Shares of Viasat Inc (NASDAQ:VSAT) rose 1.7% in premarket trading Thursday after the company disclosed it had been awarded a prime contract by the U.S. Space Force to construct and launch satellites as part of the Protected Tactical SATCOM-Global (PTS-G) program.
The contract advances Viasat's mini-GEO dual X/Ka-band satellite system into production for the Space Force's Space Systems Command. Under the terms of the multi-year Swarm 1 Delivery Order, Viasat's Space and Mission Systems organization will build, launch and deliver the first satellite in a planned fleet of small, maneuverable geosynchronous Earth orbit satellites intended for military communications.
Specifically, the award requires Viasat to produce and deliver a dual-band X/Ka-band mini-GEO satellite and to provide associated ground stations and operations support. The delivery order also covers five years of operations and sustainment services, explicitly including tracking, telemetry and command, satellite and network operations, and cybersecurity requirements.
The PTS-G program itself is structured as an Indefinite Delivery Indefinite Quantity effort with a ceiling value of $4 billion across all program awardees. The Space Force has positioned the initiative as a central element of its plan to field a proliferated constellation of agile geostationary satellites that offer secure, anti-jam communications capabilities.
This recent award follows Viasat's completion of the Delivery Order 1 phase, awarded in 2025, during which the company developed a system design for a low size, weight and power GEO satellite and the related ground architecture. The company intends to leverage technology developed for its ViaSat-3 fleet in the architecture for the contract satellites.
Viasat's production and delivery schedule for the dual-band satellite system is intended to support meeting initial operating capability no earlier than 2029. The contract therefore spans both hardware production and a sustained operational window under which Viasat will be responsible for operational and cybersecurity functions tied to the satellite and network operations.
Market reaction: The premarket rise in Viasat shares followed the announcement of the prime award and the move of its mini-GEO design into production under the Swarm 1 Delivery Order.
Program context: The PTS-G program's IDIQ ceiling and the Space Force's objective to field a proliferated agile GEO constellation frame this contract as part of a broader push to enhance protected, anti-jam tactical SATCOM capabilities.