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Why the Pentagon’s attempts to approach the private space industry are good news for Europe

The Pentagon is pushing make arrangements with private companies at home and from allied countries. The initiative, known as the Commercial Augmentation Space Reserve (CASR), envisions bringing the private sector into operations to maintain critical satellite-based capabilities such as communications, navigation, surveillance and missile detection. To be eligible for the new program, private companies with excess capacity must demonstrate that they can support the Department of Defense in potential wartime scenarios upon request.

Such a move goes far beyond the usual government-contractor relationship. And it’s no accident. For at least a year, Colonel Knisley and the Space Systems Command’s Commercial Space Office have been discussing plans to establish a commercial space reserve to provide access to commercial satellite services in the event of a conflict. In August 2023, Space Systems Command asked contractors to submit their comments on the CASR, which is modeled after the Air Force’s Civil Reserve Air Fleet program and gives the government access to commercial airlines for transportation in times of need.

The Pentagon has cited growing threats from China and Russia to jam American satellites. Earlier this month, China launched four high-resolution remote sensing satellites; it plans to launch 10 by the end of this year. The US remains the world’s space and military superpower, but China is accelerating its own efforts in both areas. Meanwhile, fears of conflict over Taiwan persist.

The Pentagon’s overtures to the private sector are further proof that future conflicts will be decided not only on the ground, but also in space. Satellites are already an essential military infrastructure. They are the hardware that enables critical military (and civilian) capabilities such as precise navigation and secure communications regardless of conditions. The real progress in these areas is being made in the private sector, where the profit motive drives constant innovation. Closer collaboration with the private sector makes more technology available and more reliable, and gives the Department of Defense access to the most advanced technologies on the market.

In areas where private companies in U.S.-allied countries have developed off-the-shelf products that the U.S. military can immediately buy and use, it makes no sense for the military to devote valuable resources to developing proprietary technologies of a similar nature. It is much better to trust its allied partners to continue developing the technologies it needs in those areas so it can focus on its most important capabilities. This promotes interoperability – a key area of ​​focus for U.S. decision makers. Networks, as retired Gen. Joe Votel recently said, have become a key organizing principle for successful companies, from Amazon to Uber, and the same must now be done in the defense sector. As the former Gen. noticedwe must move from “industry-oriented thinking” to “network-oriented thinking”.

For private companies in Europe and elsewhere to continue to build what the U.S. needs, they must understand America’s goals. The CASR program, which gives the commercial sector more access, can help commercial companies get a clearer picture of U.S. strategic ambitions, tactical needs and threat intelligence. Now that the U.S. and the U.S. Space Force’s Space Systems Command are forging closer relationships with the private sector, there is a greater opportunity for the private sector to align innovation with the evolving needs of the U.S. government in a dynamic geopolitical landscape.

Unfortunately, the world is becoming increasingly volatile. Western powers are feeling the pressure to stay at the forefront of innovation. And that means looking to space, where tomorrow’s technology is quickly becoming today’s technology. One bright spot is that closer cooperation between the U.S. and its allies will boost the private space sector.

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The opinions expressed in Fortune.com’s commentaries reflect solely the views of their authors and do not necessarily reflect the opinions and beliefs of Assets.

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