SpaceX has secured a $2.29 billion contract from the U.S. Space Force entailing the construction of a high-speed satellite communications network, the Space Data Network (SDN) Backbone.
The SDN Backbone is a resilient network architecture built to deliver high-capacity, low-latency data transport for the military, with the vendor expected to provide a fully operational prototype by the end of 2027.
The SDN will play a key role in enabling near real-time data transfer between missile warning and tracking sensors and interceptors, forming a critical part of the Trump administration’s Golden Dome missile defense initiative.
“The SDN Backbone leverages the best of commercial innovation and delivers a strong foundation for the SDN mission set — a huge benefit and enabler for our warfighters,” said Space Force Colonel Ryan Frazier, the acting portfolio acquisition executive overseeing the program.
The SDN Backbone will integrate with the Space Development Agency’s Transport Layer to support secure data transport for current and future Department of Defense missions, while the Space Force plans to select more contractors for satellites and network components later this summer.
SpaceX Strengthens Defense Role
This contract comes on the heels of SpaceX’s recent successes with NASA, where it has emerged as the only NASA-certified crew transportation method after Boeing‘s (NYSE:BA) Starliner faced several setbacks. SpaceX’s reliability in such high-stakes missions has undoubtedly played a role in securing this contract.
Reports on Tuesday suggested that SpaceX pushed the Pentagon for higher payments for its Starlink service during the Iran war, creating tensions with U.S. officials. According to Reuters, SpaceX argued the military was paying about $5,000 per terminal for a service it valued closer to $25,000, with Starlink playing a critical role in guiding U.S. drones.
However, the Pentagon denied the report, and Elon Musk confirmed it.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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