Extra $11 billion to fund huge leap in Space Force launches

Report Content

WASHINGTON — The Space Force’s move to increase the contract ceiling for less complex, less critical launches by $11.4 billion will cover an additional 110 launches, raising the total number of expected missions to 170 over the next decade, according to a Space Systems Command (SSC) spokesperson.

The Space Force on July 17 announced the tripling of its original $5.6 billion ceiling for the the National Security Space Launch Phase 3 Lane 1 program, bringing the total to $17 billion. The indefinite delivery/indefinite quantity (ID/IQ) contract has a five-year base plus a five-year option between 2025 and 2034.

“When the Phase 3 Lane 1 contract was awarded in June 2024, there were a total of 60 missions expected for order,” the SSC spokesperson told Breaking Defense today. “The total number of estimated missions has now increased to approximately 170 due to the growing demand to deliver critical capabilities to orbit. … As a result, it was necessary to increase the ID/IQ contract value in response to the new estimated mission quantities expected to be ordered.

“The Lane 1 ceiling increase allows for launch services to be funded through a combination of reconciliation and baseline budget funds,” the spokesperson added.

SSC originally chose SpaceX, United Launch Alliance (ULA) and Blue Origin to compete under the Lane 1 program. Last March Rocket Lab and Stoke Space were added to the pool, followed by startups Impulse Space and Relativity Federal on July 8.

Vendors selected under the ID/IQ compete for individual launch task orders. So far, SpaceX has nabbed the bulk of them.

In October 2024, SpaceX was awarded the first such order, worth almost $734 million for seven Space Development Agency (SDA) launches and an undisclosed number for the National Reconnaissance Office (NRO). On Jan. 9, SpaceX won a task order for another nine launches for both SDA and NRO worth $739 million. On April 1, it won yet another two SDA launches, worth $178 million.

Blue Origin won its first task order on May 28, just hours before the spectacular explosion of its New Glenn rocket that also heavily damaged its launch pad at Cape Canaveral.

Classification
Region
North America
Analytical Domain
Strategic
Primary Category / Secondary Categories
Political-Military / Logistics
SALUTE Report
Size
110 launches
Activity
Increase in contract ceiling for Space Force launches
Location
Washington
Unit
Space Force
Time
Next decade
Equipment
SpaceXUnited Launch Alliance (ULA)Blue OriginRocket LabStoke SpaceImpulse SpaceRelativity Federal
Summary

The Space Force increased its contract ceiling by $11.4 billion to fund an additional 110 launches, raising the total expected missions to 170 over the next decade. This adjustment reflects the growing demand for critical capabilities in space. The indefinite delivery/indefinite quantity contract, originally set at $5.6 billion, now totals $17 billion and includes a five-year base period with an option for an additional five years. SpaceX has secured most of the launch orders under this program.

Key Facts
  • Space Force increased contract ceiling by $11.4 billion for launches.
  • Total expected missions raised to 170 over the next decade.
  • ID/IQ contract has a five-year base plus a five-year option.
  • SpaceX has secured the majority of launch orders.
  • New vendors added to the launch program include Rocket Lab and Stoke Space.

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