30 October 20245 minute read

Interstellar Insights - October 2024

US Space Force announces new pilot program as industry insiders call for increased efficiency among government agencies.

In early 2024, the US Space Force announced a $40 million pilot program to enable US combatant commands to order intelligence, surveillance, and reconnaissance products from commercial satellite operators. Executives from commercial space companies that have participated in the pilot call it revolutionary, noting its potential to expedite processing times.

Currently, the National Reconnaissance Office (NRO) is charged with acquiring intelligence, surveillance, and reconnaissance imagery from commercial space providers, while the National Geospatial-Intelligence Agency (NGA) purchases analytic products. However, insiders claim current NRO and NGA processes are delaying the transmission of critical information to troops on the ground.

For instance, Joe Morrison, Vice President of space technology company Umbra Space, explained it can take weeks for military analysts to receive a response to requests for satellite imagery.

While the NRO and NGA dispute these claims, executives from the pilot program believe the government agency cannot respond quickly enough to changing situations on the ground. They further noted that this delay in response hinders troops from fully utilizing the abilities of today’s remote sensing technologies.

Those executives hope the Space Force will receive more funding and freedom to work with commercial companies directly, allowing additional companies to offer real-time data.

“This is consistent with the Space Force’s Commercial Space Strategy released last April, the purpose of which is to enhance US national security by keeping pace with adversaries,” said DLA Piper’s Space Exploration and Innovation Practice Chair Christian Ford. “The pilot program will likely put pressure on the government agencies to increase the speed and efficiency of the support they provide to the combatant commands, which may be accomplished through new and expanding partnerships with commercial space companies.”

Nuclear power considered to increase space exploration.

A UK spinoff of the University of Leicester, Perpetual Atomics, is working on harnessing nuclear power through the development of radioisotope power systems, which convert heat released from radioactive decay into electricity or thermal energy.

According to Julie Black, Director of Missions and Capabilities at the UK Space Agency, this technology can “sustain exploration of space for longer periods” and “allow us to venture further into space than ever before, enabling more science and bringing more benefits back to Earth.”

Government agencies, such as the National Aeronautics and Space Administration (NASA) and Defense Advanced Research Projects Agency (DARPA), are also considering nuclear power to supply lunar base camps, launch nuclear-propelled space crafts, and ease far-reaching space journeys to Mars and beyond.

“Nuclear power offers a reliable and long-duration energy source that can support deep space and long-term missions,” remarked Danny Cook, Partner in DLA Piper’s Government Contracts practice. “Its high energy density allows for more efficient propulsion systems and continuous power generation, making it an ideal solution for powering spacecraft, habitats, and scientific instruments far from the sun where solar energy becomes less viable.”

The US election brings hope for new space policies.

As the 2024 US presidential election nears, those within the commercial space industry are hopeful that the incoming administration will prioritize critical issues affecting the space sector.

Top issues include further funding for NASA and Space Force, support for human spaceflight endeavors, revamped national security measures and regulations, and the ability to foster a competitive ecosystem within the US as foreign nations focus on penetrating the space market.

While legislators have increased their focus on space policy in recent years, commercial space backers have found themselves faced with pushbacks. For instance, legislators have repeatedly campaigned for the establishment of a Space National Guard with increased opposition from the White House Office of Management and Budget. Likewise, the launch of anti-satellite weaponry among foreign actors, without immediate regulatory action, could also pose national security risk.

“Both of this year’s major US presidential candidates have discussed space policy, though it has not been a cornerstone of either’s platform,” remarked Senator Richard Burr, Principal Policy Advisor of DLA Piper’s Government Affairs and Public Policy practice. “Kamala Harris has been involved in policy through her leadership of the National Space Council and is an advocate for the Artemis Accords. Likewise, Donald Trump emphasized space policy during his first term with the creation of Space Force and support for the Artemis program. We are hopeful space policy and the space industry will be a priority for either candidate if elected.”

New space export control rules announced.

On October 17, the Commerce Department’s Bureau of Industry and Security (BIS) released three rules to modernize BIS’s space-related export controls. The updated controls aim to further US innovation while protecting national security and foreign policy interests.

  • In a Final Rule, BIS is removing license requirements for exports of certain items for Australia, Canada, and the UK, removing “unnecessary” export control restrictions and promoting a continued commitment to US allies

  • In an Interim Final Rule, BIS is removing license requirements for exports of certain spacecraft components to over 40 allies and partners worldwide, and

  • In a Proposed Rule, BIS is proposing to transfer jurisdiction of certain space-related defense articles that no longer provide critical military or intelligence advantages from the US Munitions List (USML) maintained by the Department of State to the Commerce Control List. This proposed transfer would enable the use of BIS license exceptions that facilitate exports of commercial space items to close allies and partners.

The BIS’s rules showcase an increased call for new regulations and policies regarding the space industry to both enable global competition and protect US interests.

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