As the military looks to update outdated infrastructure and increase capacity in the face of a boom in commercial space activity, the U.S. Space Force awarded Jacobs Technology a contract worth up to $4 billion over ten years to provide engineering and technical services at the country’s main space launch ranges.

The so-called “Space Force Range Contract,” which includes maintenance, sustainment, systems engineering, and integration services for the Eastern and Western ranges through 2035, was awarded to the Tullahoma, Tennessee-based contractor by the Space Systems Command on May 31. While the Western Range is headquartered at Vandenberg Space Force Base in California, the Eastern Range is centered at Patrick Space Force Base in Florida.

The agreement marks a substantial change in the financing of space launch infrastructure. Instead of having the government pay for services or upgrades up front, the new system allows commercial launch service providers, which now handle the majority of launches at both ranges, to request and pay for them directly.

This arrangement might speed up modernization and establish a more market-driven approach to range operations.

The government has traditionally covered these expenses, according to a news release issued on June 3 by Brig. Gen. Kristin Panzenhagen, Commander of Space Launch Delta 45 and Director of the Eastern Range. “The ability of our commercial partners to directly fund their own task order is in line with congressionally mandated financial improvement and audit readiness requirements and will reduce the financial and administrative burden on the government.”

The industry’s transformation

Over the last ten years, the space launch sector has seen a significant shift, which is reflected in the contract. Launch frequency has skyrocketed due to companies like SpaceX, placing additional strain on infrastructure that was once built primarily for government missions during the Cold War.

Executives in the space launch industry have cautioned that the launch facilities would soon be unable to accommodate the anticipated increase in rocket launches, which could reduce America’s ability to compete in the quickly growing commercial space industry.

For the indefinite-quantity, indefinite-delivery Space Force Range Contract, Jacobs Technology was chosen out of four contractors.

In order to facilitate the Eastern and Western Ranges’ eventual conversion into effective, high-capacity multi-user spaceports, the Space Systems Command said in a statement that this contract will revolutionize the way operations, maintenance, sustainment, and systems engineering and integration services are delivered at these locations.

The Eastern and Western Ranges have long kept substantial inventories of outdated systems, which have become more expensive to run, maintain, and support, according to Panzenhagen.

According to Panzenhagen, the new contract will “advance capabilities at both ranges” by providing “responsive and flexible operations, maintenance, and sustainment services” in order to address these issues.