SpaceX put the value of its multiyear Starshield contracts for the U.S. government at more than $6 billion, with two Space Force awards focused on satellite communications and airborne tracking.
In second-quarter results released Aug. 4, the company said the two major contracts account for most of its Starshield work. Both concern satellite constellations in low Earth orbit, relatively close to the planet, with one project centered on communications and the other on sensing. Space Systems Command (SSC) announced a $2.29 billion award to SpaceX on May 26 for the Space Data Network (SDN) Backbone.
The satellites will connect through optical links to carry military communications. On May 29, SSC announced a separate $4.16 billion award for the Space-Based Airborne Moving Target Indicator (SB-AMTI) program. Its task is to identify and track moving targets in the air using satellites.
Starshield is designed for government missions and supports Earth observation and secure communications. SpaceX says customers can also place specialized mission equipment aboard its satellites, a setup known as a hosted payload. The service draws on technology used in Starlink, while adding dedicated terminals and cryptographic safeguards for classified work. Starlink serves consumers and businesses as a satellite internet service, and also has civilian and defense uses. The services share technical roots but have different customer roles: broad internet access for Starlink and specialized government missions for Starshield.
SpaceX is the awardee on both contracts. SSC says its procurement approach is designed to encourage competition and broaden the industrial base. The command expects multiple additional awards under SB-AMTI in the coming year, though it has not given a date. The SDN program is expected to demonstrate a fully operational prototype by the end of 2027. The initial SB-AMTI award is projected to lead to a satellite constellation in 2028.
