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SpaceX is building surveillance satellites for US intelligence agency: Report

This deal’s disclosure follows recent concerns about SpaceX pursuing commercial satellite broadband licenses in various nations given its entanglement with sensitive U.S. spy and defense operations.

SpaceX is building a network of hundreds of satellites for surveillance purposes as part of a $1.8 billion contract with the National Reconnaissance Office (NRO), the U.S. intelligence agency overseeing spy satellites, according to a report by Reuters. This project, undertaken by SpaceX’s Starshield division established in 2021, is meant to enhance the government’s ability to rapidly detect potential targets worldwide using a vast constellation of low-Earth orbit satellites.

This deal’s disclosure follows recent concerns about SpaceX pursuing commercial satellite broadband licenses in various nations given its entanglement with sensitive U.S. spy and defense operations. In February this year, a group of US Senators wrote a letter to the country’s Department of Defence (DoD), asking whether SpaceX founder Elon Musk intervened in the operation of the company’s satellite communication services in Ukraine after alleged conversations with Russian officials. “It poses grave national security risks if DoD contractors are able to independently act to abrogate their provision of services,” the letter said, asking what actions the DoD had taken to address these actions and prevent further dangerous meddling, and whether further legislation was needed for DoD to effectively pursue these ends.

Why it matters:

Based on the letter by US senators, it is evident that the company’s decisions have previously impacted the national security interests of other nations as well. This makes one wonder: what’s stopping SpaceX from providing similar services to any other country or actor that is willing to pay the company for it?

How this impacts India:

The US’ reliance on SpaceX for intelligence and military operations raises geopolitical concerns, especially as it seeks to expand its satellite communications services globally. SpaceX has been attempting to enter the Indian satellite communication market. With the news of this contract coming to light, India might no longer be interested in allowing SpaceX to enter its satcom market given the implications it could have for the country’s national security interests.

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