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Satellite imagery firms escalate warnings over budget cuts

Space News by Space News
Jun 25, 2025 4:34 pm EDT
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WASHINGTON — U.S. satellite imagery providers are intensifying their warnings over proposed cuts to the National Reconnaissance Office’s (NRO) commercial imagery budget, arguing that the reductions — now moving closer to congressional review — pose growing risks to national security and the domestic space industry’s viability.

Speaking at a SpaceNews virtual forum June 25, executives said the potential cuts are not only disruptive, but out of sync with the administration’s expressed support for a more competitive commercial space sector.

“The rhetoric from the Trump administration is that they want to put commercial firms in a position where they can be more competitive and bring down cost, whereas the actual actions that were taken on the budget proposal seem to be at odds with that,” said Scot Currie, vice president of geospatial solutions at BlackSky.

“That has had us a little bit concerned,” he said.

At issue is the Trump administration’s proposal to cut roughly $130 million from the NRO’s commercial imagery procurement budget for fiscal 2026 — a 30% reduction from the previous forecast. The proposal would also eliminate funding for synthetic aperture radar (SAR) imagery, a technology prized for its ability to image through clouds and at night.

While the possibility of budget reductions has been known for a few months, satellite executives are now sharpening their messaging as the window for congressional intervention narrows. 

In recent weeks, industry leaders have submitted letters to key committees warning of cascading consequences for innovation, security, and U.S. leadership in space-based intelligence.

The Commercial Spaceflight Federation in a letter this week urged lawmakers to restore the full funding for commercial imagery and allocate an additional $83 million to the Space Systems Command’s Commercial Space Office. That office helps procure commercial satellite data for military…

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SpaceNews is a print and digital publication that covers business and political news in the space and satellite industry. SpaceNews provides news, commentary and analysis to an audience of government officials, politicians and executives within the space industry.

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