WASHINGTON — SpaceWERX, the commercial outreach arm of the U.S. Space Force, selected eight companies for Strategic Funding Increase (STRATFI) agreements for 2025 worth a combined $440 million in government and private funding.
Each STRATFI agreement is worth up to $60 million, with SpaceWERX and several defense agencies contributing up to $30 million per project. Private investors provide matching funds to scale innovations that have already demonstrated viability through prototype development.
The winners — Albedo, Beast Code, CesiumAstro, Gravitics, LeoLabs, Rise8, Umbra and Xona — were announced March 8 at an event at the Capital Factory in Austin, Texas.
The STRATFI program operates within the Small Business Innovation Research (SBIR) framework but targets more mature projects that have already completed Phase 2 SBIR contracts within the past two years. Companies must meet specific milestones and demonstrate progress to receive full funding.
SpaceWERX director Arthur Grijalva said the STRATFI public-private partnerships help bridge the notorious “valley of death” that can prevent promising technologies from reaching operational deployment. Of the $440 million in funding for the 2025 agreements, he said, about $101 million comes directly from SpaceWERX, with the remainder coming from military customer organizations with specific capability needs, and matching private funds.
SpaceWERX operates under AFWERX, the Department of the Air Force’s tech investment arm.
The eight companies selected by SpaceWERX:
Albedo is developing a high-resolution imaging satellite constellation operating in very low Earth orbit. The Air Force Research Laboratory’s Space Vehicles Directorate partially funded this STRATFI.
Beast Code specializes in digital twins of physical systems that present complex data intuitively. Space Systems Command contributed funding for this STRATFI.
CesiumAstro produces electronically scanned array antennas compatible with the military’s Link 16 tactical data network, a capability of particular interest to the Space Development Agency for its low Earth orbit satellites. Both Space Systems Command and the Space Development Agency provided funding for this STRATFI.
Gravitics is adapting a commercial space station for military and civilian applications, including in-space logistics. This STRATFI got funding from Space Systems Command.
LeoLabs, a space monitoring company, will deploy a next-generation radar site in the Indo-Pacific region. U.S. Space Command supported this STRATFI.
Rise8 develops software for military applications. This STRATFI received funding from Space Systems Command.
Umbra builds synthetic aperture radar imaging satellites that create high-resolution images of Earth’s surface day and night, even through cloud cover. The Space Development Agency contributed funding for this STRATFI.
Xona Space is developing a commercial space-based positioning, navigation and timing service through a constellation of low-Earth orbit satellites. This STRATFI received funding from Space Systems Command.
Also on March 8 AFWERX announced a STRATFI award to Castelion, a hypersonic-missile design and manufacturing startup founded by former SpaceX executives. This agreement was funded by AFWERX and the Air Force Research Laboratory.
