How Space Development Agency Is a ‘Constructive Disruptor’ in Space Tech Acquisition

When the Space Development Agency was stood up in 2019, it was mired in skepticism from across the Department of Defense. Instead of using the traditional paths for acquisition of new satellite technologies, which tended toward large systems that were difficult and time-consuming to field and build, SDA took a different tack: buy small commercial capabilities from vendors.

“We’re disrupting in a way that’s constructive for the entire [Defense Department’s] space enterprise,” said the agency’s director, Derek Tournear, this spring. He dubbed them a “constructive disruptor,” in reference to Clayton Christensen’s book “The Innovator’s Dilemma.”

Over the last half decade, the SDA has seemingly won over most if not all of its naysayers — it has now secured an over $4 billion budget and has successfully launched 27 satellites under the first phase of its process: Tranche 0. The end goal is to arrange a constellation of proliferated satellites in low-Earth orbit; a Proliferated Warfighter Space Architecture, or PWSA.

Want to learn more about SDA’s role in the new global space race? Hear Dr. Frank Turner, technical director at SDA, speak on a panel about space technology at the Potomac Officers Club’s GovCon International Summit on Oct. 10. You don’t want to miss this exciting day of global-scale GovCon networking and information! 

Most Recent PWSA Contracts

On Aug. 16, York Space Systems and Tyvak Nano-Satellite Systems won $170 million and $254 million in respective contracts to construct and deliver the “enhanced tactical SATCOM” ships. (Tyvak is a subsidiary of Terran Orbital, which agreed to be acquired by Lockheed Martin just days after the SDA contracts were announced. Before the deal was announced, this would be the first time Tyvak was a prime contractor for SDA.) 

The PWSA is designed to facilitate communications, data exchange and assist with missile tracking and warning. The already-launched Tranche 0 is meant as a proving ground for what the constellation can do. Tranche 1, which is scheduled to launch in the coming months, will officially kick the operation off and Tranche 2, set for 2026, will expand the satellites’ reach internationally and deepen regional coverage.

The satellites contracted to York and Tyvak fall under the Gamma aspect of the Tranche 2 transport layer, and will carry the Warlock payload, which will reportedly help “close future kill chains via the PWSA.”

A Healthy Market

Tournear said he’s been “surprised” at the number and variety of companies vying for contracts on the endeavor, which include not just heavy-hitters like L3Harris and Lockheed, but also up-and-comers such as Sierra Space and Rocket Lab. All four of these organizations were recipients under Tranche 1.

“For that contract we actually saw a huge increase in the number of proposals,” the SDA director said of Tranche 1. “That really speaks to a market that’s healthy.”

Alongside the SDA’s Frank Turner, the space technology panel at the GovCon International Summit will feature Space Innovation Unit Space Portfolio Director Steve “Bucky” Butow and DOD SatCom Chief Michael Dean, among others. Tickets are going fast—register now.