Originally Posted by riff_raff
"From what I have seen there is not enough difference in the technology or design of the current SpaceX Falcon 9 booster and other existing boosters to justify the claims of massive reductions in launch costs. The current expendable Falcon 9 uses fairly conventional materials and design. The only major difference seems to be that SpaceX employs a more efficient manufacturing process....Can someone provide an explanation of why a launch on an expendable SpaceX Falcon 9 vehicle could be so much cheaper than other similar launchers?"
This is a good question, which many people have asked. There were initially lots of doubts that the cost reduction goals could be met. There are still doubts about whether the low prices are sustainable, and questions about how exactly SpaceX is achieving this. There are some general answers but SpaceX keeps many specific details confidential for competitive reasons.
Apparently the main answers are SpaceX launchers were designed from scratch with cost reduction as a primary goal, they do most things in house rather than subcontract, and their business organization is very lean. Here are some articles discussing it:
Air & Space: "Is SpaceX Changing the Rocket Equation?"
History, Travel, Arts, Science, People, Places | Air & Space Magazine
Motherboard: "How Elon Musk Willed SpaceX Into Making the Cheapest Rockets Ever Created"
How Elon Musk Willed SpaceX Into Making the Cheapest Rockets Ever Created | Motherboard