Chinese private rocket firm LandSpace is driving a cultural shift in China’s space industry, long dominated by cautious, state-owned conglomerates. With its startup mentality and inspiration from SpaceX, LandSpace is challenging traditional approaches and reshaping the sector.

China’s state-led space program has historically avoided failure at all costs, in contrast to SpaceX and other Western firms that regularly share setbacks as part of their innovation process.

This month, however, state media widely reported China’s first two failed attempts at recovering a reusable rocket. The second failure came from a state-owned company, just three weeks after LandSpace’s maiden launch of its reusable Zhuque-3 rocket.

Zhuque-3’s debut in early December ended in failure when the booster could not activate its landing burn three kilometers from the ground, causing it to crash instead of performing a controlled landing. By comparison, SpaceX achieved its first successful Falcon booster landing in 2015 after two prior failed attempts.

In an interview with CCTV after the inaugural flight, Zhuque-3 chief designer Dai Zheng said that his 2016 decision to leave the China Academy of Launch Vehicle Technology—the country’s main state-owned rocket developer—to join LandSpace was influenced by the company’s reusability-focused vision inspired by SpaceX.

“(SpaceX) can push products to the edge and even into failure, quickly identifying limits and iterating,” Dai told CCTV.

“I believe our country has recognized this, allowing capital markets to support companies in areas like commercial spaceflight,” he added.

Since its founding in 2015, LandSpace has openly acknowledged SpaceX as a key inspiration. The company was one of the first private startups to enter China’s space sector after parts of the industry were opened to private investment in 2014.

China has also acknowledged the strategic importance of reusable rockets. SpaceX has already deployed thousands of Starlink satellites, creating low-Earth orbit constellations that will take decades for Beijing to match.

LandSpace, with its focus on delivering a low-cost launch option similar to SpaceX’s Falcon 9, is expected to play a pivotal role in China’s long-term plans to build ten-thousand-satellite constellations in the coming decades.

-Production: Nicoco Chan/Reuters