The U.S. Space Force has awarded SpaceX a $4.16 billion contract to develop a constellation of satellites designed to track airborne targets from orbit, marking a major step in the Pentagon’s effort to move battlefield surveillance capabilities from aircraft to space.
The contract, announced on May 29, is part of the Space-Based Air Moving Target Indicator (SB-AMTI) program, which aims to detect, track, and maintain custody of airborne threats, including fighter jets, bombers, cruise missiles, and potentially hypersonic weapons.
According to the Space Systems Command, the agreement was awarded through an Other Transaction Authority (OTA) arrangement and is intended to accelerate the deployment of a global space-based sensing network capable of monitoring airborne threats worldwide.
Building a Resilient Tracking Architecture
The initiative reflects a broader Pentagon strategy to transition military sensing functions traditionally performed by aircraft and ground-based systems into proliferated satellite constellations in low Earth orbit. Defense officials argue that space-based systems can provide broader coverage and greater survivability as adversaries continue to develop advanced anti-access and area-denial capabilities.
The Space Force has not disclosed how many satellites SpaceX will build under the contract. However, officials said the architecture will consist of a proliferated low Earth orbit constellation and is expected to deliver an initial operational capability by 2028.
“The long-standing method of military airborne platforms to track moving targets faces continued challenges as adversaries develop increasingly sophisticated anti-access, area-denial systems,” the Space Systems Command said. “To complement traditional airborne sensing, the requirement for a layered, highly resilient tracking architecture is evident.”
The AMTI system will integrate satellites, communications links, and ground infrastructure into a network capable of tracking airborne targets from orbit.
Supporting Missile Defense and National Security Missions
Reuters reported that the Space-Based Advanced Moving Target Indicator system is designed as an interconnected “system-of-systems,” combining space-based sensors, secure communications links, and ground processing capabilities to strengthen cooperation across the government’s space industrial base.
The satellites are also expected to contribute to President Donald Trump’s proposed “Golden Dome” missile defense initiative, a multi-layered defense architecture intended to enhance the detection, tracking, and potential interception of airborne threats.
“This initial award is projected to field a constellation of satellites by 2028, providing the Joint Force with an early capability to eliminate operational blind spots,” the Space Force said in a statement.
The Defense Department’s fiscal 2027 budget proposal seeks $7.1 billion for the AMTI program, which budget documents describe as a high-band radar system designed to detect and track airborne targets while expanding coverage from regional monitoring to a global capability.
SpaceX deepens Role in Pentagon’s Future Space Architecture
The award comes just days after the Space Force selected SpaceX for a separate $2.29 billion contract to develop the Space Data Network, a secure, high-speed communications constellation intended to connect military sensors and weapons platforms worldwide.
Together, the two contracts, worth a combined $6.45 billion, place SpaceX at the center of two critical pillars of the Pentagon’s emerging space architecture: sensing and communications.
The satellites for the AMTI program are expected to be built using SpaceX’s Starshield platform, the government-focused version of its Starlink network designed specifically for national security missions.
Col. Ryan Frazier, the Space Force’s acting portfolio acquisition executive for space-based sensing and targeting, said development work will begin immediately.
“By focusing these capabilities to the space domain, we are providing the joint force with sustained battlespace awareness of contested airspace,” Frazier said in a statement. “We are beginning development and integration efforts immediately to meet the program’s rapid deployment milestones and address emerging national security requirements.”
Space Force Signals Multi-Vendor Strategy
Despite SpaceX’s growing presence in national security space programs, military officials stressed that the company will not be the sole supplier for the AMTI architecture. “We will not leverage any one single provider,” Frazier said.
The Space Force said multiple companies are included in the SB-AMTI vendor pool and that additional contract awards are expected over the next year as the program expands.
“Currently, there are numerous companies in this SB-AMTI vendor pool, including SpaceX; which were selected into this framework through previously awarded competitive OTAs,” the Space Force said. “This award executes the Space Force’s strategy to deliver capability and ensure competition that actively leverages the best available technology across the entire U.S. industrial base to deliver this critical capability.”
The service has previously worked with the National Reconnaissance Office to test space-based AMTI prototypes, seeking to demonstrate that satellites can perform missions historically conducted by airborne surveillance platforms and ground-based radars.
Military officials have emphasized that aircraft such as the E-3 AWACS and E-7 Wedgetail will remain important components of future surveillance operations, with space-based systems serving as a complementary layer rather than a replacement.
Anticipated SpaceX IPO
The contract also arrives as SpaceX prepares for a highly anticipated initial public offering expected in June. According to reports, the company is targeting a valuation exceeding $1.75 trillion.
TechCrunch reported that government business remains a significant revenue source for the company, accounting for approximately one-fifth of SpaceX’s revenue in 2025. In its IPO filing, SpaceX noted that its “business with governmental entities is subject to changes in policies, priorities, regulations, mandates, and funding levels.”
The latest Space Force awards further strengthen SpaceX’s position as a dominant supplier of both launch services and space-based infrastructure for U.S. national security missions.