California-based satellite startup K2 Space has been awarded a $30 million contract from the U.S. Space Force to launch its first Mega Class satellite. This significant milestone for the two-year-old company comes as part of the Strategic Financing Initiative (STRATFI) program, which aims to accelerate the development of advanced space technologies through public-private partnerships.
With matching funds from SpaceWERX, the Air Force Research Laboratory, and the Pentagon’s Space Test Program, the total value of the agreement reaches $60 million. This funding will support the design, integration, and launch of a Mega Class satellite carrying multiple experimental payloads for the Department of Defense.
K2 Space’s Mega Class satellite bus is designed to disrupt the traditional relationship between satellite size and cost. The company aims to offer large, capable satellite buses at a price point typically associated with smaller systems. This innovative approach could significantly reduce the cost of deploying complex payloads into space.
The Mega bus features a spacious payload deck and can accommodate up to 10 units in a single rocket fairing. It is designed to operate in various orbits, from low Earth orbit to medium Earth orbit and beyond, making it suitable for a wide range of applications, including national security missions like the Resilient GPS program.
The Space Force contract will fund a mission dubbed “Gravitas,” scheduled to launch in February 2026 aboard a SpaceX rideshare mission. The satellite will initially be deployed into low Earth orbit, where it will conduct experiments with various national security payloads. It will then use its electric propulsion system to reach a medium Earth orbit altitude of approximately 12,000 miles.
This mission will demonstrate K2 Space’s capabilities in medium Earth orbit, a region of growing importance for national security applications. The company’s Mega Class satellite bus could play a crucial role in supporting various defense needs, from space domain awareness to communications and navigation.
The STRATFI contract, along with previous Small Business Innovation Research awards, highlights the growing interest in large, high-powered satellite platforms for defense purposes. K2 Space, with its innovative Mega Class bus, is well-positioned to become a key player in this evolving market.