability.
“That’s what we have been working on so hard for SpaceShipTwo — to create a vehicle that can be reused not twice or three times or five times but 100 times for years and years,” he said.
Whitesides is optimistic there is demand for space travel, and that it will only grow once the first few successful journeys are completed.
“The number of people who would want to go to space is huge. I speak all over the world and I ask audiences everywhere who would like to go to space — and almost always I see most of the hands go up,” he said.
“There are a lot of people who want to go up, but they want to see it demonstrated first,” he said.
The current SpaceShipTwo vehicle is designed only to take people up to space and back.
However, Whitesides said that the next step would be to create new spacecraft models capable of high-speed space travel between continents.
“What is amazing in a sort of surprising way is that we have been going at roughly the same speed in terms of jet travel for almost 50 years — which is about Mach 0.8,” he said.
“Our children or grandchildren will be surprised that we got on planes to fly for 12 hours or 15 hours between continents. They will get used to much higher speed transportation,” he said.
Following the latest launch, they will start installing the customer interiors — these are ready and waiting to be installed in the craft.
“We are really on the home stretch here,” he said. “We need to fly a few flights … with our staff on board in the back — and those flights will allow us to make sure our customer experience is terrific and everyone is well trained. I would hesitate to give a specific date, but I think we are getting pretty close.”
Further developments with Virgin Galactic’s existing tie-up with the UAE are in the pipeline as well, with talks about developing a spaceport in the Gulf state to send people to space at an “exciting” stage.
The UAE is keen to develop its space industry, having set up its own space agency in 2014 and aiming to send the first Emirati astronaut to the international space station next year.
“What you may see in the coming period of time are discussions and announcements around the formation of a small number of space ports (around the world),” he said. Initially these will be used to send ships to space and back down again before potentially forming the basis for a network for intercontinental space travel.
Italy is one of the already publicly disclosed locations for a potential spaceport, while “the UAE in many respects is the furthest along, so that is exciting,” he said.


Closing Bell: Saudi main index slips to close at 11,892

Updated 25 December 2024
Follow

Closing Bell: Saudi main index slips to close at 11,892

  • Parallel market Nomu gained 86.66 points, or 0.28%, to close at 31,007.06
  • MSCI Tadawul Index lost 3.16 points, or 0.21%, to close at 1,493.74

RIYADH: Saudi Arabia’s Tadawul All Share Index slipped on Wednesday, losing 21.63 points, or 0.18 percent, to close at 11,892.32.

The total trading turnover of the benchmark index was SR2.79 billion ($746 million), as 132 of the stocks advanced and 86 retreated. 

The Kingdom’s parallel market Nomu gained 86.66 points, or 0.28 percent, to close at 31,007.06. This comes as 49 of the listed stocks advanced, while 29 retreated. 

The MSCI Tadawul Index lost 3.16 points, or 0.21 percent, to close at 1,493.74. 

The best-performing stock of the day was Al-Baha Investment and Development Co., whose share price surged 8.33 percent to SR0.52. 

Other top performers included Red Sea International Co., whose share price rose 6.32 percent to SR60.60 and Saudi Industrial Development Co., whose share price surged 5.07 percent to SR30.05.

MBC Group Co. recorded the biggest drop, falling 3.31 percent to SR52.50.

Bawan Co. also saw its stock prices fall 3.05 percent to SR54.10.

Savola Group saw its stock prices drop 2.97 percent to SR35.90.

On the announcements front, Saudi Arabian Mining Co., also known as Ma’aden, has announced ‎acquiring a full stake of Mosaic Phosphate in Waad Al-Shamal Phosphate Co. 

According to a Tadawul statement, the financial impact of the acquisition will be reflected in the company’s consolidated financial statements for the year ending Dec.31.

Ma’aden ended the session at SR49.20, up 0.61 percent.

Kingdom Holding Co. has announced the acquisition of an additional stake in xAI, with a total investment of SR 1.5 billion, as part of xAI’s Series C funding round. 

A bourse filing revealed that the transaction comes after KHC’s previous investment of the same amount in xAI during its Series B funding round. 

The move falls in line with KHC’s strategic collaboration with Elon Musk, and also follows its strategic stake in X, formerly known as Twitter, held since 2015. xAI is an artificial intelligence firm established by Elon Musk and a team of top-notch engineers to build AI to further accelerate human scientific discovery as a whole.

KHC ended the session at SR9.35, up 0.88 percent.

Bank Al-Jazira has announced its intention to issue Additional Tier 1 Sukuk under its SR 5 billion Additional Tier 1 Capital Sukuk Issuance Program by way of private placement in Saudi Arabia. 

According to a Tadawul statement, the bank has mandated Al-Jazira Capital, Al-Rajhi Capital and HSBC Saudi Arabia as joint lead managers and dealers for the potential offer. The filing further revealed that the purpose of the offer is to bolster the capital base of the bank, thereby backing its financial and strategic needs.

Bank Al-Jazira ended the session at SR18.64, up 0.21 percent.

Methanol Chemicals Co. has announced the approval of the Ministry of Energy’s request to renew the allocation of the required feedstock to produce several specialized petrochemical products. 

A bourse filing revealed that this follows the company’s Industrial Plot Allocation Agreement with Jubail and Yanbu Industrial Cities Services Co. in the PlasChem Park in Jubail (2) to establish and operate a Choline Chloride and Methyl Diethanolamine Methane plant.

Methanol Chemicals Co. ended the session at SR18.70, down 0.32 percent.

View United Real Estate Development Co. has signed a memorandum of understanding with Watheeq Capital to establish real estate funds to enhance investment opportunities.

According to a Tadawul statement, it will be valid from the date of its signature for one year, and will not be automatically renewed except by a written agreement signed between the two parties.

View United Real Estate Development Co. ended the session at SR68.50, down 0.70 percent.


MODON inks $453m in private sector deals to expand Saudi industrial cities

Updated 25 December 2024
Follow

MODON inks $453m in private sector deals to expand Saudi industrial cities

JEDDAH: Saudi industrial cities are set for further growth as the sector's authority revealed it has signed 23 development contracts with the private sector, valued at over SR1.7 billion ($453 million). 

The agreements, announced by the Saudi Authority for Industrial Cities and Technology Zones, or MODON, encompass a wide range of projects aimed at boosting industrial capabilities.  

These include the expansion of industrial cities, the construction of ready-made factories, the enhancement of MODON’s safety and security systems, and initiatives aligned with the National Industry Strategy.  

Additionally, the projects will address water and irrigation needs, improve water treatment facilities, upgrade electricity services, and expand road networks. 

MODON’s latest contracts highlight the growing role of the private sector in supporting Saudi Arabia’s ambitious Vision 2030 goals, which emphasize economic diversification, local production, and the creation of an attractive environment for both domestic and foreign investment.  

The projects are expected to enhance the competitiveness of Saudi industrial cities, foster greater investment, and improve operational efficiency for businesses. 

The agreements will also contribute to regional development, improve environmental sustainability, and promote vegetation growth, MODON stated in a post on its X account. 

The development of these projects is in line with Saudi Arabia’s broader efforts to build a dynamic and innovative economy. 

This move follows a previous round of agreements in July, when MODON signed nine contracts valued at SR1 billion to enhance infrastructure and service facilities across various industrial hubs. Key initiatives from that round included the development of infrastructure in Makkah’s and Jeddah’s industrial cities and the installation of 132-kilovolt overhead power lines in Tabuk’s industrial city. 

Looking ahead, MODON plans further expansion with projects that will improve electrical services, such as the construction of 115-kV overhead power lines in Hafr Al-Batin’s industrial city. The authority is also focusing on enhancing infrastructure networks for the first and second phases of Dammam’s Third Industrial City. 

Since its establishment in 2001, MODON has overseen the development of 36 industrial cities and is responsible for managing both operational and under-construction industrial lands across the Kingdom.  

In the first quarter of 2024, MODON attracted SR3.4 billion in private sector investments, signed 142 new industrial contracts, and registered a total of 6,758 factories. 

As part of its commitment to sustainable growth, MODON also planted over 576,000 trees and finalized 335 logistics contracts, underscoring its broader environmental and economic development objectives.


2.25m freelancers in Saudi Arabia join national economy

Updated 25 December 2024
Follow

2.25m freelancers in Saudi Arabia join national economy

  • The 25— 34 age group is particularly active in freelancing
  • 62% of freelancers hold bachelor’s degrees

JEDDAH: Freelancing is emerging as a key contributor to Saudi Arabia’s economy, with over 2.25 million individuals registered on the freelance platform by September.

This growth reflects the rising popularity of flexible work, supported by the Ministry of Human Resources and Social Development’s launch of the “Future Work” company in 2019 to enhance the freelancing ecosystem by promoting modern workstyles, including remote work and flexible-hour freelancing.

The company’s mission is to create more job opportunities, empower Saudi talent, and develop a labor market that complements traditional employment while aligning with global trends, according to the Saudi Press Agency.

Freelancers make a notable contribution to Saudi Arabia’s economy. In 2023, the sector contributed SR72.5 billion ($19 billion) to the gross domestic product, representing 2 percent of the Kingdom’s total output. This highlights its role in diversifying income sources and strengthening the national economy.

The initiative, along with other efforts, has contributed to reducing the Kingdom’s unemployment rates. Saudi Arabia has revised its unemployment target to 5 percent by 2030, down from the previous goal of 7 percent, as part of Vision 2030’s ambitions.

The progress was highlighted by Minister of Human Resources and Social Development Ahmed Al-Rajhi during a panel discussion at the Budget Forum 2024 in November, where he detailed the Kingdom’s strides in improving employment figures. Al-Rajhi said that the unemployment rate among Saudis was 12.8 percent in 2018, and it has recently dropped to 7.1 percent.

The Ministry of Human Resources and Social Development issues freelance certificates to individuals specializing in specific fields, enabling them to work independently in activities approved by the ministry through the official freelance portal.

A recent report from Future Work highlights the sector’s rapid development and its alignment with Vision 2030. The report also emphasizes the diverse nature of freelance activities, with trade and retail leading at 38 percent, followed by industry at 13 percent and business services at 11 percent. The diversity demonstrates the sector’s adaptability to meet various economic needs.

Freelancing accommodates individuals with different educational backgrounds. According to the report, 62 percent of freelancers hold bachelor’s degrees, while 31 percent have high school diplomas or less, and 7 percent possess higher degrees.

Technology plays a pivotal role in the sector’s growth, with digital platforms becoming indispensable for freelancers, especially in fields like technology, information, and finance. These tools enhance productivity and connectivity, fostering sustainability and success in freelance careers.

Geographically, the Riyadh region accounts for the largest share of freelancers at 27 percent, followed by Makkah at 22 percent, and the Eastern Province at 14 percent.

The 25— 34 age group is particularly active in freelancing, reflecting the younger generation’s growing interest in this flexible career path.

The report said that 3.2 million women have expressed interest in joining the freelance market, underscoring the effectiveness of initiatives aimed at enabling women to balance professional and personal commitments.

Government programs like Reef, the Social Development Bank, and the Human Resources Development Fund further support freelancers by fostering an environment conducive to their growth and success, SPA reported.


Saudi Arabia’s food & beverage sales drive $3.14bn in consumer spending

Updated 25 December 2024
Follow

Saudi Arabia’s food & beverage sales drive $3.14bn in consumer spending

  • Restaurants and cafes topped the list with SR1.69 billion in transactions: SAMA data

RIYADH: Saudi Arabia’s consumer spending reached SR11.8 billion ($3.14 billion) in the week of Dec. 15 to Dec. 21, with the food and beverage sectors continuing to lead in sales, official data showed. 

Despite an overall decline of 8.1 percent from the previous week, key sectors, especially dining and food, showed consistent performance, according to data from the Saudi Central Bank, also known as SAMA.  

The restaurants and cafes sector topped the list with SR1.69 billion in transactions, despite a 13.9 percent weekly dip. Food and beverage spending followed closely, settling at SR1.69 billion as well, reflecting a 9 percent decrease. These categories, however, maintained their dominance in consumer expenditure. 

The overall decrease in consumer spending is attributed to the timing of salary disbursements, traditionally paid on the 27th of each month, which typically leads to lower spending in the preceding weeks.  

Additionally, the winter holiday season, during which many expatriates travel home, further influenced the dip in domestic spending. 

Other sectors saw more moderate drops. The value of clothing and footwear transactions fell by 5.2 percent to SR864.15 million, while construction and building materials recorded a small 0.9 percent decline, totaling SR355 million.  

The electronics and electric devices sector saw an 8.7 percent weekly decrease in value, while gas stations and health-related sales also experienced declines of 9.4 percent and 7.3 percent, respectively. 

Jewelry sales recorded a 14.4 percent drop in transaction volumes, with a slight 3.9 percent decrease in value. Miscellaneous goods and services saw a 9.1 percent reduction in sales, totaling SR1.4 billion. 

Regional breakdown  

Regionally, Riyadh remained the largest market with a POS value of SR4.2 billion, although this represented a 6 percent decrease compared to the previous week.  

Jeddah saw a 7.5 percent drop to SR1.6 billion, while Dammam recorded a slight 3.6 percent decline to SR617.5 million. 

Among smaller cities, Hail experienced the largest decrease, with spending down 14.8 percent to SR169.6 million, and a 12.2 percent reduction in transaction volumes. Makkah recorded a 4.4 percent decline in value, settling at SR502.8 million, while Tabuk saw a 12.8 percent decrease in transaction value to SR210.4 million. 

Despite the seasonal slowdown, the food and beverage sectors continue to drive the market, maintaining a steady pace as consumer behavior shifts with the winter season. 


Saudi Arabia leverages project management to achieve Vision 2030 milestones

Updated 25 December 2024
Follow

Saudi Arabia leverages project management to achieve Vision 2030 milestones

RIYADH: In Saudi Arabia’s pursuit of the ambitious goals set out in Vision 2030, project management has emerged as a key enabler, ensuring that planning aligns seamlessly with execution to achieve transformative outcomes.

This vital discipline is playing a crucial role in turning visionary ideas into reality, as highlighted during a prominent forum held on Tuesday.

The event emphasized the central role of project management in realizing Vision 2030, a comprehensive framework launched in 2016 by Crown Prince Mohammed bin Salman.

The vision aims to diversify the economy and reduce the Kingdom’s dependence on oil. Currently, over 5,000 projects, valued at $5 trillion, are underway, signaling Saudi Arabia's substantial progress in reshaping both its economic and social landscapes.

“Project management is the bridge where vision meets ambition, converting plans into tangible results,” said Badr Burshaid, chairman of the Global Project Management Forum.

He also pointed to the Kingdom's significant investment in human capital, particularly through initiatives such as the Human Capability Development Program, which has placed Saudi Arabia among the top 10 nations globally in equipping professionals with essential business skills.

The forum highlighted the importance of strategic execution in driving economic transformation.

Badr Al-Dulami, deputy minister of transport and logistics services for roads affairs, described project management as the “pulse of transformation,” underscoring its role in fostering competitiveness and innovation.

“This summit is not just an event but a platform for uniting expertise and driving collaboration,” Al-Dulami said.

During the forum, excellence awards were presented to pioneering projects that exemplify Vision 2030’s focus on innovation, sustainability, and impactful outcomes.

Al-Dulami noted that these awards serve as an invitation to explore new horizons of creativity while staying aligned with national objectives.

Saudi Arabia’s success under Vision 2030 is evident across several key sectors. With 87 percent of initiatives either completed or on track, the Kingdom has made significant strides in improving its business environment, generating employment, and advancing major projects like NEOM and the Red Sea Project.

These achievements not only demonstrate Saudi Arabia’s strategic capabilities but also highlight its leadership in executing large-scale initiatives.

In closing, Burshaid urged participants to harness the insights and momentum gained from the forum to ensure continued progress.

“The seeds planted today will grow into achievements that inspire future generations,” he said, encouraging stakeholders to prioritize innovation and collaboration as Saudi Arabia moves forward.

With project management at the heart of Vision 2030, Saudi Arabia is setting a global benchmark for strategic execution and sustainable development, solidifying its role as a leader in transformative growth.