Space Force picks 11 firms for $562.5M push to turn space prototypes into weapons

SpaceWERX, the innovation arm of the U.S. Space Force, has selected 11 companies for a new round of public-private funding agreements designed to accelerate the transition of space technologies from prototypes to operational military use.

The 11 agreements are expected to generate a combined $562.5 million from government agencies and private investors. SpaceWERX stated that approximately $245 million of this total comes from government funding, with the remainder comprising anticipated private investment and other matching funds.

The selections under the Strategic Funding Increase (STRATFI) program were announced on August 20 at the Fed Supernova conference in Austin, Texas. The chosen companies are: Agile Space Industries, Antares Nuclear, EO Solutions, Hydrosat, Kall Morris, Method Security, Muon Space, Scout Space, Sedaro, Star Catcher Industries, and ThinkOrbital.

SpaceWERX did not disclose specific details about individual projects. STRATFI agreements can be valued at up to $60 million per company, typically split between government and private funding. SpaceWERX can contribute up to $15 million in Small Business Innovation Research (SBIR) funds, supplemented by contributions from military customers and matching private investment.

These selections are not yet finalized contract awards. The companies will now collaborate with SpaceWERX and Space Force organizations to negotiate agreements, establish milestones, and demonstrate that their technologies can meet military requirements.

"STRATFI is a critical tool for the Space Force to signal demand to industry and private investors," said SpaceWERX Director Arthur Grijalva in a statement.

The program is available to companies currently performing under, or recently completing, a Phase 2 SBIR contract. The goal is to bridge the so-called "valley of death" — the gap between successful prototype development and full-scale production — by providing the additional funding needed to mature technologies for operational deployment. This round of STRATFI selections reflects the Space Force's growing emphasis on leveraging commercial innovation to address emerging threats in space, including counterspace weapons and orbital debris.