The Space Force is considering 12 to 13 Space Exchange Point satellites to translate between incompatible laser-communications systems on SpaceX’s planned Space Data Network Backbone and missile-warning constellations, Breaking Defense reports. Sources cited by the publication estimated the proposed satellites at $12 million to $14 million each and described the requirement as roughly $1 billion in new funding, although the service has not publicly confirmed the program’s quantity or cost.

The proposed SEPs would address a compatibility gap between SpaceX’s proprietary Plaser optical terminals and the different terminals being developed for the Space Development Agency’s Tracking Layer and Space Systems Command’s resilient missile-warning and tracking satellites. Breaking Defense reports that the Space Force is evaluating interoperability between the low-Earth-orbit and medium-Earth-orbit systems. The article also says alternatives could include equipping translator satellites with multiple terminal types or adopting a newer optical waveform standard, rather than relying solely on the SEP approach.

This is not the same as the already awarded SDN Backbone contract. Space Systems Command awarded SpaceX a $2.29 billion contract for the backbone, which is intended to provide data transport across the joint force, Air & Space Forces Magazine reported. That contract calls for a fully operational prototype capability by the end of 2027, but the publication said SSC had not disclosed whether the prototype would use newly launched satellites or existing spacecraft, or how many satellites it would include.

The fetched reporting documents a SpaceX backbone award and a proposed compatibility solution, not a completed SEP acquisition or delivery schedule. The two efforts therefore remain distinct: the backbone has a reported contract value and prototype deadline, while the translator-satellite requirement remains under consideration with its funding and final configuration unresolved.