The Australian Department of Defence has opted to discontinue its ongoing procurement activities with Lockheed Martin for a single orbit Geostationary Earth Orbit (GEO)-based satellite communications system.  

Australian Defence Force (ADF) has stated that the current satellite communications capabilities suffice for immediate organisational needs. 

The latest cancellation will allow for a focus on emerging requirements and mitigation of capability gaps.  

ADF stated that: “In 2021, Defence went out to tender for a Defence owned and operated Geostationary Earth Orbit (GEO) satellite communications system.” 

“With the acceleration in space technologies and evolving threats in space since the project’s commencement, Defence has assessed that a single orbit GEO-based satellite communications system would not meet strategic priorities.” 

The JP9102 project, awarded to Lockheed Martin Australia last year, was set to deliver the nation’s first sovereign-controlled satellite communication system over the Indo-Pacific regions.  

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The company had outperformed competitors such as Airbus, Northrop Grumman, and Optus to secure the deal. 

Lockheed Martin’s design for the JP9102 solution incorporates several guiding principles, including sovereignty, agility, and flexibility. It aimed to enhance resilience against a growing range of counter-space threats, acknowledging the changing nature of space as a contested domain. This involved developing a satellite constellation that is equipped to endure anti-satellite measures, which may involve electronic warfare tactics, direct-ascent missiles, and co-orbital operations. 

A Lockheed spokesperson said: “Lockheed Martin will continue to support the Commonwealth to meet its strategic needs and is proud to be partnering with the Australian Defence Force on many ongoing programmes.” 

In a radio interview with the Australian Broadcasting Corporation, Prime Minister Anthony Albanese emphasised that despite an increasing defence budget, the government is carefully prioritising its acquisitions.  

Furthermore, the Defence Department has confirmed plans to invest between A$9bn to A$12bn ($5.94bn – $7.92bn) to develop advanced space capabilities. 

In October 2024, Lockheed Martin was awarded a contract to develop the Gen 3 radar frequency interferometer (RFI) / radar warning receiver (RWR) APR-48B system for the US Army’s Apache helicopter fleet.