SDA Makes Second HALO Europa Award
April 7, 2026
HALO Europa Track 1 Acquisition To Demonstrate Advanced Next-Generation Tactical Space Communications
WASHINGTON, D.C. – The Space Development Agency (SDA) today announced it has awarded a prototype agreement under the Hybrid Acquisition for Proliferated Low Earth Orbit, or HALO, Europa Track 1 solicitation to Capella, an IonQ company, based in San Francisco, to demonstrate advanced tactical waveform performance, adaptive beamforming, and secure tactical communications in low Earth orbit (LEO).
The firm-fixed price, Other Transaction agreement (OTA), with a total potential value of $48.9 million, was awarded to Capella to design and develop two space vehicles with advanced radio frequency (RF) payloads, mission-specific waveforms, and secure ground-to-space integration systems to enable robust, end-to-end communications capabilities with the demonstrations planned to be completed by November 2027.
“With this award under Europa Track 1, we are working with a HALO pool member to build space vehicles dedicated to this demonstration, whereas Track 2 allows us to use existing commercial constellations to conduct demonstrations for SDA alongside their primary functions,” said GP Sandhoo, acting director, SDA. “This flexibility is a cornerstone of the HALO program, through which we are rapidly delivering new capabilities to the warfighter and growing our industrial base to enhance resilience.”
This is the second prototype agreement awarded to a HALO pool member. SDA awarded a Track 2 agreement in February 2026 to another HALO pool participant to use an existing commercial constellation for TACSATCOM demonstrations.
Capella was among the original 19 HALO pool members. The HALO pool uses Other Transaction authority and is modeled after an indefinite-delivery-indefinite-quantity (IDIQ) contracting approach, where each member receives an initial agreement valued at $20,000 to defray administrative and travel expenses and is then eligible to compete for future HALO demonstration prototype orders.
Only vendors in the HALO pool will be able to bid against future specific demonstration prototype orders. HALO may also increase the pool of performers capable of bidding on future SDA programs, including participation in layers of future tranches. HALO will provide opportunities for companies to gain valuable experience working with SDA on demonstration projects.
SDA is the contracting activity in Washington, D.C. 20330.
About the Space Development Agency. As part of the U.S. Space Force, SDA is recognized as a constructive disruptor for space acquisition. SDA will accelerate delivery of needed space-based capabilities to the joint warfighter to support terrestrial missions through development, fielding, and operation of the Proliferated Warfighter Space Architecture. For more information on SDA, contact USSF.SDA.Outreach@mail.mil or visit https://www.sda.mil.
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