Dead satellites parked in busy low orbits are becoming a Pentagon problem. The Space Development Agency and the Defense Innovation Unit just added three companies to the cleanup effort: Firefly Aerospace, Katalyst Space and D-Orbit USA. All three will work on deorbit-as-a-service, a capability for hauling down spacecraft that were never built to be captured.
The agencies announced the awards on Aug. 14, with only one team set to advance past design studies and risk checks into a full flight test in orbit. DIU argues the government should rent orbital cleanup muscle rather than build and fly its own deorbiters.
The three bring different playbooks. Firefly proposes its Elytra maneuvering vehicle, unflown so far but built on hardware and software from the Blue Ghost lunar program. Katalyst’s Link robotic servicer launched in July and is working through attitude-control problems while trying to boost NASA’s Swift observatory. D-Orbit USA, a joint venture formed in 2024, announced a $24M award and will partner with TransAstra and Falcon Exodynamics to prove rendezvous, docking and disposal.
The awards widen an older SDA push. SDA started down this road in 2024, funding feasibility studies at six firms. Starfish Space converted that groundwork into a $52.5M proof-of-concept contract for retiring up to seven spacecraft.
The stakes rise as constellations swell. SDA’s Proliferated Warfighter Space Architecture alone fields roughly 450 satellites in low-Earth orbit that will need periodic replacement, and a workable cleanup service has to catch unprepared targets without spawning more debris.