Trump wants to replace Musk’s SpaceX
(MENAFN) According to reports, the White House is expanding its search for defense contractors to work on the Golden Dome missile defense initiative, with the aim of replacing Elon Musk’s SpaceX as a primary contributor.
Once strong political allies during the 2024 campaign season, relations between Donald Trump and Elon Musk have deteriorated significantly in recent months. Tensions reportedly emerged following Trump’s promotion of a $5 trillion “big, beautiful” budget proposal, which Musk openly criticized. Trump, in turn, accused Musk of profiting excessively from federal funds and threatened to revoke SpaceX’s government agreements.
SpaceX has long held a key position in U.S. military satellite operations through its Starlink and Starshield networks. The firm had been expected to play a major role in developing critical elements of the Golden Dome project and was previously considered a top contender, alongside defense contractors like Palantir and Anduril.
However, reports indicate that Trump appears to be moving forward with efforts to cut SpaceX out of the contract. Officials within the White House and the Department of Defense are said to be exploring alternative companies in an effort to lessen dependence on Musk’s enterprise.
Among the alternatives reportedly being evaluated is Amazon’s Project Kuiper, which remains in the early phases of its satellite deployment efforts. Other potential candidates include large defense firms such as Northrop Grumman, Lockheed Martin, and L3Harris, as well as smaller aerospace companies like Rocket Lab and Stoke Space.
Despite the administration’s efforts to pivot away from SpaceX, the company may still maintain a role in specific portions of the estimated $175 billion defense program. Reports suggest SpaceX could continue handling some satellite launches, owing to its extensive track record—having launched over 9,000 Starlink satellites—and its deep experience in procurement and space logistics.
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