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The organized labor movement has a new ally: venture capitalists

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The organized labor movement has a new ally: venture capitalists

The workers at PEN America made the announcement in June: They have been forming a union.

Like their fellow employees at Starbucks shops and Amazon warehouses across the nation, the staff of PEN, a literary and human rights nonprofit, determined to type an impartial union, unaffiliated with any of the handfuls of main labor unions throughout the nation. However on this case, there was a twist.

“We’re so grateful to have been supported by @UnitUnionizing all through this drive,” the union drive leaders tweeted. “We’ve realized a lot from their organizers, authorized advisers, and comms consultants!”

A startup backed by Silicon Valley enterprise capitalists, Unit of Work is an unlikely candidate for the function of labor-movement champion. Its exterior buyers have made fortunes backing applied sciences equivalent to synthetic intelligence, cryptocurrencies and video video games. One is amongst California’s foremost critics of public-sector labor unions.

However these folks used to multi-billion-dollar exits see a giant alternative within the atomized, restive situation of America’s workforce and the potential for reworking it by way of a brand new period of unionization. “We solely spend money on areas the place we expect we will get a return,” mentioned Roy Bahat, head of Bloomberg Beta, the enterprise arm of billionaire Mike Bloomberg’s media empire.

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Unit’s enterprise mannequin works like this: The startup’s organizers present free consulting to teams of employees organizing unions inside their very own workplaces — serving to them construct assist to win elections, advising them on technique in contract-bargaining periods, guiding them by way of paperwork filings and round authorized obstacles. As soon as a contract is in place, members of the brand new union can resolve to pay Unit a month-to-month price — just like conventional union dues — to maintain offering assist.

Jamie Earl White, Unit’s founder, bought his first style of labor organizing as a grad pupil at MIT, serving to arrange a solidarity marketing campaign with campus janitors pushing for higher pay and dealing situations.

After MIT, he co-founded and ran a medical system startup referred to as Widespread Sensing. After stepping down as president in 2018, he thought of his subsequent transfer.

“There have been a pair areas I used to be keen on, like training and direct-to-consumer healthcare, the place I assumed we might subvert the perverse incentives of the healthcare business,” White mentioned. “However what I saved coming again to was bringing my tech and organizational expertise to the labor motion.”

Unit of Work founder Jamie Earl White

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(Jacob Benton)

The motion might use the assistance. Solely 10.3% of U.S. employees (almost 16% in California) are in a union, down from a peak of almost 35% in 1954. Within the non-public sector, solely 6.1% of U.S. employees are union members.

But 68% of People say they approve of labor unions, in keeping with a 2021 Gallup ballot. White believes that hole — together with the current wave of unionization at Starbucks and different employers — displays a scenario the place demand for the form of office protections unions provide outstrips the provision of unions keen to assist employees arrange. Unit’s aim over the subsequent decade is to revive private-sector union density to eight.1%, a fee final seen in 2003.

Among the largest labor unions, such because the Service Staff Worldwide Union and the Communications Staff of America (the mum or dad union of the Newsguild, which represents employees on the Los Angeles Instances), have pushed for brand new organizing. However a current evaluation revealed within the leftist journal Jacobin discovered that organized labor as a complete is sitting on its belongings defensively fairly than spending on organizing drives to develop its footprint.

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White believed he might assist push the pendulum again by concentrating on employees who would possibly in any other case not obtain organizing assets from a significant union and constructing higher instruments for organizers, who usually depend on a hodgepodge of tech platforms and software program to run their campaigns.

He contemplated going the standard path and beginning a nonprofit to assist employees arrange. However after speaking to folks at labor nonprofits, he concluded that “if the thought was to in a short time be capable to spin up and meet quite a lot of employee curiosity — together with software program, which is notoriously costly to construct — having the ability to increase cash rapidly was necessary.”

So he turned to tech buyers.

Bahat led Unit’s $1.4-million pre-seed spherical. A uncommon outspoken supporter of the labor motion amongst enterprise capitalists, Bahat has concluded that it’s one of the best path towards restoring financial justice within the U.S. financial system.

“Work has failed hundreds of thousands and hundreds of thousands of individuals within the U.S., who’ve tried to work exhausting and been unable to offer an honest life for themselves and their households,” Bahat mentioned, and “organizing is among the ways in which employees can demand extra.” He lately attended the Labor Notes convention in Chicago, a gathering of the left wing of the U.S. labor motion, and is convening an Aspen Institute roundtable on organized labor.

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He sees Unit as a sound funding, likening its enterprise mannequin to the recurring revenues of software-as-a-service corporations equivalent to Salesforce. “From my perspective as a businessperson, each time a neighborhood has a need that’s going unfilled, there’s a chance for corporations,” Bahat mentioned.

One concern Bahat had was liquidity: Who would purchase a union-organizing startup, giving a payday to buyers like him? What would it not imply to go public?

White’s resolution is to plan an “exit to neighborhood.” As soon as the corporate begins incomes revenue, it plans to purchase out its buyers and provides their fairness to the unions it helped arrange, successfully transitioning company management to the shopper base. “Monetary buyers essentially shouldn’t be a part of the long-term financial system” of Unit, White mentioned, however they have been the shortest path to startup financing.

The strategy has attracted some unusual bedfellows. The second funding agency within the spherical, Draper Associates, is led by Tim Draper, a third-generation enterprise capitalist, Bitcoin evangelist and outspoken critic of organized labor. Draper has publicly laid California’s ills on the ft of unions, and public-sector unions specifically. In 2021, writing that “union bosses have taken California faculties from the highest to the underside, they’ve made it in order that there are fewer jobs, extra homeless, and persons are fleeing the state to work,” he launched a poll initiative to ban public-sector unions within the state.

Tim Draper, at a web summit, smiles broadly

Tim Draper, founding father of Draper Associates, which invested in Unit of Work

(Cody Glenn / Getty Photographs)

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Draper pulled the plug on the poll measure in January however hasn’t had a change of coronary heart. “Unit of [W]ork is making unions decentralized,” Draper wrote in an electronic mail explaining his funding. “That will probably be superior. Centralized unions are likely to restrain commerce, and authorities unions create bloated forms and poor authorities service on the entire. Authorities unions are the antithesis of a free nation. The US is meant to be run by the folks. California is run by union bosses.“

White famous that none of Unit’s buyers has a board seat, they usually management solely roughly one-fifth of the corporate’s shares. “Roy is keen about labor, Tim is keen about quite a lot of issues, together with decentralized know-how,” however finally each are pursuing a return on funding and will probably be phased out of the corporate’s construction in the identical manner, White mentioned.

Regardless of Draper’s enthusiasm for impartial unions, versus nationally affiliated labor organizations, Unit’s leaders and its web site clarify that they assist their shoppers in the event that they resolve to affiliate with a bigger union.

“We assist folks get began, they usually might find yourself affiliating” as soon as they’re organized, mentioned Megan McRobert, Unit’s director of organizing and a profession labor organizer with stints at SEIU and the Writers Guild of America, East, on her résumé.

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“It’s actually all about getting extra unions,” McRobert mentioned. “Individuals are able to go. I’ve by no means seen this a lot labor organizing and demand for assets. We wish to make the instruments extra broadly accessible, as a result of nobody’s taught find out how to type a union.”

McRobert mentioned she herself was skeptical in regards to the enterprise financing mannequin however has been reassured by the dearth of investor stress on Unit’s work.

PEN America voluntarily acknowledged its employees’ union the day after it was introduced, making it Unit’s second organized office, after employees at Piedmont Well being Companies, a neighborhood well being clinic chain in North Carolina, gained their union election in March with Unit’s help.

Unit mentioned that it’s actively serving to different employees arrange, however these campaigns usually are not able to go public.

Unit continues to be growing its tech instruments for organizers however does have a sign-up system the place employees can ask for assist organizing their office and an ever-expanding organizing information on its web site. Whatever the tech assist, the employees at PEN America are nonetheless going by way of the method that any new union should face: bargaining their first contract.

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Granderson: Here's one way to bring college costs back in line with reality

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Granderson: Here's one way to bring college costs back in line with reality

It took me by surprise when my son initially floated the idea of not going to college. His mother and I attended undergrad together. He was an infant on campus when I was in grad school. She went on to earn a PhD.

“What do you mean by ‘not go to college’?” I pretended to ask.

My tone said: “You’re going.” (He did.)

Opinion Columnist

LZ Granderson

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LZ Granderson writes about culture, politics, sports and navigating life in America.

The children of first-generation college graduates are not supposed to go backpacking across (insert destination here). They’re supposed to continue the climb — especially given that higher education was unattainable for so many for so long. The thought of not sending my son to college felt like regression for our family. In retrospect, our conversation said more about the future.

A 2023 study of nearly 6,000 human resources professionals and leaders in corporate America found only 22% required applicants to have a college degree.

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The labor shortage is one aspect of the conversation. The shift in academia’s place in society is more significant.

I’m sure that sounds like a good thing for young people joining the workforce. As an educator, my concern is what happens to a society if only the wealthy pursued higher education. Oh, that’s right: We did that already, back before there was a middle class … and paid vacations.

Though it must be said the lowering of hiring requirements isn’t the only threat to the college experience.

Academia has publicly mishandled the campus tensions and student protests that began after the Hamas attack against Israel on Oct. 7, and that certainly hasn’t been good for academia either. Neither has canceling commencement speakers … or commencement itself. Add in the rising costs — up nearly 400% in 30 years compared with 1990 rates — and, well, the college bubble hasn’t quite burst, but it’s hemorrhaging.

Forgiving student loan debt — whether you agree with the idea or not — addresses the past.

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The future of colleges depends on the future of labor. If employers are making it easier to enter corporate America without a degree, then universities must adjust how much cash they try to extract from students and their families, because the return on investment will be falling.

College enrollment has already been declining for a decade, and it’s not because Americans have become less ambitious or less willing to invest in their children’s futures. It’s because of eroding confidence that a degree guarantees a higher quality of life.

Imagine that your high school senior is interested in going to college and wants to major in education or communication or the arts. The sticker price for tuition, even at a state school, is going to look pretty steep. If your child were headed toward a degree in engineering or business, that same tuition might feel like a better bet.

There’s no reason tuition rates couldn’t vary to reflect this reality. Colleges and universities should set tuition rates for classes based on the earning potential of the discipline studied.

If our groceries stores can figure out a way to charge us more for organic produce, then surely this great nation can devise a system to set college costs that accounts for future earnings.

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For example, according to the National Education Assn., the starting salary for a teacher in California is about $55,000, the fourth highest in the nation. For California residents, the cost to attend UCLA comes to almost $35,000 a year, without financial aid. That math just doesn’t work.

It’s easy to see why 20% of the nation’s teachers work a second job during the school year to make ends meet. Between 2020 and 2022, the nation lost about 300,000 educators, and we’re facing a teacher shortage. To address the issue, a number of states have loosened the teacher certification rules to make it easier to get more bodies in the classroom, which sounds … less than ideal.

Instead, why not lower the cost of credit hours for college students pursuing a degree in education? Wouldn’t parents feel more comfortable knowing the people in the classroom set out to teach and earned the credentials?

If colleges don’t find ways like this to lower costs for at least some students, higher education will become a relic. Just as cable cutting reshaped the economics of the TV industry, the trend of corporate America moving away from degree requirements is going to put pressure on universities to make some big changes.

There have already been tectonic shifts in a short period of time. Because of the COVID-19 pandemic, colleges lost international students, who once propped up many institutions by paying higher rates than Americans.

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Attendance by Americans is forecast to plummet starting next year. Because of low birth rates and low rates of immigration, the U.S. has fewer young people in the classes graduating from high school after 2025.

And perhaps most importantly, our confidence in college is slipping. In 2015, when my son graduated from high school, Gallup found nearly 60% of Americans had a “great deal” or “quite a lot” of confidence in our higher education system. It was under 50% in 2018. It was under 40% last year.

No telling what that number is today.

Which is sad because there is still so much to value — beyond career choices — to a liberal arts education. Given how we live, college is one of the few places we have left in America where young people from different walks of life can meet. That’s important to the health of a nation as diverse — and segregated — as we are.

Colleges will naturally shrink because of demographics, and they can use this time to adjust their business models as well and charge fairer prices. We need young people to be able to replenish all career fields, and that includes art and music and education. It’s time to rethink the economic approach so they aren’t saddled with debt that those careers can’t repay.

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@LZGranderson

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Washed Out's new music video was created with AI. Is it a watershed moment for Sora?

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Washed Out's new music video was created with AI. Is it a watershed moment for Sora?

“The Hardest Part,” a new song from indie pop artist Washed Out, is all about love lost, among the most human of themes.

But ironically, to illustrate the tune’s sense of longing, the musician turned to something far less flesh-and-blood: artificial intelligence.

With Thursday’s release of “The Hardest Part,” Macon, Ga.-based Washed Out, whose real name is Ernest Greene, has the first collaboration between a major music artist and filmmaker on a music video using OpenAI’s Sora text-to-video technology, according to the singer-songwriter’s record label Sub Pop.

The roughly four-minute video, directed by Paul Trillo, speedily zooms the viewer through key elements of a couple’s life. The audience sees the characters — a red-haired woman and a dark-haired man — go from making out and smoking in a 1980s high school to getting married and having a child. “Don’t you cry, it’s all right now,” Greene croons. “The hardest part is that you can’t go back.”

The couple aren’t played by real actors. They’re created entirely digitally through Sora’s AI.

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The video could mark the beginning of a potentially groundbreaking trend of using AI in video production.

“I think where we are now — that’s about to explode, and so I look forward to being able to incorporate some of this brand-new technology and seeing how that informs what I can come up with,” Greene said in an interview. “So, if that’s pioneering, I would love to be part of that.”

“The Hardest Part” — the lead single from Greene’s new self-produced album, “Notes From a Quiet Life,” set for release on June 28 — is the longest music video made through Sora technology so far. The program creates short clips based on written text prompts. This enabled Trillo to build scenes in a way that would’ve been many times more expensive with actual actors, sets and locations.

“Not having the limitations of budget and having to travel to different locations, I was able to explore all these different, alternate outcomes of this couple’s life,” Trillo said.

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Trillo is one of the creatives who has early access to Sora, which is not yet publicly available. OpenAI unveiled Sora in February and has been testing the system with directors and meeting with Hollywood executives and producers. It’s working out kinks and trying to address intellectual property concerns.

The innovations in AI have been hugely controversial in many corners, including in the music industry, which has been plagued by the use of “deepfakes,” or video and audio that falsely uses an artist’s image or voice. Musicians and others have pushed for legislation to combat such misleading creations, and talent agencies are working with tech startups to clamp down on unauthorized digital mimicry.

The introduction of Sora — coming from the same company that created the text-based AI model ChatGPT — raised concerns within Hollywood and elsewhere about its potentially devastating impact on jobs and production. Still, it inspired excitement among some creatives for the ways it could help them achieve their vision onscreen without being constrained by special effects budgets and travel limitations.

Both Greene and Trillo said they were able to do more with Sora than they would have with real-life sets on their budget. Sub Pop did not disclose the costs for the video. The music artist did not pay OpenAI to use the tech for the music video.

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The two men had explored other ideas, including hiring dancers, and filming in a location that resembled the green hills in the art for Greene’s new album, but that proved difficult because of time and financial constraints. So Trillo suggested experimenting with Sora.

Greene, whose music TV audiences may recognize from the theme song of the satirical sketch comedy show “Portlandia,” was hesitant at first.

“I feel like with my music and most of the videos I’ve made over the years, it always starts from like a real emotional, sincere place,” Greene said, noting that many of the examples of AI video he’d seen existed in the dreaded “uncanny valley,” human-like but eerily artificial.

Nonetheless, Greene was willing to experiment. So Trillo tried out different concepts to see what would work in the video. Using the technology, he could explore all the various outcomes of the couple’s life across multiple locations by creating elaborate text-based prompts. He completed the video in about six weeks, editing together about 55 clips in the video from the roughly 700 that he generated using Sora.

“With this, there was no editing myself,” Trillo said. “I was really able to just try things and so that organically creates a different kind of story because of that, being able to throw so much at the wall and see what sticks.”

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To generate usable clips, Greene needed to write prompts with enough specific details about not just the image itself but the shot angles and movements of the characters. “We zoom through the bubble it pops and we zoom through the bubblegum and enter an open football field,” Trillo wrote as part of his prompt for one brief snippet of video. “The scene is moving rapidly, showing a front perspective, showing the students getting bigger and faster.”

The final music video for “The Hardest Part” shows several locations, including a high school, a grocery store, rolling hills, a hallway with billowing white sheets and fire burning through the walls.

Ernest Greene, known as music artist "Washed Out," will have a new album, "Notes From a Quiet Life," released on June 28.

Ernest Greene, known as music artist “Washed Out,” will have a new album coming out at June 28.

(Ernest Greene)

There were some limitations. Sometimes Trillo would have an idea and Sora would nail it. Other times, it would create something chaotic and unusable. The videos would come out with inconsistencies, which Trillo would sometimes choose to just overlook. The characters look a little different from clip to clip, as does the couple’s child.

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Part of the video’s artsy charm is its dreamlike state — recollections of a couple’s life that illustrate the murkiness of human memory.

“You have to know where to pick your battles with it,” Trillo said of Sora. “You kind of have to relinquish a bit of your free will in working with this thing and you kind of have to accept the nature of how chaotic it is.”

“I was certainly blown away with just how far he could take it in piecing a story together,” Greene said.

Both Greene and Trillo said they see AI as potentially opening more opportunities for people to push the music video art form forward. Music videos are a logical medium in which to play around with AI, because they’re usually short and cost much less to make than feature films and television episodes.

However, Trillo said, it’s important to him that this is not used as a new main method for creation but rather another tool in the tool belt.

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“A lot of music videos just don’t have the budgets to really dream big,” Trillo said. “I think AI can help the music industry in terms of creating things that even Ernest could dream of that maybe he wouldn’t have dared to dream before.”

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Boeing faces critical launch Monday ferrying astronauts to the International Space Station

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Boeing faces critical launch Monday ferrying astronauts to the International Space Station

Ferrying astronauts to the International Space Station has almost become routine — but not for Boeing and not on Monday, when after years of delay it’s finally set to launch two crew members to the orbiting platform on a critical test flight.

The Arlington, Va.-based aerospace giant was awarded a $4.2-billion contract in 2014 to build and operate a spacecraft to service the station, while El Segundo rival Space X received $2.6 billion to do the same.

Both were given out under NASA’s Commercial Crew Program, established to have American companies taxi astronauts to the station.

The stakes are particulary high for Boeing. Since 2020, SpaceX completed its crewed test flight and has ferried eight operations crews to the base — while Boeing has managed only two unmanned flights, including one that docked remotely in May of last year.

Boeing has long-standing and historic ties to the aerospace industry in Southern California — the Apollo command and service modules were built at North American Aviation’s plant in Downey. Its current operations include a satellite facility in El Segundo.

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Boeing’s new Starliner capsule was scheduled to launch with a crew last summer, but a problem was discovered with its parachute system and the use of flammable tape in the craft, a mile of which was removed. It was just the most recent of several delays.

Starliner, with crew members strapped in, is set to blast off at 7:34 p.m. Pacific time at Cape Canaveral Space Force Station in Florida. If the weather doesn’t cooperate or other minor issues arise, it could fly the next day or later in the week.

After the delays and a reported $1.5 billion in cost overruns the company had to absorb, analysts say it’s critical that the mission goes well. That’s especially true, given Boeing’s already battered reputation, after two crashes of its 737 Max 8 jets and a door plug that blew out of a 737 Max 9 flight this year on its way to Ontario International Airport in San Bernardino County.

“It’s very important for [Boeing’s] desire to be relevant to NASA, relevant to manned space flight and for confidence internally to turn around and execute a program that’s had problems,” said Ken Herbert, a Boeing analyst at RBC Capital Markets. “This could be a big win for Boeing, if they can successfully pull this off, just in light of all the bad news they get from every other part of the business.”

The capsule is designed to be reused 10 times, similar to SpaceX’s Dragon Capsule that services the station. It will be launched from an Atlas V rocket, a reliable workhorse built by the United Launch Alliance, a joint venture of Boeing and Lockheed Martin. Starliner should take about 26 hours to reach the station, which orbits at roughly 17,500 mph.

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The flight plan calls for NASA astronauts Barry Wilmore and Sunita Williams to spend a minimum of eight days testing the docked Starliner capsule, before returning to Earth as soon as May 15. Unlike SpaceX’s capsule, which splashes down on water, Starliner will deploy giant air bags and touch down on land in one of four possible locations in the Southwest — a system the Russian space program has used since its inception. Edwards Air Force Base in Kern County is a contingency landing zone.

Assuming the flight is a success, Boeing would be cleared to fly Starliner on regular flights carrying cargo and astronauts, where it would stay docked for six months and provide NASA with a second, redundant American craft to reach the station, a longtime goal. The 15-feet-in-diameter capsule, shaped like a Hershey’s Kiss, can carry up to seven astronauts without cargo or fewer with it.

NASA Administrator Bill Nelson expressed confidence in the flight despite problems Boeing has experienced with its commercial aircraft.

“Understand that anytime you fly in space, it’s risky business, but we don’t fly, until we — NASA — are satisfied that it is as safe as possible,” he told The Times.

A Boeing spokesperson declined to respond to requests for comment.

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Mark Nappi, the manager of Boeing’s Commercial Crew Program, said at a news conference Friday, “I have never felt readier on any mission that I have ever participated in. … We are where we are supposed to be at this point.”

NASA contracted with SpaceX and Boeing after being forced to rely solely on the Russian space program to resupply and send crews to the station after the space shuttle program ended in 2011.

A longer-term issue for Boeing is that it has taken so long to certify Starliner that it might only service the station for its contracted six missions before the lab is sent back to Earth in 2031 in a controlled descent, where it will burn up in the atmosphere. Initially assembled in 1988, it is now the size of a football field and some pieces are expected to land in the far reaches of the ocean.

NASA wants to focus its resources on planned missions to the moon and deep space through its Artemis program, and the Russians aren’t interested either, said aerospace analyst Marco Caceres of Teal Group.

“The Russians have certainly expressed their desire not to continue their presence for no more than another 10 years,” he said.

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While the station includes modules from multiple countries, NASA and the Russian program were its primary constructors, including a core power module the Russians sent up on the very first launch.

There have been nearly 4,000 scientific studies conducted on the station and now NASA is funding and supporting the development of commercial space stations where it can lease space to conduct science as needed. That includes Orbital Reef, a planned station by Jeff Bezos’ Blue Origin aerospace company.

NASA expects that Boeing and SpaceX will service those stations, and Boeing has said it has plans to launch Starliner to ferry astronauts to the station, which is still in its early development stages. Nappi said Friday that the company will “have time to make those decisions.”

Even if the Starliner flight goes flawlessly, NASA will continue to send astronauts to the space station on Russia’s Soyuz craft, given the country’s key role in building and continuing to operate the station.

Nelson said that aside from Russia’s operational role, it is important for the two space programs to maintain good relations despite tensions over the war in Ukraine, noting that each country has personnel embedded in the other’s mission control operations. He recalled how that relationship began when an Apollo capsule docked with a Russian Soyuz craft in a historic test project started amid the Cold War.

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“This cooperation in space has been going in genuine success ever since Gen. Tom Stafford and Gen. Alexei Leonov came across that threshold docked in space in 1975,” he said. “There has been no evidence we have any problem. It is steady as you go.”

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