Hello to our SATShow Week Community!

Once again, the satellite industry wakes up to a changed world. Historically, our industry has benefited from the bipartisan support of both Democrats and Republicans. This bipartisanship was necessary for the long-term stability we need to ensure that we deliver on long-term projects. Unfortunately, those days of stability and bipartisanship are behind us. Regardless of your own personal politics, the results of Tuesday’s U.S. national midterm elections will have an impact on your business. 

First, SpaceX. Elon Musk, whose companies dominate launch and satellite services, spent roughly half of a billion dollars on Republican races. House Democrats have said they will investigate SpaceX’s federal contracts, and Musk could face hearings. Starlink’s licenses sit with the FCC, whose commissioners are Senate-confirmed. A Democratic Senate gains leverage over future confirmations.  

Let’s also talk about how this change impacts defense budgets. Before the election, the Republican-controlled House passed its $1.15 trillion FY2027 NDAA 216-212, but it still must clear the Senate, a House-Senate compromise and the president’s signature. The outgoing Republican Congress may try to finish it, or pass a stopgap that pushes decisions to the new majority. However, after an election where voters formed the largest consensus on the high cost of living and healthcare in a generation, expensive military programs like Golden Dome, which need more than $17 billion of funding in a reconciliation package and have a projected total cost of $1.2 trillion, face a much harder path. Democrats will demand details on architecture and cost controls and space-based interceptors are a likely target. Defense contacts tell me they are cautiously optimistic that the sensing and tracking layers of Golden Dome may still make it through Congress, which would boost commercial bus makers, sensor builders and proliferated-LEO operators. 

The election also impacts the government acquisition process. The Senate NDAA backs folding the Space Development Agency (SDA) and Space Rapid Capabilities Office (RCO) into Space Force. That could change who buys commercial satellite capacity. Earth observation companies and civil space suppliers that rely on NASA business could see relief, since Democrats have opposed the Trump administration’s deep cuts to NASA Earth science and imagery programs. 

In the regulatory sphere, expect Democrats to challenge the FCC’s direction, particularly what they see as Chairman Carr’s favorable treatment of certain companies in spectrum allocation. Expanded oversight and confirmation fights could slow pending spectrum and licensing actions. Operators with applications pending could be in for a longer wait than expected. 

I could write an entire essay on how the election could impact the realization and development of orbital data centers. Even if the economics of data centers in space work out, the next two years will not be a favorable environment for large data center projects. Skepticism of AI and data centers is one of the few issues with bipartisan resonance. Just look at how many data center referendums were defeated on Tuesday. Investors at SATShow will be sorting winners and losers from Golden Dome, orbital compute, and spectrum.

In times like these, attending industry-wide events like SATShow matter even more. All the new committee chairs, congressional staff, and agency officials will be settling in by the time we open our doors on Monday, March 8, 2027. SATShow draws satellite operators, defense officials, investors, engineers and policymakers together at the same time, and our GovMilSpace track puts defense buyers in the room with those new policymakers. SATShow is the first big gathering after those relationships reset.

Policy risk is now a business risk. Budget lines, licensing, and contract awards depend on decisions that will be in flux. In this environment, face time with decision-makers becomes invaluable, and that is why we are turning away from traditional business conference structures in favor of more curated and intimate networking scenarios. When market leaders come under more scrutiny, it creates openings for operators, manufacturers, and ground-segment vendors to pitch themselves as alternatives. The need for alternatives became increasingly clear after recent events in Ukraine ran counter to the industry’s promise of resiliency for critical military operations. 

The bottom line is that companies that show up at SATShow can shape how new policymakers think about licensing, spectrum, and procurement. Companies in the room will help se the agenda rather than react to it.

Sincerely,

Jeffrey Hill