Last year, NASA announced it would begin accepting bids to build a new space station. The International Space Station (ISS) has a history of more than 20 years. As far as high-tech facilities are concerned, it is already an "old antique". NASA plans to put a new platform into service, then decommission the International Space Station and deorbit it into the ocean by 2030.

Four contractors participated in the bid for NASA's $500 million grant, namely Northrop Grumman, Blue Origin, Nanoracks and AxiomSpace. According to ArsTechnica sources, Northrop Grumman has withdrawn its bid, and Blue Origin's position is also shaky. The news leaked during this week's International Astronautical Congress.

Northrop Grumman plans to build a free-flying space station based on the design of its Cygnus spacecraft, which looks like a tin can with two parasols on top (pictured below). Industry insiders say Northrop Grumman has abandoned the idea and instead partnered with VoyagerSpace and Airbus to build a commercial space station. Northrop may provide cargo transportation services for Cygnus.

Blue Origin's plans are less firm. It had planned to build a low-Earth orbit station called the "Orbital Reef." While the company hasn't completely scrapped its plans, multiple sources say its founder Jeff Bezos is more interested in developing a lunar lander and building the infrastructure for a lunar base.

In addition, Blue Origin's plan to cooperate with SierraSpace to build an "orbital reef" is also shaky. Last week, CNBC noted that Blue Origin and Sierra were in talks to end their partnership. Nothing is inevitable and the situation remains "ongoing and fluid". However, insiders say both companies have reconsidered their priorities, with Bezos wanting to focus on the Blue Moon lander and Serra looking to build the Dream Chaser space plane.

Although most of the ISS will burn up when it enters the atmosphere, it's so big that it will still cause quite a stir when NASA controls it to drop it into the Pacific near Point Nemo in 2030.

Several failed bids did not kill NASA's plans. Instead, the space agency is riding the wave; it still has two solid proposals that don't appear to be going anywhere. Developing and building space stations is an integral part of Axiom and Nanorack's business plans, so they are likely to be involved for the long term.

Other startups are willing to fill Northrop and Blue Origin's shoes. A company called VastSpace says it has sufficient funding to build an orbital station by 2025, complete with the first of several habitation modules. Additionally, SpaceX has expressed interest in using its Starship design as a space station capable of performing customized missions.