Elon Musk’s SpaceX is teaming up with software giant Palantir and defense innovator Anduril to bid for a central role in President Donald Trump’s ambitious missile defense project, known as the “Golden Dome.” The proposed system would create a vast satellite network capable of detecting and tracking enemy missiles worldwide—potentially transforming how the U.S. responds to airborne threats.
Sources familiar with the plan say the companies recently pitched their proposal to senior officials in both the Pentagon and the Trump administration. The partnership aims to build and launch between 400 and over 1,000 satellites designed to monitor missile activity. Additionally, a second fleet of roughly 200 satellites—equipped with lasers or missiles—would be deployed to neutralize threats mid-flight. However, SpaceX is not expected to participate in arming or operating the offensive satellites.
Trump’s Vision for a Next-Generation Defense Shield
The Golden Dome initiative stems from Trump’s January executive order, which labels a missile attack as “the most catastrophic threat facing the United States.” In response, Defense Secretary Pete Hegseth was instructed to craft a cutting-edge missile shield modeled after Israel’s Iron Dome—this time, scaled for global protection.
The Pentagon has since received proposals from more than 180 companies, both from legacy defense contractors and a growing number of tech-focused startups. While firms like Lockheed Martin, Boeing, and Northrop Grumman are expected to secure key roles, new players like SpaceX, Palantir, and Anduril are now competing fiercely for a piece of the action.
A Subscription Model for National Defense?
One of the more unconventional elements of SpaceX’s bid is its business model. Instead of selling the system outright, SpaceX has proposed a subscription-based service in which the U.S. government pays for access to the satellite network. This approach could allow for quicker deployment by avoiding lengthy procurement processes, but it has also raised red flags.
Pentagon officials have expressed concern that the government could lose control over pricing and upgrades, locking itself into a long-term, potentially expensive agreement. Some insiders also noted that Musk’s influence as a presidential adviser might be giving his companies unusual sway in the bidding process.
“There’s definitely a sense that defense officials are being extra cautious around Musk,” said one source. “He’s not just a contractor anymore—he’s shaping government policy.”
Ethical Questions Around Musk’s Dual Role
Musk’s role in the Trump administration—as a special adviser on government efficiency—has sparked scrutiny. Having donated more than $250 million to Trump-aligned causes, Musk is now deeply involved in shaping how billions in federal defense contracts might be awarded.
This overlap between public influence and private interest is drawing criticism. Senator Jeanne Shaheen (D-NH) has proposed legislation to block federal contracts from going to companies owned by individuals serving in the government. Rep. Donald Beyer (D-VA) also voiced concern, citing Musk’s access to confidential government data as a potential conflict of interest.
Big Costs, Big Questions
While the Golden Dome proposal is still in its early stages, experts estimate the project could cost hundreds of billions of dollars. Critics argue that space-based defense systems are not only costly, but vulnerable to mass attacks and other disruptions.
Laura Grego, research director at the Union of Concerned Scientists, warned that a satellite-heavy defense strategy might not deliver the level of security promised. “A credible system would need tens of thousands of satellites to be effective,” she said. “And even then, it could be overwhelmed by simultaneous launches.”
Despite those warnings, SpaceX’s existing infrastructure could give it a significant head start. The company has launched hundreds of satellites over the past few years and maintains a fleet of reusable rockets, such as the Falcon 9, capable of deploying new hardware on short notice. Sources familiar with the discussions estimate the initial design and engineering for the missile-tracking “custody layer” would cost between $6 billion and $10 billion.
Who Will Own the System?
The Pentagon is still weighing how to manage ownership and operations of the Golden Dome components. Options range from letting SpaceX build, own, and operate its segment, to full government ownership with private firms managing day-to-day operations. U.S. Space Force General Michael Guetlein and retired Air Force General Terrence O’Shaughnessy—now advising Musk—have reportedly been part of these high-level talks.
A memo from Defense Secretary Hegseth urged Pentagon leaders to fast-track proposals, setting aggressive targets for deploying capabilities starting in 2026, with full rollout beyond 2030. That timeline could favor companies like SpaceX, which already has the hardware, personnel, and launch capacity in place.
A High-Stakes Future for U.S. Defense
Despite early traction, nothing is set in stone. The selection process remains fluid, and the ultimate composition of the Golden Dome system could shift dramatically. Traditional defense firms still have deep influence, established relationships, and proven systems that could win out in the long run.
Still, if Musk’s group succeeds, it would mark a seismic shift in the defense landscape—placing Silicon Valley’s rising tech empires in direct competition with long-standing military contractors.
One insider summed it up: “This isn’t just about winning a contract. It’s about who shapes the future of American defense—traditional players or tech disruptors. And that answer is still very much up in the air.”
