SpaceX Rebuffs Space Force; Spain’s Rocket Near Final Assembly
A major shift in commercial-military relations unfolded this week as SpaceX declined new defense contracts while a European startup prepares its first orbital vehicle for testing.
By Ama Boateng ·

The commercial space sector experienced a significant strategic pivot this week, marked by a notable rejection from one of the industry's dominant players.
The timeline of recent developments began with a surprise announcement from SpaceX regarding its relationship with the United States Space Force. The company informed the military branch that it was declining three offered launch contracts. This move came as a shock to observers who expected further consolidation of SpaceX’s role in national security space operations. The decision signals a potential shift in how the most prominent private launch provider engages with federal defense agencies, suggesting a recalibration of priorities or terms in their long-standing partnership.
Simultaneously, on the civil space side of the ledger, a NASA safety panel issued a critical assessment of the Starship vehicle. The panel indicated that a lunar landing mission might require up to 22 refueling events in orbit. This finding underscores the complex logistical challenges still facing the development of reusable, super-heavy lift vehicles designed for deep space exploration. The data points to the intricate engineering hurdles that remain before fully operational lunar missions can be executed with the efficiency initially projected.
While these headlines dominated the discussion in the United States, international efforts are also advancing rapidly. In Spain, PLD Space has confirmed that its Miura 5 rocket is nearing the final stages of integration. The small-lift vehicle is scheduled for its inaugural launch next year, marking a significant milestone for European independent launch capabilities. The company has already manufactured three Miura 5 units, with two designated for qualifying key system elements. This parallel production strategy has allowed engineering teams to apply lessons learned from qualification campaigns directly to the primary launch vehicle, accelerating the development curve.
Raúl Torres, the CEO of PLD Space, highlighted the efficiency gained from this approach. He noted that manufacturing multiple vehicles simultaneously enabled continuous work across different production and integration stages. Currently, one Miura 5 second stage is fully integrated and has begun system-level testing under conditions that mimic real-world operations. This stage is located at the company’s test facility in Teruel, where it will undergo a wet dress rehearsal and a static hot-fire test. These rigorous steps are essential to ensure the reliability of the propulsion and control systems before the vehicle attempts to reach orbit.
PLD Space is now targeting a first flight of the small-lift vehicle before mid-2027. This timeline places the company in a competitive position within the global small-lift market, offering customers an alternative to established providers. The progress reported in the October 19 program update suggests that the company is on track to meet its ambitious goals, further intensifying the race to provide affordable and frequent access to low Earth orbit.
Across the Atlantic, Canadian startup Reaction Dynamics is also making moves to expand its footprint in the launch industry. The company has announced it is seeking to raise $350 million in new funding. This capital injection is intended to grow the workforce from its current size of 68 employees to more than 350. The expansion will support the development of the Aurora rocket, a small-lift vehicle that Reaction Dynamics hopes will reach orbit in 2028. The company is positioning itself as one of three prominent Canadian launch startups, aiming to capture a significant share of the domestic and international market.
In addition to the Aurora, Reaction Dynamics has outlined plans for a medium-lift rocket named Borealis. The company aims to debut this larger vehicle by 2031. This dual-rocket strategy allows the startup to address different market segments, from small satellite constellations to larger commercial payloads. The fundraising effort is a critical step in this multi-year development plan, ensuring the company has the resources to hire the specialized engineering talent required to bring both vehicles to market.
The coming months will be pivotal for these diverse space initiatives. For SpaceX, the decision to decline military contracts will likely be scrutinized for its long-term implications on government relations. For NASA, the findings on Starship refueling requirements will inform future mission planning and infrastructure development. In Europe and Canada, the progress of PLD Space and Reaction Dynamics represents a growing chorus of independent voices in a market previously dominated by a few giants. As these projects move from development to flight, the global space industry continues to evolve, driven by both technological innovation and strategic business decisions.
Source: Ars Technica
