$13.5 Billion Gamble: Pentagon Chooses SpaceX, ULA, and Blue Origin for Space Superiority

The U.S. is intensifying its military space launch capabilities, and for the first time, this process involves three key participants.

The U.S. Department of Defense has realigned the competitive environment for national security launches by awarding a combined sum of $13.5 billion in contracts to SpaceX, United Launch Alliance (ULA), and Blue Origin.

This represents a significant step as three firms will collaborate to launch crucial military and intelligence missions.

The agreements, unveiled on April 4, fall under the National Security Space Launch (NSSL) Phase 3 Lane 2 acquisition process, which encompasses the toughest class of operations necessitating unparalleled dependability and mission security.

The accord encompasses 54 planned launches set to occur between the fiscal years 2025 and 2029, however, the anticipated lift-offs are projected to start from 2027 extending until 2032. This accounts for the usual two-year period required for integration.

These assignments bolster essential functionalities like secure communication networks and missile alert mechanisms, serving as the foundation for national security in outer space.

For the initial time, SpaceX takes the lead with Blue Origin joining in.

SpaceX heads the team with an expected 28 missions and a contract value of $5.92 billion.

ULA continues with 19 missions totaling $5.37 billion, whereas Blue Origin makes its debut in the national security launch sector, anticipated to carry out seven missions and secure $2.39 billion.

Blue Origin's tasks start in the second year of the contract duration, provided that its New Glenn rocket gains certification.

“Both our economic well-being and national security rely on a strong and adaptable system for launching spacecraft,” stated General Chance Saltzman, the U.S. Space Force Chief of Space Operations. official press release .

“The National Security Space Launch is not merely a program; it is a strategic imperative providing essential space assets that our military personnel rely on to engage and triumph in combat operations.”

Dual-lane strategy expands access

In Phase 3, the acquisition strategy adopts a two-track method: Track 1 is designed for low-risk, commercially similar missions, whereas Track 2 caters to intricate, highly secure national defense launches.

Out of the expected 84 missions in Phase 3, approximately 54 belong to Lane 2, which represents the most crucial and high-risk launch activities.

"America tops the globe in space launches, and with these NSSL Phase 3 Lane 2 contracts, we aim to secure ongoing access to this crucial realm," stated Maj. Gen.

Stephen Purdy, the Interim Assistant Secretary of the Air Force For Space Acquisition and Integration.

These accolades enhance our capability to deploy essential defense satellites, fortify our manufacturing capabilities, and improve operational preparedness.

Yearly mission assignments will commence this year.

Tasks will be assigned yearly from the fiscal year 2025 to 2029, with each year's allocations announced every October.

The Space Systems Command, working alongside the National Reconnaissance Office, will manage the mission assignment board and integration process.

"Today's recognition marks almost three years of collaboration between the government and industry aimed at boosting launch resilience and capability," stated Brig. Gen. Kristin Panzenhagen.

The outcome ensures reliable access to space for our national security operations, thereby enhancing the military’s preparedness.