A massive fireball lit up the Florida coast this week after Jeff Bezos’ space company, Blue Origin, suffered a dramatic failure during a critical rocket test—raising big questions about what happens next in the billionaire space race.

Jeff Bezos’s space company now says it expects its New Glenn rocket to return to flight within six months, just days after a fiery setback.

Company ‌and industry sources said over the weekend that the explosion had left the launch pad "practically destroyed" and in need of repairs that engineers expect will disrupt operations for at least...