Bromance in Space

(Trump + Musk) x Space Economy = ?

As we awake from the election hangover in Superpower #1, the world order is looking rather different than it did just one month ago. Now, the shift may have a greater impact on the SPACE order than perhaps we might have ever anticipated given Elon Musk’s explicit ties to, and now formal role with, the next U.S president, Donald Trump. Elon Musk’s role in the face of Space Tech and Space Economy for not just the U.S but the entire globe, has been transformative with SpaceX – the world’s largest private company at a valuation of USD$210 billion. From reusable rockets models to Starlink’s global communication satellite network, Musk has been steadily advancing the possibilities of orbital domains and beyond. And the relevance to next phase of the U. S leadership in this domain is clear with both initiatives, and Elon, explicitly called out in Trump’s President-elect victory speech. Now, with Trump returning to the Whitehouse on the heels of visible and lavish cash-laced endorsements (USD$118 million+) by Musk, how might Musk influence America’s investment in Space policy and programs? And how might this influence impact the rest of the sector? After all, it was under Trump who founded the Space Force, re-launched the National Space Council, and established NASA's Artemis program in his first presidential term in the move to get Americans back to setting boots on the moon – currently targeted for 2026. Musk’s vision, combined with the administration’s policy direction, could bring a mix of opportunities and challenges – from commercialization, defense alignment, Space exploration, and regulatory oversight. Plus, we have the added dimension of Musk also now holding an official role in the U.S Government, leading the “Department of Government Efficiency” (yes, “DOGE”), and hence in the inner orbit of how the Trump’s term will deregulate and deliver on the mantra “Make America Great Again”.

Commercial Space Ventures

Under a Trump administration, Musk’s leadership at SpaceX can steer the government’s approach to favoring partnerships with private companies for Space initiatives. SpaceX, the world’s second largest private company at a valuation of USD$210 billion has already proven itself as a reliable partner for NASA, providing cargo resupply to the International Space Station (ISS) and sending American astronauts to Space on private Spacecraft. A close relationship with the administration would accelerate the push toward commercial ventures, potentially making SpaceX THE dominant vehicle for many of the government’s Space missions. 

This trend toward privatization would likely increase government contracts with companies like SpaceX and Starlink network - enhancing the role of private companies in managing essential aspects of Space infrastructure. Starlink has particularly proven key in providing global internet coverage in remote areas and disaster zones. With Musk’s influence, the government might fast-track projects that rely on commercial satellite constellations to support industrial development (agriculture, energy, manufacturing), marking a shift from public to private-sector dominance in Space initiatives, which would then in turn, catalyze the growth of Space-based internet services, satellite communications, and manufacturing industries – all to yield a new era in commercial Space ventures that most may not even yet have imagined.

Military and Defense Alignment

The Trump administration previously emphasized Space as a key frontier for national defense, resulting in the establishment of the Space Force. If Musk were get actively involved in defense-related Space discussions, we could see a closer alignment between SpaceX and the U.S. military, particularly regarding satellite networks and rapid launch capabilities. With the U.S. Department of Defense having raised its funding ceiling for the Proliferated Low Earth Orbit (PLEO) Satellite-Based Services program from an initial USD$900 million ceiling to an eye-popping USD$13 billion, the stakes (and revenue prize) have never been so, literally, rich.

Musk’s Starlink network has clear potential for integration into military and intelligence operations. Its capability to provide secure, high-speed internet in remote areas aligns with defense needs, potentially offering the military a dependable communication network in Space. Of course, we learned about the Starshield program earlier this year - whereby SpaceX will equip the US Military complex with spy satellites for a contract size set at an initial USD$1.8 billion. Trump’s administration will likely further fortify capabilities of the Space Force, bringing about a new era of public-private collaboration aimed at fortifying the U.S. presence in Space as a defense strategy – especially considering accelerating conflict in strategic regions around the world.

Additionally, this defense alignment could mean more government funding and contracts for technologies that support secure communications, surveillance, and rapid response in Space. A focus on “responsive Space” would encourage partnerships with SpaceX and other companies to develop capabilities for quickly deploying satellites and even military equipment to counteract potential adversarial threats from countries that are rapidly developing and deploying their own Space and Satellite innovations – from Russia, China, India and beyond.

Emphasis on Space Exploration and Colonization Goals

Elon Musk’s goal of colonizing Mars is famously known, and a supportive administration could help him pursue these plans with fewer hurdles. Under the Trump administration, NASA already encouraged the Artemis program for lunar exploration, signaling an openness to bold exploration initiatives. Musk’s Mars mission aligns well with these goals, meaning we could probably witness a surge of government support for SpaceX’s ambitious projects.

Meanwhile, Musk’s now confirmed role as the head of DOGE could very well streamline regulatory approvals for Musk’s exploration plans, allowing him to accelerate projects that involve the development of the Starship rocket, which is designed for deep-Space travel. A fast-tracked approach might provide SpaceX with more freedom to test and develop new technologies, pushing human Space exploration timelines forward. By leveraging these advancements, the United States would position itself as a leader in lunar and Martian exploration, potentially spurring a new Space race.

Regulatory Adjustments Favoring Space Innovation

With Musk now to be involved in policy deliberations, the administration might adopt a regulatory stance that favors rapid innovation. The Trump administration’s approach to deregulation aligns with Musk’s tendency to push technological boundaries, suggesting that regulatory processes surrounding Space activities could be streamlined.

This deregulation could make satellite launches, rocket testing, and orbital deployments more flexible, benefiting companies that prioritize speed and innovation. While this approach could foster faster development in the Space industry, it might also raise concerns about oversight, especially regarding environmental impacts and Space safety. The trade-off for rapid growth could mean a relaxation of protocols on launches and satellite usage, leading to potential increases in Space debris and other environmental challenges.

Environmental and Space Debris Policies

Musk has previously expressed a commitment to sustainable practices (even if these days seem a long, long time ago). The urgency of rapid Space development could complicate environmental policies under a Musk-Trump alignment given Trump’s overt disdain for sustainability policies powered by regulation of key industries. The potential for a more lenient regulatory environment would make it easier for companies to launch satellites and other payloads, raising concerns about the growing issue of Space debris in low Earth orbit (LEO).

If economic and military priorities take precedence, stricter policies on satellite disposal or de-orbiting requirements might be sidelined, creating a challenging environment for Space sustainability advocates. The Space industry would need to balance Musk’s ambitious goals with the realities of Space traffic management and long-term environmental stewardship.

A Giant Leap for Humankind… We Must Mind the Gap

Elon Musk’s involvement with a Trump administration will likely accelerate the commercial, defense, and exploration dimensionsof the Space industry, yet it also raises questions and concerns about regulatory balance, environmental impact and quite profoundly, the balance of geopolitical forces in the Space domain. While ‘Space’ is vast and large, the Space of Orbits (particularly LEO) is already getting quite crowded. By fostering closer ties with the government, Musk could push for a future where private-sector innovation drives Space progress while also creating uncertainty on risks from these advancements. While this dynamic could position the United States as a dominant force in Space, the trade-offs, particularly around sustainability, regulation, and the integrity of the Earth itself, would need careful consideration. Trump’s win and Elon’s formal role combined with the incumbent role SpaceX plays in the Space domain will undoubtedly herald a new era for the industry, where rapid innovation and strategic defense play central roles in shaping humanity’s next steps beyond Earth. We, the DGI community, must make sure we are alert and ready to respond, engage, and partner at the speed of light, and the edge of Space.