"A prime example of our budgetary challenges is this fiscal year's budget, which should have been operational on October 1, 2023. Instead, it was only approved this March, fully six months late," Kendall remarked. This delay has significant strategic implications, as Kendall explained, "Better late than never is a truism, but let me put this in context. By delaying the budget for six months, we gave up half a year of modernization lead time. Over the last 15 years, we have given up five years, a third of the available time, while we operated under continuing resolutions and waited for new funding to arrive. It's tough to win a race when you give the adversary such an advantage."
The urgency and critical nature of maintaining space superiority were central themes of Kendall's address. He noted that the challenges are particularly acute for the military services, but they are especially pertinent for the realm of space, which is rapidly evolving and becoming increasingly contested. This domain is now recognized as a critically important aspect of national security and is considered a frontline in modern warfare.
This recognition is not unilateral but is particularly acknowledged by global competitors such as China and Russia. "When one considers publicly available information on space order of battle alone, it is possible, based on sheer numbers alone, to argue that China has achieved space superiority," Kendall stated. He elaborated on the capabilities of China, noting that as of January 2024, China had more than 900 satellites in orbit, with over half possessing intelligence, surveillance, and reconnaissance capabilities capable of detecting critical U.S. assets such as aircraft carriers and expeditionary forces.
Furthermore, Kendall highlighted the growing capabilities of these nations in enhancing their long-range precision strike abilities against U.S. and allied forces. "Russia may not be the pacing challenge, but neither can it be ignored. Russia's unprovoked aggression in Ukraine has highlighted this acute threat, and Putin has communicated his willingness to target space-based and dual-use capabilities," he added.
Amid these strategic concerns, Kendall reaffirmed that his primary priority remains the modernization of the U.S. space capabilities. However, he admitted that the financial constraints posed by tight budgets-even when approved on time-make it challenging to prioritize modernization while remaining within financial limits. This challenge is particularly stark for the Space Force, which devotes 60% of its budget to research and development, leaving less leeway to adjust other spending areas.
"In the Air Force, we reduced procurement of both F-35 and F-15E/X and other programs. We took our foundational accounts, those focused on sustainment, readiness, and maintenance, to the lowest levels we deemed acceptable so we could maintain a long-term modernization focus," Kendall explained. He contrasted this with the Space Force, which, due to its smaller size and specialized focus, has much less flexibility to find budget offsets that could free up funds for pressing priorities.
However, recent legislative changes have offered some respite. "Last week, the Department of the Air Force received approval from the Secretary of Defense to initiate two programs under the new 'Quick Start' authority," Kendall revealed. These programs, which he said relate to new urgently needed space-related capabilities, mark a significant advancement in the United States' strategic capabilities in space.
Kendall also discussed another initiative aimed at reorienting the service to better operate in an era defined by Great Power Competition. This effort involves creating new integrated organizations focused on future capability development, such as the recently announced Space Futures Command. This new command will develop and validate concepts, conduct experimentation and wargames, and perform mission area design, which is crucial for maintaining a competitive edge in space.
Kendall's remarks were not just a reflection of current challenges but also a forward-looking strategy that emphasizes the essential role of space in not only military but also economic terms. He concluded by underscoring the potential consequences of failing to maintain space superiority. "The first shot may well be fired in space, and space may be the decisive domain, but there are almost certainly going to be terrestrial geopolitical stakes at risk, and the joint, and likely a combined force will be called upon to achieve victory together," he said.
Kendall's message was clear: the joint force's success depends on robust support from space capabilities, and the United States must ensure it does not allow adversaries to operate in this domain with impunity.
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