The Department of Defence has axed an AUD7 billion military satellite communications system project with Lockheed Martin. The department says it is no longer aligned with its strategic priorities.
When first announced, the new satellite communications system, known as JP9102, was to have included three to five Defence controlled and operated geostationary communications satellites. Also includerd were ground stations across Australia; an integrated satellite communications management system; and two new satellite communications operations centres.
It would have delivered Australia its first sovereign-controlled satellite communication system over the Indo-Pacific regions.
“Defence has decided to cease its current procurement activity with Lockheed Martin Australia for a single orbit GEO-based satellite communications system,” reads a November 4, 2024, Defence press release.
“With the acceleration in space technologies and evolving threats in space since the project’s commencement, Defence has assessed that a single orbit GEO-based satellite communications system would not meet strategic priorities,” the statement adds. “Instead of a single orbit solution, Defence must instead prioritise a multi-orbit capability increasing resilience for the Australian Defence Force.”
“This is a big step backwards for Australia’s future in space and follows the government’s decision to cancel the National Space Mission for Earth Observation (NSMEO) last year for budget repair,” said Malcolm Davis, Senior Analyst in Defence Strategy and Capability at the Australian Strategic Policy Institute on X.
Other priorities says Albanese
Prime Minister Anthony Albanese told ABC Radio that the government had other priorities.
“We’re busy prioritising all of our purchases when it comes to defence assets, we’ve got a considerable increase in our defence budget and we’ll make sure all of the decisions that we make are in our national interest,” he said.
Shadow Defence Minister Andrew Hastie called the axing “a disgrace”.
“Lockheed Martin will continue to support the Commonwealth to meet its strategic needs and is proud to be partnering with the Australian Defence Force on many ongoing programs,” a spokesperson for the aerospace manufacturer said.
Defence said its current satellite communications capabilities support the organisation’s immediate needs. The department added that axing the satellite communications system allows it to prioritise emerging needs, mitigate capability gaps and continue to support our transition to an integrated, focused force.
