The way it sounded to me is that ATK seems to want to take over the whole Ares1 project, beyond just the solid motor part they already do. I don't know if this would be good or bad, maybe allowing the government to put the $$ in a different category or pay later. Maybe ATK gets an opportunity to increase their profits. Maybe the corresponding lobbying effort would increase the chances that the project would get funded. A tangled web... I do remember being shocked at how much $$ ATK wanted to develop the 5-segment motor from the 4-segment. I don't know the ins&outs of the effort like you guys do, but it didn't seem to me that it should have cost the $2B or whatever they asked for that work.
I'm sure ATK would like both the Ares1 and AresV programs to be active so they can sell that many more solid motors. Is it exactly the same unit for both rockets?
------From FloridaToday---------
And there's one last twist that could result in Ares I, or a variation of it, being the vehicle that launches astronauts to low Earth orbit anyway. The committee called for open competition for the commercial astronaut taxi system, one that would allow bids from any company with a viable launcher. Might one of those bidders be ATK Launch Systems and its partners, transforming the substantial work they have done on Ares I into some form of commercial crew transport?
Maybe, said former NASA Chief Astronaut Charlie Precourt, who is now the vice president and general manager of ATK.
"There's still some development work to go, but I think our industry team is very favorably thinking that whatever method delivers the product is something we'd be willing to consider. So we're talking about that with NASA," Precourt said. "It's all about how you get to the end state for less cost and improved schedule, so we're brainstorming all kinds of things."