SpaceX to lay off 10 percent of employees

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In a statement, a company spokesman confirmed the layoff without specifying how many employees will be released.

The SpaceX headquarters is shown in Hawthorne, California, U.S. September 19, 2018. (REUTERS/Mike Blake/File Photo)

A company source said SpaceX remains financially strong and can continue to "manufacture and launch at a reliable cadence in the years ahead."

The cuts were cited in an email sent to employees.

"To continue delivering for our customers and to succeed in developing interplanetary spacecraft and a global space-based Internet, SpaceX must become a leaner company," said the statement of the company.

"This means we must part ways with some talented and hardworking members of our team... This action is taken only due to the extraordinarily difficult challenges ahead and would not otherwise be necessary," the company was quoted by media as saying.

SpaceX was launched in 502 by Elon Musk for space exploration. This year the company plans to test hop Starship, a prototype designed for human travel to Mars.

According to reports, SpaceX is providing a minimum of eight weeks' pay and other benefits to the fired workers.

LOS ANGELES, Jan. 13 (Xinhua) -- U.S. space technology firm SpaceX, led by Elon Musk, will lay off about 10 percent of its more than 6,000 employees, according to media reports.