The U.S. Space Force is moving swiftly to consolidate and restructure its acquisition organizations in a bid to streamline procurement and development of next-generation space capabilities. The reorganization—initially planned for 2025—is now being accelerated to take effect by October 2024, reflecting urgency in addressing bureaucratic inefficiencies and aligning with broader Department of Defense (DoD) modernization goals.
Background: Fragmented Acquisition Landscape
Since its establishment in December 2019 as the sixth branch of the U.S. Armed Forces, the Space Force has inherited a patchwork of acquisition responsibilities spread across multiple legacy organizations. These include the Space Systems Command (SSC), the Space Development Agency (SDA), and elements within the Air Force Rapid Capabilities Office (AFRCO). Each entity has operated with varying degrees of autonomy and overlapping mandates for developing satellites, launch vehicles, ground control systems, and advanced communications.
This fragmentation has led to inefficiencies in program execution timelines, budgetary overlaps, and challenges in integrating capabilities across mission areas such as missile warning/tracking, protected satellite communications (SATCOM), position/navigation/timing (PNT), and command-and-control (C2) networks.
New Unified Structure Under Assistant Secretary for Space Acquisition
The accelerated reorganization aims to bring all major acquisition activities under the purview of the Assistant Secretary of the Air Force for Space Acquisition and Integration (SAF/SQ), currently led by Frank Calvelli. SAF/SQ was established by Congress in 2020 but only began exercising full oversight authority over programs like SSC’s portfolio in late 2023.
Under the revised structure:
- The Space Development Agency will be formally integrated into SAF/SQ’s chain of command by October 2024.
- The newly created Program Executive Officer (PEO) roles will be aligned along mission-focused portfolios such as missile warning/tracking, SATCOM, launch enterprise, battle management/C2, PNT/GPS operations, and space domain awareness.
- SSC will remain headquartered at Los Angeles Air Force Base but will operate under tighter strategic guidance from SAF/SQ.
This model mirrors reforms seen in other services where centralized oversight improves lifecycle management from requirements generation through sustainment.
Driving Factors Behind Acceleration
Several factors have contributed to bringing forward the timeline for this organizational overhaul:
- Operational urgency: With threats from China’s PLA Strategic Support Force and Russia’s counterspace developments increasing—including kinetic ASAT tests and electronic warfare against satellites—the U.S. needs faster fielding cycles for resilient constellations.
- Budgetary alignment: The FY25 National Defense Authorization Act includes language supporting streamlined acquisition pathways for space programs; accelerating reform helps align with appropriations cycles.
- Lessons from SDA: The SDA’s rapid deployment model—demonstrated by Tranche 0 launches under Proliferated Warfighter Space Architecture—has shown that leaner structures can deliver capability faster than traditional DoD models.
Implications for Programs and Industry
The new structure is expected to have significant implications across ongoing programs:
- SATCOM: Programs like Protected Tactical SATCOM (PTS) will now benefit from unified oversight across development and integration phases.
- C2 Systems: The Advanced Battle Management System (ABMS) integration into joint all-domain command-and-control (JADC2) architectures may gain traction under a dedicated PEO structure focused on battle management networks.
- SDA Tranches: Future tranches beyond Tranche 1 Transport Layer may see tighter coordination with SSC launch schedules and ground segment plans.
This also affects industry partners. Contractors such as Lockheed Martin, Northrop Grumman, L3Harris Technologies, BlueHalo, Rocket Lab USA Inc., York Space Systems—and numerous smallsat integrators—will need to adapt their proposal strategies around centralized requirements definition timelines set by SAF/SQ-led PEOs rather than disparate program offices. Greater predictability could benefit long-term planning but may also reduce flexibility previously afforded by SDA’s agile contracting approach.
Cultural Shift Toward Accountability
A key theme emphasized by Frank Calvelli has been accountability at all levels—from program managers up through senior leadership. In public remarks throughout early 2024—including at events such as the National Security Space Association’s Defense & Intelligence Conference—Calvelli stressed “delivering capability on cost and on schedule” as non-negotiable expectations moving forward.
This cultural shift aligns with broader DoD trends emphasizing performance-based metrics over process compliance. It also coincides with increased congressional scrutiny over delays in major programs like GPS III Follow-On satellites or Next-Gen OPIR missile warning systems—both managed within SSC portfolios now subject to SAF/SQ oversight.
Ahead: Challenges Remain Despite Momentum
While momentum behind reform is strong—and bolstered by Congressional support—the reorganization faces several challenges:
- Talent realignment: Integrating personnel from diverse organizational cultures requires careful change management planning across SSC directorates and SDA field offices.
- Sustainment integration: Ensuring that sustainment functions are not sidelined during rapid prototyping phases remains a concern voiced by GAO reports on past DoD acquisitions.
- Civil-military coordination: As commercial players expand their role in national security space—from Starlink’s Ukraine operations to Amazon Kuiper’s future ambitions—the new structure must ensure robust interfaces with civil agencies like NASA or NOAA without stovepiping military priorities.
Conclusion: Toward an Integrated Military-Space Enterprise
The acceleration of acquisition reform within the U.S. Space Force marks a pivotal moment in shaping how America builds its future military-space architecture. By consolidating fragmented authorities into mission-aligned portfolios under SAF/SQ leadership—and learning from agile models like SDA—the service aims to deliver warfighting capability at speed while improving accountability across lifecycle phases. Success will depend not only on structural changes but also on cultural buy-in from both government teams and industry partners navigating this evolving procurement landscape.
