AsRutan'sreputationasanairplanedesignergrew,someofthelargeraviationmanufacturersapproachedRutanforhelpintestingtheirupcomingdesigns.Usingthecompositemanufacturingprocesshehadpioneered,Rutanwasabletobuildscalemodelsofnewaircraftverycosteffectively.Thesescalemodelscouldthenbetestedinwindtunnelsforcluesonhowthenewaircraftwouldactuallyperformoncebuilt.In1982,Rutanestablishedanewcompany,ScaledComposites,whichwouldprovidethesekindsofflightdevelopmentservicestothebroaderaviationindustry.
WiththeannouncementoftheX-Prize,Rutanthrewhimselfintodesigningatwo-partspaceship.Heenvisagedamothershipwhichwouldtakeofffromanormalrunwaywiththespaceshipslungbelowit.Themothershipwouldcarrythespaceshipto50,000feetorsoandthenthespaceshipcouldstartitsownrocketenginesfortherestofthejourneytospace.Onreentry,thespaceshipcouldthenglidebacktotheairportfromwhereithadstarteditsjourney.BurtRutanalsointegratedintohisspaceshipdesignanexceptionallynovelfeature.Thespaceshiphadapivottailboomwhichwouldcreateahigh-dragconfigurationsomethingliketheeffectoffeathersonabadmintonshuttle-cock.Thistailboomwouldslowthespaceshipquicklyonreentryandalsoautomaticallyorientthespaceshipbellydownwheretheheatgeneratedbyreenteringtheatmospherecouldbehandledbetter.Oncereentryhadbeencompleted,thetailboomcouldthenbelockedbackintoplaceallowingthespaceshiptobecomeaglider.
Rutanwasconfidenthisengineeringconceptwasthekeytobuildingaspaceshipwhichwouldbeaffordableatthesametimeasitwasstructurallysound.Whenstartingworkonthedesignofaspaceship,Rutanhadoriginallygonedownthepathofusingacapsuleratherthananairplanebecausetheconsequencesofreenteringtheatmosphereinanairplanewhichwasnotcorrectlypositionedweresocatastrophic.Nowthathehadawayofensuringthespaceshipwouldalwaysbecorrectlyorientedforreentry,hemovedforwardwithenthusiasm.
"Itdidn'ttakeRutanlongtoroughouttheoutlinesofhistwo-parthomebuiltspaceship.Thehingingtailboomsandthenumberofpeopleonboardsetthebasicshapeofthespaceship.Nowthattheshipwasaspaceplaneandnotjustacapsuleonthepointofaballisticmissile,oneofthosepeoplewouldbeatruepilot,notjustsomeonepunchingabuttonormovingajoystickattheappropriatetimes,andtheothertwowouldjustbepassengers,alongmerelyfortheride.Itwouldhavebeennicetoenableallthreeoftheastronautstohelppilottheship,butwiththisnewdesign,Rutanhadthebestofbothworlds,andtherewasnogoingback.Hehadthecontrolandprecisionofanairplanecoupledwiththecarefreereentryofacapsule.Allheneedednowwasafinancier.Andofcoursearocketengine."