On February 20, 2025, Boeing CEO Kelly Ortberg made a striking revelation during the Barclays Industrial Select Conference, stating that Elon Musk, the head of SpaceX and a prominent figure in the aerospace industry, is playing a significant role in helping Boeing address the persistent delays in delivering the next generation of Air Force One aircraft. This collaboration between two aerospace giants, typically seen as rivals, underscores the urgency and complexity surrounding the VC-25B program, which involves converting two Boeing 747-8 jets into highly specialized presidential transports. The project, initially slated for completion by December 2024, has faced repeated setbacks, with delivery now potentially pushed as far back as 2029 or beyond, prompting intervention from Musk, an influential advisor to President Donald Trump.
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The Air Force One replacement program has been a challenging endeavor for Boeing since it secured the $3.9 billion fixed-price contract in 2018. This deal, personally negotiated by then-President Trump, aimed to cap costs for taxpayers, but it has instead resulted in over $2 billion in losses for Boeing due to a combination of supply chain disruptions, labor constraints, and evolving technical requirements. The aircraft, designed to serve as a flying White House with advanced security and communication systems, has proven far more difficult to produce than anticipated. Issues such as global supply chain bottlenecks, workforce shortages exacerbated by the pandemic, and stringent government specifications have compounded the delays, drawing frustration from the Trump administration, which has prioritized expediting the delivery timeline.
Ortberg praised Musk’s involvement, describing him as a “brilliant guy” who can quickly distinguish between essential technical requirements and unnecessary obstacles. Musk’s role, tied to his position as a leader in the Department of Government Efficiency (DOGE), appears focused on streamlining processes and removing what Boeing has called “non-value-added constraints.” This assistance is critical as Boeing seeks to mitigate further cost overruns and meet the administration’s demands for faster progress. Trump has publicly expressed dissatisfaction with the delays, even suggesting alternatives such as retrofitting a used aircraft if Boeing cannot deliver promptly. Musk’s expertise in optimizing complex projects, honed through his leadership at SpaceX and Tesla, is evidently being leveraged to tackle these inefficiencies.
Boeing’s defense unit, responsible for the Air Force One project, has already absorbed significant financial hits, including $1.7 billion in pre-tax charges in the fourth quarter of 2024 alone. These losses reflect the broader struggles of fixed-price contracts that Boeing aggressively pursued in prior years, leaving little room for unexpected expenses. Despite these challenges, Ortberg emphasized that progress is being made, thanks in part to Musk’s contributions. The collaboration highlights a rare instance of cooperation between Boeing and SpaceX, which have historically competed in the space sector, notably over NASA contracts. For Boeing, Musk’s involvement could be a lifeline to restore confidence in a program that has become a symbol of the company’s recent struggles, including a $11.8 billion annual loss in 2024—its worst since 2020. The stakes are high, not just for Boeing’s reputation but also for national pride and security. The new Air Force One jets are more than just aircraft; they represent American engineering prowess and the ability to protect and transport the president efficiently. With Musk’s assistance, Boeing aims to accelerate production and deliver the planes sooner, aligning with Trump’s push for a tangible win early in his term. Whether this partnership will succeed in overcoming the entrenched challenges remains uncertain, but it signals a bold, unconventional approach to a project that has tested Boeing’s capabilities for nearly a decade.