SMALL BUSINESS

SMALL BUSINESS

SMALL BUSINESS PROGRAM OPPORTUNITIES

The Space Development Agency (SDA) is recognized as DOD's constructive disruptor for space acquisition. As such, we quickly deliver needed space-based capabilities to the joint warfighter to support terrestrial missions through development, integration, fielding, and operation of the Proliferated Warfighter Space Architecture (PWSA). SDA capitalizes on a unique business model that values speed and lowers costs by harnessing commercial development to achieve a proliferated architecture and enhance resilience. SDA will deliver a minimum viable product - on time, every two years- by employing spiral development methods, adding capabilities to future generations as the threat evolves.

We cannot deliver without the participation of innovative small businesses in the defense industrial base as part of the United States' efforts to maintain its technological superiority, military readiness, and warfighting advantage. SDA uses every opportunity to engage small businesses and their innovative capabilities enabling them to compete for DOD prime contracts and subcontracts, along with programs aimed specifically at small businesses. In doing so, SDA is implementing the Administration's priority to reduce barriers to access and increase opportunities for small business. 

SDA SBIR/STTR Program Background

In October 2020, SDA issued its inaugural Broad Agency Announcement (BAA) inviting submissions of innovative research concepts supporting the advancement of our national defense space capabilities through the Small Business Innovative Research (SBIR)/Small Business Technology Transfer (STTR) program. Since participating in the SBIR/STTR program, SDA has made approximately 150 Phase 1 and 2 awards, valued at almost $200 million involving approximately 100 unique small businesses.

As of April 2026, SDA has more than 70 active Phase 1 and 2 SBIR/STTR contracts valued at more than $114 million. The active efforts are aligned with each of SDA’s capability cells: Transport, Tracking, Ground & Launch, Custody/Emerging Capabilities, Navigation and BMC3.

Through a competitive awards-based program, SDA's SBIR/STTR efforts enable small businesses to explore their technological potential and provides the incentive to profit from dual-use technology commercialization. These programs enable:

  • Leap-ahead improvements for future tranches of currently planned PWSA capability layers.
  • New capability layers to address other emerging or evolving Warfighters needs.

 

SDA’s Participation in SBIR/STTR Program:

SDA prioritizes mature technologies that can be rapidly fielded while also making pivotal investments in small business research and development activities, particularly when the return on those investments can be leveraged in future acquisitions.

During fiscal year 2023, SDA, made more than 20 awards to small businesses valued at over $40 million. During fiscal year 2024, SDA awarded more than 35 awards to small businesses, valued at more than $64 million. During fiscal year 2025, SDA awarded more than 40 awards, valued at approximately $57 million. Topic areas since FY 2023 have included:

  • Free-space optical communication (FSOC) technology for optical communication terminals (OCTs)
  • High-bandwidth sensor processing algorithms
  • Advanced space mesh networking and routing systems
  • Antenna development for ubiquitous communication systems
  • Improved ground system control and monitoring
  • Space system digital twin development and integration
  • Alternate navigation, position, and timing capabilities
  • Precision timing and spaceborne clock technologies
  • Radio Frequency Space Data Transport Solutions
  • Artificial Intelligence (AI) and Machine learning (ML) algorithm development
  • Improving space-based capabilities for warfighters, focusing on data integration, connectivity, processing, and security
  • Resilient Space Technologies: Developing advanced space systems, connectivity, and security measures to enhance PWSA performance and survivability
  • Joint Warfighting Space Capabilities: Advancing space-based technologies and opportunities for improved joint operations

Strategic Funding Increase (STRATFI) Tactical Funding Increase (TACFI) and Phase 3 SBIRs

SDA further demonstrated commitment to small business by leveraging the Strategic Funding Increase (STRATFI) and Tactical Funding Increase (TACFI) programs to make targeted investments that help bridge the gap between early small business investment and production/fielding of key technologies and capabilities.

FY 2024

  • Wildstar LLC, STRATFI/TACFI: Narrowband Internet of Things (IoT) Demonstration
  • Nooks, STRATFI – Classified‑Infrastructure‑as‑a‑Service Expansion

FY 2025

  • STRATFI Awards to Umbra Lab, Cesium Astro and Portal Space Systems for a combined value of approximately $103 million.
  • TACFI award was provided to Cambrian Works for approximately $1.5 million.
  • Two Phase 3 awards with a combined value of approximately $121 million were awarded to K2 Space Corp and Starfish Space Inc.

Systems Technologies and Emerging Capabilities (STEC)

SDA solicits novel architecture concepts, systems, technologies, and capabilities that enable leap-ahead improvements for future tranches of the agency's Proliferated Warfighter Space Architecture (PWSA) via the Systems, Technology and Emerging Capabilities (STEC) Broad Agency Announcement. The STEC BAA provides opportunities for industry, to include small business, to engage with the mission of SDA in the following focus areas:

  • Resilient, Efficient Beyond Line-of-Sight Data Transport and Warfighter Communications Advanced/Alternate Position, Navigation and Timing (PNT)
  • Advanced Target Custody, Warning, Tracking and Defeat
  • Global Battle Management

Since the initial publishing of the STEC BAA in 2022, SDA has completed numerous awards to small business in the following areas:

SMALL BUSINESS SUCCESS STORIES - FISCAL YEAR 2025

SBIR Phase III Awards:

Apex Space Corp: Apex received a SBIR phase II award from SDA in FY 2023. The company has since been selected as part of the Hybrid Acquisition for Proliferated Low Earth Orbit (HALO) pool an indefinite-delivery-indefinite-quantity (IDIQ) other transaction authority. Apex also received a $45.9 million contract from the U.S. Space Force to support missions across multiple orbits. The technology developed as part of the SBIR programs (batteries, solar cells, and lessons learned) helped serve as the foundation for the Space Force contract.

K2 Space Corp: Received a SBIR Phase II award from SDA which provided the foundation for several capabilities built into the bus constellation - high power, the ability to multi-manifest, significant delta-v for maneuverability, and the ability to operate in the MEO environment. This resulted in a Phase 3 contract to fly payloads with a base value of approximately $40 million.

Starfish Space Inc: Starfish participated in a commercial disposal services study for SDA, under the STEC BAA, that resulted in a Phase 3 SBIR contract for de-orbit as a service. The contract is for de-orbit of up to seven space vehicles. This contract has a total potential value of $52.5 million.

Supporting PWSA Deployment:

Cesium Astro: Cesium Astro received a Phase 2 SBIR award for development of their L-Band payload. This resulted in a STRATFI valued at approximately $27.6 million to fly that payload on their newly developed bus. Cesium Astro have also been selected as a Ka-Band radio provider for the Tranche 2 Transport Layer.

EO Vista (Acquired by General Atomic Electromagnetic Systems (GA-EMS)): Through a Phase II SBIR successfully worked with SDA’s Tracking cell and developed their Missile Tracking Algorithm and Wide Field of View (WFOV) Imager. EO Vista has transitioned their technology and has been selected by Lockheed Martin as a Tranche 2 Tracking supplier.

Emergent Space Technologies (Acquired by York Space Systems): Under Direct to Phase 2 awards, developed an end-to-end Modeling Simulation and Analysis test bed. This technology is a key component in SDA’s Tranche 0 and Tranche 1 success.

A number of small businesses are supporting the development of Battle Management Command, Control and Communications (BMC3) Mission Applications to be deployed in the PWSA. These companies include: Uninet LLC, Cognitive Space, SSCI, Collins Aerospace (Acquired by RTX), GEOST (Acquired by Rocket Lab) and MTI Systems.

The continued effort to work with these small businesses directly demonstrates SDA's commitment to advancing both technology and the domestic supply chain, enabling more secure, high-bandwidth data transport capacity for government, and technology commercialization potential.

OTHER SMALL BUSINESS SUCCESS STORIES

  • Under a SBIR Phase 2 award from SDA, E-Spaceconducted a test in July 2023, in collaboration with the Naval Surface Warfare Center Radio Frequency Test Facility in Crane, Indiana, to validate its VHF antenna array capability with clear line of sight, under dense foliage, underground, and under water. The demonstration from a 50-foot tower validated the satellite-to-sensor link budget and data rates. This capability could enable a new type of global connectivity to sense and track military assets across the globe while using low mass satellites.
  • Fiberteksuccessfully completed its SBIR Phase 1 in FY 2023, delivering the design of an all-optical relay tailored to a free-space laser communication system in LEO. Following delivery of the prototype model, Fibertek was subsequently selected in FY 2023 for a Phase 2 SBIR award to build a space-qualified all-optical relay prototype.
  • During FY 2024, SDA selected five small businesses that participated in the SBIR/STTR program (Apex Space, Capella Space, Cesium Astro, Muon Space, and Momentus) into the Hybrid Acquisition for Proliferated Low Earth Orbit (HALO) pool – an indefinite-delivery-indefinite-quantity (IDIQ) other transaction authority. This provides these companies the opportunity to transition their SBIR/STTR technologies into SDA programs through rapidly awarded prototype demonstrations and experimentation in support of future tranches of Proliferated Warfighter Space Architecture. The HALO pool allows these performers to compete in a faster and more flexible contracting mechanism focused on rapid end to end mission demonstrations.

"It's my opinion that when you're trying to innovate, when you're trying to be creative, the best way to do that is to open up the aperture of ideas. And I think small businesses have a tremendous role that they can play in helping provide some of those innovative creative capabilities that we can then leverage to build a full spectrum response to what our adversaries are trying to do."

U.S. Space Force Chief of Space Operations Gen. B. Chance Saltzman, during his confirmation hearing for Chief of Space Operations

LOOKING AHEAD 

SDA plans to release at least four Direct to Phase 2 SBIR topics in FY 2026 once it receives an authorization for the SBIR/STTR program. New topics currently pending full release include:

  • Secure Multi-Source Data Fusion Environment for pLEO Constellations,
  • Technology Maturation to Support Commercial De-Orbit as a Service,
  • Knowledge-Guided Test and Evaluation Frameworks for pLEO Constellations,
  • Affordable IR Sensors for pLEO Missile Tracking Constellation

SDA will post updated Small Business Opportunities throughout FY 2026 in partnership with AFWERX and SpaceWERX as we identify specific technical topics for industry consideration. Additional information can be found here.

RESOURCES

Please see the DOD BAAs for details and submission instructions.