Military Use of Space: Telecoms and the Defence Supply Chain

Introduction: Space as a Warfighting Domain

Space was once the high ground of science and exploration. Today, it is officially recognised by NATO, the US, and other governments as a warfighting domain—alongside land, sea, air, and cyber.

Satellites now play a decisive role in:

• Intelligence, Surveillance, and Reconnaissance (ISR)

• Command and control (C2)

• Navigation (GNSS)

• Missile warning and targeting

• Secure communications

But these functions are no longer the exclusive domain of military assets. Civilian telecom operators now provide much of the underlying infrastructure—often as part of the defence supply chain.

The Rise of Dual-Use Infrastructure

“Dual-use” refers to technologies or systems that serve both civilian and military purposes. In space, this includes:

1. Satcom Providers

• Commercial satellites provide bandwidth for military operations.

• Starlink in Ukraine became a key element of battlefield comms.

2. Earth Observation

• Civilian imaging satellites support disaster response—and battlefield awareness.

• High-resolution imagery is now widely available via commercial vendors.

3. GNSS

• GPS, Galileo, and other systems power both civilian logistics and missile guidance.

4. Launch Services

• Private rockets carry military and intelligence payloads.

• Vertical integration means logistics providers also play defence roles.

The result: telecom and space companies are now strategic assets, with increasing exposure to geopolitical tension and regulatory scrutiny.

Recent Conflicts Highlight the Shift

Ukraine (2022–Present)

• Starlink terminals supplied to Ukraine for battlefield communications.

• Reports of jamming, cyberattacks, and attempts to disable satellite uplinks.

Gaza & Red Sea

• GNSS jamming reported near conflict zones affecting aviation and shipping.

• Civilian satellite imagery used by analysts and policymakers.

China-Taiwan-US Tensions

• Satellite operators reassess risk exposure in East Asia.

• Military planning includes civilian comms disruption scenarios.

Telecoms in the Defence Supply Chain: Implications

1. Mission-Critical Comms

   • Operators increasingly deliver secure, low-latency connections for defence clients.

   • Satellite-based backhaul may replace fibre in contested areas.

2. ISR Services

   • Telecoms with Earth observation capability may be contracted for military surveillance.

3. Cyber Defence

   • Civilian infrastructure must meet military-grade cybersecurity requirements.

   • Telecoms targeted by nation-state attackers due to strategic importance.

4. Data Sovereignty

   • Defence ministries demand local data hosting, encryption, and routing control.

5. Export Controls

   • Dual-use classification triggers compliance with ITAR, EAR, or EU dual-use regulations.

   • Telecom boards must understand where services cross national security thresholds.

Strategic Risks for Boards

• Unintentional Weaponisation: Civilian services used in military contexts without operator knowledge.

• Targeting Risk: Infrastructure could be targeted physically or digitally.

• Policy Backlash: Cooperation with one side of a conflict could trigger sanctions or reputational damage.

• Legal Ambiguity: Operators may be liable under national or international law for involvement in hostile operations.

Governance, Compliance & Risk Mitigation

1. Know Your Customer (KYC) in Space

   • Scrutinise users, endpoints, and secondary service providers.

   • Vet government and NGO clients with potential military affiliations.

2. Transparency with Stakeholders

   • Communicate risk frameworks to investors and boards.

   • Consider voluntary declarations of neutrality or military use terms.

3. Compliance with National Security Directives

   • Understand obligations under local defence contracts.

   • Work closely with regulators to clarify expectations.

4. Build Cyber and Resilience Layers

   • Harden infrastructure as if it were a military target.

   • Assume contested, denied, and degraded environments.

Regional Perspectives

United States

• SpaceX, Amazon, and others now receive DoD and Space Force contracts.

• Dual-use export compliance is tightly regulated by ITAR and EAR.

• Homeland security increasingly includes telecom resilience.

Europe

• ESA developing military-grade infrastructure (IRIS²) with dual-use capacity.

• EU defence directives include telecom operators under critical infrastructure.

• Satellite vendors must navigate both GDPR and military confidentiality rules.

Middle East

• Satellite providers (e.g., Yahsat, Arabsat) increasingly integrated into defence planning.

• UAE and Saudi Arabia developing sovereign comms capacity with dual-use applications.

• Regional conflicts raise the stakes for telecom neutrality and resilience.

Opportunities for Strategic Engagement

• Private-Government Collaboration: Work with defence ministries on secure comms architecture.

• New Service Models: Offer hardened telecom solutions as part of defence-as-a-service platforms.

• Public Funding & Procurement: Defence budgets may subsidise infrastructure upgrades.

• AI & Cyber Integration: Develop solutions for threat detection, satellite forensics, and digital sovereignty.

Conclusion: Welcome to the Grey Zone

In modern conflict, civilian and military infrastructure blur. From Ukraine to the Red Sea, space-based telecoms are now targets, tools, and terrain. The telecom sector must now operate in the “grey zone”—between peace and war, commerce and defence.

Boards must not only understand these risks—they must plan for them. Those who do will help shape a new model of strategic telecoms for a world where space is not just commercial—it is contested.