SDA awards four contracts worth $3.5B for next-gen missile tracking satellites

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WASHINGTON — The Space Development Agency (SDA) today announced four new contracts, worth $3.5 billion total, for 72 new satellites for missile warning and tracking.

The Other Transaction Authority (OTA) awards went to teams led by Lockheed Martin, Rocket Lab USA, Northrop Grumman, and L3Harris Technologies, according to the announcement. Each team is to “deliver and operate 18 space vehicles (SV) as part of the Tracking Layer constellation for Tranche 3, launching in fiscal year 2029.”

Gurpartap “GP” Sandhoo, SDA’s acting director, said that the Tranche 3 constellation will “include a mix of missile warning and missile tracking, with half the constellation’s payloads supporting advanced missile defense missions to pace evolving threats.”

The new satellites will bring “near-continuous global coverage for missile warning and tracking” and provide “payloads capable of generating fire control quality tracks for missile defense.”

SDA’s missile warning/missile tracking (MW/MT) satellites carry infrared sensors for spotting missiles when they launch and in flight. Those also designated as for missile defense carry sensors equipped with medium-field-of-view cameras, which can keep eyes on target missiles more precisely.

The contract awards break down as follows:

  • Lockheed Martin was awarded a contract with a total potential value of $1.1 billion to provide 18 satellites carrying missile warning, tracking and defense (MTWD) sensors.
  • Rocket Lab’s contract is worth up to $805 million to provide 18 MWTD satellites.
  • Northrop Grumman’s award is potentially worth $764 million to provide 18 MW/MT satellites.
  • L3Harris’s contract is worth up to $843 million to provide 18 MW/MT birds.

The Tranche 3 contracts were delayed slightly due to the government shutdown, and the Pentagon’s decision to temporarily shift funds to cover troop salaries. That said, the new awards cover a greater number of satellites than SDA originally had planned for Tranche 3. The agency’s initial solicitation in April laid out a plan for three awards for a total of 54 birds.

The first of the satellites is expected to launch during the fourth quarter of fiscal 2029, according to the April solicitation.

Classification
Region
North America
Analytical Domain
Operational
Primary Category / Secondary Categories
Weapons & Equipment / Logistics
Subcategory
New Weapon System
SALUTE Report
Size
72 satellites
Activity
Awarding contracts for missile tracking satellites
Location
Washington, D.C.
Unit
Space Development Agency (SDA)
Time
Fiscal year 2029
Equipment
missile warning satellitestracking satellitesinfrared sensorsmedium-field-of-view cameras
Summary

The Space Development Agency (SDA) has awarded four contracts totaling $3.5 billion for the development of 72 new missile tracking satellites, with the first launches expected in fiscal year 2029.

Key Facts
  • SDA awarded four contracts worth $3.5 billion for 72 new satellites.
  • Each contractor will deliver and operate 18 satellites as part of the Tracking Layer constellation.
  • The satellites will provide near-continuous global coverage for missile warning and tracking.
  • The first satellites are expected to launch in the fourth quarter of fiscal 2029.
  • The contracts were slightly delayed due to government funding issues.