SpaceX is building a network of hundreds of spy satellites under a secret contract with the U.S. intelligence agency, five sources familiar with the program said, showing deepening ties between billionaire entrepreneur Elon Musk’s space company and national security agencies.

The network is being built by SpaceX’s Starshield business unit based on a $1.8 billion contract signed in 2021 with the National Reconnaissance Office (NRO), the intelligence agency that manages spy satellites, News.ro reported.

The plans demonstrate the scale of SpaceX’s involvement in US military and intelligence projects and illustrate the Pentagon’s deeper investment in large low-Earth orbit satellite systems designed to support ground forces.

The program will expand the US’s ability to detect potential targets around the world

If successful, the program would greatly expand the ability of the U.S. government and military to quickly identify potential targets almost anywhere on the globe, the sources said.

Sources said the contract shows the intelligence agency’s growing confidence in the company, whose owner clashed with the Biden administration and sparked controversy over the use of Starlink satellite communications during the war in Ukraine.

In February, The Wall Street Journal reported the existence of a secret $1.8 billion Starshield contract with an undisclosed intelligence agency, without specifying the program’s goals.

The Reuters article first reveals that SpaceX’s contract is for a powerful new spy system with hundreds of Earth-imaging satellites that can operate as a low-orbit swarm, and that the spy agency the company is working with Musk is NRO.

Reuters could not say when the new satellite network would be operational, and could not determine which other companies are participating in the program with their own contracts.

SpaceX, the world’s largest satellite operator, did not respond to multiple requests for comment on the contract, its role in it or the details of the satellite launches.

The Pentagon has sent a request for comment to the NRO and SpaceX.

The program will be “the most powerful space intelligence, surveillance and reconnaissance system the world has ever seen”

In a statement, the NRO acknowledged its mission to develop a sophisticated satellite system and partnerships with other government agencies, companies, research institutions and countries, but declined to comment on Reuters’ data on the extent of SpaceX’s involvement in the effort.

“The National Intelligence Agency is developing the most effective, diverse and sustainable space intelligence, surveillance and reconnaissance system the world has ever seen,” the spokesman said.

The satellites can track targets on the ground and share that data with the US military and intelligence officials, the sources said. In principle, this would allow the US government to rapidly capture continuous images of ground activity almost anywhere on the globe, aiding intelligence and military operations, they added.

About a dozen prototypes, among other satellites, have been launched on SpaceX’s Falcon 9 rockets since 2020, three sources said.

A US government database of objects in orbit shows several SpaceX missions that have deployed satellites that neither the company nor the government have ever acknowledged.

Two sources have confirmed that these are prototypes for the Starshield network.

All the sources asked to remain anonymous because they are not authorized to discuss the US government’s program.

The Pentagon is already a big customer of SpaceX, using its Falcon 9 rockets to launch military cargo into space.

The first prototype Starshield satellite, launched in 2020, was part of a separate contract worth about $200 million that helped SpaceX land a follow-on contract worth $1.8 billion, one of the sources said.

The planned Starshield network is separate from Starlink, SpaceX’s growing commercial broadband group, and has about 5,500 satellites in space to deliver near-global internet to consumers, businesses and government agencies.

The secretive group of spy satellites is one of the US government’s most sought-after capabilities in space, as it is designed to provide the most constant, broad and rapid coverage of activities on Earth.

“No one can hide,” one source said of the system’s potential power, describing the network’s reach.

Musk, who is also the founder and CEO of Tesla and the owner of social media company X, has promoted innovation in space but has drawn frustration from some Biden administration officials over his control of Starlink in Ukraine, where the Kiev military uses it to securely communicate in conflict with Russia.

Musk’s control of Starlink in a war zone, not the US military, has created tension between him and the US government.

A series of Reuters articles detail how Musk’s manufacturing operations, including at SpaceX, have affected consumers and workers.

The Starshield network is part of an intensifying competition between the US and its rivals to become the dominant military power in space, in part by expanding spy satellite systems from bulky and expensive spacecraft in higher orbits.

In contrast, a huge array in low orbit can provide faster, near-constant images of Earth.

China also plans to start building its own satellite arrays, and the Pentagon has warned of threats from Russian space weapons that could disable entire satellite networks.

Starshield aims to be more resistant to attacks by complex space forces. The network also aims to greatly expand the U.S. government’s remote sensing capabilities and will consist of large satellites carrying image sensors, as well as more relay satellites that transmit image data and other messages over the network using lasers between satellites. two of the sources.

The NRO includes personnel from the US Space Force and the CIA and provides classified satellite imagery for the Pentagon and other intelligence agencies.

The spy satellites will have sensors provided by another company, the three sources said.