SpaceX-Ukraine Saga Ends As Pentagon Engages Elon Musk's Company

U.S. Secretary of the Air Force Frank Kendall recently discussed SpaceX‘s involvement in Ukraine and the Pentagon’s future collaborative endeavors with the company.

In a CNBC interview, Kendall addressed the controversy that arose last year when SpaceX CEO Elon Musk decided to withhold Starlink satellite service from Ukraine during an unforeseen attack on Russian forces.

Kendall indicated SpaceX had acted independently in relation to Ukraine, emphasizing that it had not been tied to any official U.S. contract. He mentioned that it appeared SpaceX had chosen to offer their services voluntarily, granting them a certain level of discretion.

Kendall confirmed the Pentagon has now established a contract with SpaceX to deliver Starlink services in Ukraine. The Air Force ensured all contracts were structured to receive essential services at a reasonable cost, regardless of the business arrangement.

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This situation reignited public debates regarding the U.S. government’s dependence on SpaceX, particularly Musk, for matters related to national security, prompted by Walter Isaacson’s recent biography of Musk.

Kendall also emphasized the growing significance of space as a contested domain, which underscored the need for increased cooperation between the government and the commercial space sector. Agencies such as the Air Force and the Space Force are actively exploring the evolving landscape by seeking novel satellite and launch capabilities and advocating for increased funding for space initiatives.

Regarding potential conflicts with China, Kendall asserted that while China is preparing for war, it does not necessarily imply that war is inevitable. He also underscored the Air Force’s commitment to deterring threats from next-generation technologies and integrating applications of artificial intelligence.

The iShares U.S. Aerospace & Defense ETF ITA rose 0.5% on Thursday, after falling for seven straight sessions.

Despite uncertainties surrounding future defense policies and funding, Kendall remained dedicated to modernizing the military and thwarting the potential success of adversaries.

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