SpaceX Obtains $733 Million in Military Launch Agreements, Outpacing ULA

SpaceX Obtains $733 Million in Military Launch Agreements, Outpacing ULA

SpaceX Obtains $733 Million in Military Launch Agreements, Outpacing ULA


# SpaceX Secures All Eight Launch Contracts in Recent US Space Force Competition

In a major success for SpaceX, the Space Systems Command of the US Space Force has declared that the private aerospace firm has attained all eight launch contracts in the inaugural round of missions under the new Phase 3 procurement of the National Security Space Launch (NSSL) program. These valuable contracts, amounting to $733.5 million, are integral to the US military’s efforts to obtain dependable and cost-efficient launch services for national security operations.

### Overview of the Contracts

The eight launches are divided into two fixed-price “task orders.” The first task order encompasses seven launches for the Space Development Agency (SDA), which is establishing a constellation of missile-detection and data relay satellites in low-Earth orbit (LEO). The second task order is for a solitary mission on behalf of the National Reconnaissance Office (NRO), the US government’s intelligence satellite agency. All launches will take place from Vandenberg Space Force Base in California, with the initial launch projected to occur as soon as late 2025.

### Phase 3 of the National Security Space Launch Program

The Space Force’s Phase 3 procurement is a multi-year project aimed at securing launch services for vital national security missions. This phase is categorized into two lanes: **Lane 1** and **Lane 2**. The task orders granted to SpaceX are situated within **Lane 1**, which is dedicated to less intensive launch profiles targeting low-Earth orbit. These missions often involve smaller payloads and are deemed lower-risk in comparison to Lane 2 missions, which entail more intricate payloads and higher altitudes.

Lt. Col. Douglas Downs, the materiel leader for space launch procurement at Space Systems Command, stated, “We are thrilled to kick off our groundbreaking NSSL Phase 3 Lane 1 initiative with two task orders that bolster crucial NRO and SDA missions. The industry rose to the occasion and succeeded in this competition.”

### The Contest: SpaceX vs. ULA

The bidding for these contracts was confined to two principal competitors: **SpaceX** and **United Launch Alliance (ULA)**. Both entities have a longstanding history of providing launch services to the US government; however, in this instance, SpaceX emerged victorious, obtaining all eight contracts. Each mission is estimated at around $91.7 million, elevating the aggregate contract value to $733.5 million.

While ULA’s newly developed **Vulcan** rocket was eligible for these contracts, SpaceX’s **Falcon 9** ultimately prevailed. The Falcon 9 has established itself as a reliable option for both commercial and government operations, recognized for its dependability and economical pricing. The Vulcan rocket, on the other hand, is still in the process of receiving certification for national security launches, having recently completed its second test flight.

### The Outlook for Lane 1 Missions

The Space Force intends to allocate at least 30 additional Lane 1 missions through 2029. These missions will principally support the Pentagon’s Space Development Agency, which is implementing an extensive network of small satellites intended to identify and track adversary missiles. The SDA’s satellite constellation will be vital for transmitting missile warning information to military units capable of countering these threats.

In June 2024, the Space Force broadened the roster of eligible launch providers for Lane 1 missions by incorporating **Blue Origin** into the selection. However, Blue Origin’s **New Glenn** rocket was excluded from the contracts announced in this phase, as it has not yet achieved its first successful orbital flight. Other companies, including **Rocket Lab**, **Firefly Aerospace**, **Relativity Space**, and **Stoke Space**, are also anticipated to participate in the competition as they advance their launch capabilities.

### Lane 2: The Upcoming Challenge

While Lane 1 concentrates on less strenuous missions, **Lane 2** will encompass more demanding military operations involving typically larger and more costly payloads aimed at elevated orbits. These missions will necessitate rockets that are certified for national security launches, a rigorous certification process involving extensive testing and multiple successful missions.

At present, SpaceX’s **Falcon 9** and **Falcon Heavy** hold certification for these high-stakes missions, and the Space Force is in the process of certifying ULA’s **Vulcan** rocket. Blue Origin’s **New Glenn** is also on track for certification, but it must first complete several successful test flights to qualify for Lane 2 contracts.

### Conclusion

SpaceX’s clean sweep of the initial eight launch contracts in the NSSL Phase 3 procurement highlights the company’s leadership in the space launch sector. Featuring a demonstrated history of reliability and cost-effectiveness, SpaceX remains the preferred provider for both commercial and government missions. Nonetheless, the competitive landscape is far from settled, as ULA, Blue Origin, and other rising contenders are vigorously working to advance and certify their rockets.