Pentagon Contracts Three Firms to Haul Dead Satellites
DIU and SDA want a commercial deorbit service that can capture spacecraft never designed to be touched.
By The space-quantum Desk

The Defense Innovation Unit and the Space Development Agency have awarded contracts to D-Orbit, Firefly Aerospace, and Katalyst Space to study "deorbit-as-a-service" — a commercial model for disposing of aging military satellites without building a dedicated government capability to do it. [1]
The central problem is harder than it sounds. DIU and SDA want a servicer that can autonomously locate, approach, and capture a satellite that may not have been built for docking or servicing — then supply enough propulsion to dispose of the combined mass, all at a price that makes commercial procurement attractive. [1]
The three companies enter with uneven track records. Firefly proposes using its Elytra maneuvering spacecraft, which has yet to fly its first mission, though it draws on hardware and software derived from Firefly's Blue Ghost lunar program. [1] Katalyst's Link robotic servicing vehicle launched July 3 on NASA's Swift Boost mission, then hit attitude-control problems during commissioning in late July — the company said it uploaded new flight software that restored attitude control using the spacecraft's remaining actuators, allowing preparations for the mission to continue. [1] D-Orbit, which launched its 23rd commercial ION Satellite Carrier mission in July, is the most seasoned orbital transporter of the three but its robotic servicing technology is less mature; its GEA spacecraft's capabilities are due to be demonstrated through the European Space Agency-backed RISE mission, scheduled for 2029. [1]
The competition follows earlier groundwork: in 2024, SDA awarded feasibility studies to six companies including Starfish Space to examine on-demand deorbit services; Starfish subsequently received a $52.5 million contract to deorbit up to seven spacecraft. [1]
What's taking shape is less a technology race than a procurement philosophy — the idea that orbital cleanup might work best when treated like any other contracted service, bought in bulk and scaled as needed.
SDA and DIU will evaluate technical maturity, mission approach, schedule, and affordability before deciding which solution advances to a full on-orbit demonstration. [1] The bin of defunct spacecraft waiting to be collected is already substantial — and growing.