SpaceX is set to clinch a $2 billion contract with the War Department to develop a satellite system designed to track missiles and aircraft, people familiar with the matter say.
The funding was tucked into the spending bill signed by President Donald Trump in July, though the Pentagon had not publicly announced a specific contractor until now.
Under the program, the satellites would form an “air-moving target indicator” network and the contract could support deployment of up to 600 satellites in low-Earth orbit, according to sources.
SpaceX is also expected to play a major role in two additional classified satellite systems: one for secure military communications, called MilNet, and another for ground vehicle tracking.
The anticipated move underscores SpaceX’s growing footprint in U.S. national-security space programs and the Pentagon’s willingness to lean on commercial space providers.
Insiders say SpaceX’s edge lies in its ability to manufacture and launch satellites rapidly, a key advantage as officials push for accelerated timelines in defense.
Although officials remain tight-lipped about the exact architecture of the missile-defense network — codenamed Golden Dome — they describe it as a complex, layered constellation capable of intercepting threats before they reach U.S. shores.
Newsmax reached out to the War Department for comment but did not receive an immediate response.
The anticipated award to SpaceX has sparked concern among some lawmakers about “vendor lock,” given the company’s dominance in satellite launches and its burgeoning role in military orbital systems.
Sen. Rick Scott, R-Fla., has warned that the Pentagon must ensure competition to avoid over-reliance on a single provider.
“I don’t want to end up where we pick one company and we go down a path,” he told The Wall Street Journal.
SpaceX's satellite business already supports the massive Starlink network of more than 10,000 satellites and other defense-oriented constellations, giving it a familiarity many traditional contractors lack.
Some defense officials say the company’s manufacturing and deployment pace make it uniquely qualified to meet urgent national-security needs.
The broader Golden Dome project is expected to cost hundreds of billions of dollars over time, even if the initial contract is roughly $2 billion.
Industry watchers say the contract award signals a major shift in how the Pentagon sources space-based defense capabilities — and may foreshadow further commercial-space partnerships.
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