SpaceX Achieves Orbital Bullseye With Inaugural Flight of Falcon 9 Rocket, SpaceX
"The NASA COTS program has demonstrated the power of what can be accomplished when you combine private sector responsiveness and ingenuity with the guidance, support and insight of the US government. For less than the cost of the Ares I mobile service tower, SpaceX has developed all the flight hardware for the Falcon 9 orbital rocket, Dragon spacecraft, as well as three launch sites. SpaceX has been profitable for three consecutive years (2007 through 2009) and expects to remain modestly profitable for the foreseeable future. The company has over 1000 employees in California, Texas and Florida, and has been approximately doubling in size every two years. A majority of the future growth is expected to occur in Texas and Florida."




This is a good example of someone taking a look at all of the costs of a program. Space X knew they had to build everything and so made some compromises on the vehicle to make ground ops easier like being able to process horizontally. Sure it might make the vehicle a little heavier but it lowers overall system cost by eliminating a mobile launcher or retractable assembly building. Another thing is being able to bring it out to the pad and launched quickly and returning it to the hanger quickly. This eliminates long pad stay which makes things much more complex because they have withstand hurricane force winds. Also liquid engine exhaust is much nicer to the ground hardware by not making acidic exhaust which forces exotic materials to resist.