Latest news with #GoldenDome
Daily Mail
10 hours ago
- Politics
- Daily Mail
US general warns China is winning the military space race
China's space-based military technology is developing 'breathtakingly fast' with US forces at risk of the 'kill chain', Washington has warned. Beijing have been catching up in the arms race to develop missile technology that can be sent from space at a 'very concerning rate', the top commander of the US Space Force (USSF) added. The so-called kill chain - which identifies, tracks and attacks a target - could be used on US and allied forces in the Indo-Pacific as well as 'over-the-horizon' precision strikes, General Stephen Whiting told The Telegraph. The warning comes only a month after Donald Trump unveiled his own plans for a $175 billion 'Golden Dome' defence system which he says will protect the US from the world's most powerful weapons. The integration of space-tech with China's army, navy and air force has made them 'more lethal, more precise and more far-ranging' - and could take the lead from the US in the space-arms race. Earlier this year, the USSF said that China had conducted several synchronised satellite manoeuvres in low Earth orbit, also known as 'dogfighting'. 'They are practicing tactics, techniques, and procedures to do on-orbit space operations from one satellite to another,' General Michael Guetlein, the Deputy Chief of US Space Operations at the USSF, said. He added: 'There used to be a significant capability gap between the United States and our adversaries, driven by our technological advantage. 'That gap, once massive, has narrowed considerably. 'If we don't change our approach to space operations, we risk seeing that gap reverse, putting us at a disadvantage.' China has more than 500 satellites capable of intelligence, surveillance and reconnaissance (ISR), with 67 sent up in the last year alone, the USSF said in 2024. The 'space enabled services' are broken down into three units - a cyberspace army, an aerospace force, and an information support arm. While America have around 8,000 satellites in space compared to China's 1,000 in total, Chinese scientists have also recently developed what is considered the world's most powerful satellite tracking camera. Pictured: Stephen Whiting. The technology is able to take pictures with millimetre level accuracy more than 60 miles away. Chinese satellites are also working towards counter-weapons development that would see other satellites jammed, destroyed or 'spoofed' - which is where the GPS receiver is misled or manipulated. Exerts have previously warned that the US is underprepared for such developments, with the first test done in 2008 where a satellite in space was shot down with a missile on the ground. But the latest developments could redirect drones, disable munitions or missiles and shut down crucial infrastructures. China's long-range weapons that strike with precision 'depend on space' and is how Beijing 'closes its kill chain', the USSF commander of the Indo-Pacific region, Gen Anthony Mastalir, has previously warned. Trump's Golden Dome proposal was 'long overdue' and 'absolutely necessary' amid growing threats from China, North Korea and Russia, experts said at the time. But Beijing warned that the plan to put US weapons into the earth's orbit for the first time 'heightens the risk of space becoming a battlefield, fuels an arms race, and undermines international security.' Meanwhile Moscow called for Washington to make contact regarding the programme - to which Trump said he would do so 'at the right time'.
CNBC
19 hours ago
- Business
- CNBC
Investing in Space: NATO holds out its hand to the commercial space sector
NATO's agreed to open its wallet wider, and space and defense players are likely lining up to benefit. The military coalition's brand-new commercial space strategy adds the cherry on top. Now inked, at the vocal behest of U.S. President Donald Trump, is a pledge to more than double alliance members' defense expenditure from 2% to 5% of their gross domestic product by 2035. Some 3.5% of that funding should be funnelled toward "pure" defense, while the remaining 1.5% should be slated for security-linked infrastructure, such as cyber warfare capabilities and intelligence. Notably, NATO recognized space as one of five "operational" domains alongside air, land, maritime and cyberspace back in 2019. Two years later, it concluded that offensives to, from or within space can be a threat to the alliance and trigger the infamous Article 5 prescribing an attack on one member as an attack on all. Going into the fine print, the military coalition is expected to publish its new Space Doctrine 2026. Whether allies — especially a reluctant Spain — can or will actually meet a 5% target is in the air. Glancing over NATO's numbers, only Poland came anywhere close to allocating that slice of its GDP to defense purposes last year, at 4.12%, while Washington itself devoted only 3.38% of its economic output to that purpose. Across the board, there's ground to cover. In Europe, the writing's been some months on the wall, after the 27-member European Union bloc proposed to mobilize 800 billion euros ($936 billion) for defense spending back in March, while Germany relaxed its fiscal debt rules to facilitate more security-linked purchases. The U.K. started the year with a pledge to hike defense expenditures to 2.5% by April 2027, and Prime Minister Keir Starmer has since rushed to pledge a 5% goal will be hit by 2035. Communication, navigation and surveillance are obvious uses for space capabilities in defense, and that's before you think about taking the war to the stars. Trump's ambitious Golden Dome defense shield — which his administration bills at $75 billion, but some watchers say will cost many times over — already has the likes of Boeing, Lockheed Martin and even European players vying for a piece of the budgetary action. Just recently, satellite imagery provider Planet Labs clinched a seven-figure contract to deliver monitoring and intelligence capabilities to NATO itself. And that's the state of play among defense-geared space businesses before revisiting the controversial topic of whether Elon Musk's Starlink can be successfully dethroned from Ukraine, where it has been facilitating access to internet data and communication for residential and military purposes alike. Russian bombing has devastated local mobile networks over its three-year invasion, making third-party satellite communication services indispensable — but Musk's previously close relationship with a volatile Trump, whose support for Kyiv has been fluid, has raised concerns in Europe over Starlink's long-term reliability. It remains to be seen whether the president and tech billionaire's visceral public showdown will erase these worries among European leaders, who are largely in it to support Kyiv for the long haul. Last we heard, Europe was still pursuing an alternative satellite champion to dislodge the overwhelming reliance on Starlink in Ukraine. France's Eutelsat, which is already supporting government and institutional comms in the embattled eastern European country, has been benefitting from that venture. Since merging with Britain's OneWeb in 2023, the French company commands over 650 OneWeb satellites in Low Earth Orbit (LEO), along with more than 30 geostationary satellites. The company gained a nice vote of confidence last week, when it announced a 1.35-billion-euro capital raise led by the French government — which will become the company's largest shareholder with a 29.99% stake — and other investors, in a bid to boost its LEO capabilities. Shares rallied 31% as a result, building on gains logged after initial speculation that it could step into Starlink's shoes in Ukraine. That's a nice bump from the late-February lows hit in the days after a weaker-than-expected half-year profit report shaped by softer broadcast sales and firm costs. And these kinds of private players are officially not just a fringe consideration for NATO. Just this week, the alliance released its first ever Commercial Space Strategy, stressing three goals – leveraging commercial solutions, ensuring continuous access during peace, crisis or conflict and bolstering coherent relationships with the commercial sector. The end game, ultimately, is to "help commercial partners to better understand NATO's needs, invest and meet necessary security measures, including for cybersecurity, and expand manufacturing capabilities" — many steps short of NATO procuring its own space arsenal, but still a potential boon for private companies dealing with individual member governments.
Yahoo
20 hours ago
- Business
- Yahoo
‘Forefront of the Golden Age': Tuberville says Huntsville could play major role in Golden Dome project
HUNTSVILLE, Ala. (WHNT) — Sen. Tommy Tuberville said he wants to see future defense dollars allocated to Huntsville. Senate Republicans are currently pushing to pass funding for one of the president's biggest defense projects, the Golden Dome, and Tuberville said he believes the Rocket City is primed to play a major role. Decatur Youth Services continues to operate without a permanent home 'Huntsville is a national standard when it comes to defense and national security,' Tuberville said. 'The Senate is proposing nearly $25 billion in a reconciliation package as a down payment to begin construction on this massive project.' In a press conference Thursday, Tuberville said he believes the U.S. strikes on Iranian nuclear sites were successful in setting back the nation's nuclear capabilities, but he did not rule out future military action. 'We cannot allow them to have a nuclear weapon,' Tuberville said. 'If we just set them back a month, what we did was good. Now, going back in there and involving the United States, I don't think we need to do that as we speak, but if need be in the future, we'll let President Trump make that decision.' Tuberville said national security is more important than ever, and he believes Redstone Arsenal is capable of supporting the Golden Dome project. 'As Alabama's voice on the Senate Armed Services Committee, I'm going to keep fighting to keep Alabama at the forefront of President Trump's Golden Age,' Tuberville said. On Thursday, Sen. Katie Britt, along with two other Republicans Senators, introduced a bill to fund the development of the Golden Dome in committee. The legislation is in its earliest form, but it has the support of a number of Republicans and the president. The project would develop new technology, like hypersonic defenses and space-based interceptors. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Express Tribune
20 hours ago
- Business
- Express Tribune
Trump wants more missiles, drones
US President Donald Trump attend a Make America Healthy Again (MAHA) Commission event, in the East Room of the White House in Washington on May 22, 2025. Photo: REUTERS US President Donald Trump wants a pay raise for troops and more high-tech missiles and drones in next year's defense budget, while cutting Navy jobs and buying fewer ships and fighter jets, according to budget materials posted on Wednesday. At $892.6 billion, the defense and national security budget request for fiscal 2026 is flat compared with this year. The budget, which also includes nuclear weapons-related activities carried out by the Department of Energy and increases funding for homeland security, puts Trump's mark on the military by pulling funds away from weaponry and services to fund his priorities. The Pentagon's portion of the national security budget is $848.3 billion. The White House said the funding will be used to deter Chinese aggression in the Indo-Pacific region, and revitalize the US defense industrial base. A senior defense official told reporters on Thursday that at the request of the Pentagon, funding for Trump's marquee but controversial "Golden Dome" missile defense shield was included in a separate budget request and is not part of the latest proposal sent to Congress. In the 2026 budget Trump requested fewer of Lockheed Martin's F-35 jets and only three warships. Procurement of a Virginia-class submarine made by General Dynamics and Huntington Ingalls Industries and 15 other ships are expected to be included in a separate appropriation bill, the Navy said. The budget asks for a 3.8% pay raise for troops, but also trims costs by retiring older weaponry that is more expensive to operate, such as the entire fleet of 162 A-10 Warthogs, which provide air support to frontline troops. Under the plan, the Navy will reduce its civilian employee workforce by 7,286 people. The senior defense official said investments in systems in the bill will enable the Pentagon to pass an audit by the end of 2028. Compared to former President Joe Biden's budget from his last year in office, which had asked for 68 F-35 jets in fiscal 2025, Trump's fiscal 2026 request seeks only 47 of the fighter jets. The budget has already sparked debate in Congress where a draft bill for fiscal-year 2026, currently under consideration by lawmakers in the US House of Representatives, boosts the F-35 purchases to 69, one more than Biden's 2025 request. The Pentagon continues to prioritize purchasing munitions and key weapons systems. The Air Force is continuing its investment in the Joint Air-to-Surface Standoff Missile-Extended Range (JASSM-ER) and the Long-Range Anti-Ship (LRASM) missiles, both of which have ranges that can be helpful in the Pacific where distances are a big factor. The budget also seeks far fewer Precision Strike Missiles, which will replace the Army Tactical Missile (ATACM) used in Ukraine. Lockheed Martin makes all three missiles. The budget boosts spending on small drones — in part because of lessons learned during Russia's war in Ukraine, where unmanned aircraft have proven to be an integral part of low-cost, yet highly effective fighting.
Yahoo
a day ago
- Business
- Yahoo
Leidos vs. RTX: Which Defense Tech Stock Is Poised for Stronger Growth?
Over the last decade, global defense priorities have shifted toward digital warfare, integrated networks and AI-powered intelligence systems. Consequently, investor attention has shifted to defense technology stocks like Leidos Holdings LDOS and RTX Corp. RTX, which, despite their differing core business models, are increasingly converging in areas such as cybersecurity and digital defense. While Leidos operates as a leading government IT and engineering services provider, specializing in cybersecurity, surveillance, logistics and data analytics, RTX is a defense manufacturing powerhouse, delivering advanced physical systems, such as missile defense, hypersonics, radar and avionics, in addition to transformative technologies. Notably, RTX's BBN, business division, known for its work in areas like networking, cybersecurity and artificial intelligence, has a long history of innovation, including contributions to the development of the first email. As digital and physical defense increasingly intersect with the accelerating defense tech race amid the rising complexity of modern warfare, an investor might be left with the question: Which stock offers stronger, more sustainable upside in 2025? Let's delve deeper into their fundamentals to get that answer. At the end of the first quarter of 2025, Leidos Holdings' cash and cash equivalents totaled $0.84 billion, while its current debt amounted to $0.12 billion. So, it would be safe to conclude that LDOS holds a strong solvency position in the near term, which should enable it to continue investing in its AI-powered cybersecurity solutions for defense, intelligence and homeland security. It also provides the company with the financial flexibility to pursue strategic acquisitions, such as its recent purchase of Kudu Dynamics, to support future growth. Such a solid financial position has also enabled LDOS to reward its shareholders with dividends worth $53 million. Leidos also purchased shares worth $528 million on the open market in the first quarter, reflecting a solid year-over-year increase of 188.5%. As of March 31, 2025, RTX's cash and cash equivalents totaled $5.16 billion, while its current debt of $3.06 billion remained well below the cash reserve. This reflects a solid solvency position for RTX over the short term, which should enable it to continue investing in innovative technologies like hypersonics, counter-hypersonics, next-generation radars and sensors within the aerospace-defense industry. Such a solid financial position must have enabled RTX to repurchase shares worth $50 million in the first quarter. From the perspective of growth drivers, the expansionary U.S. defense budget stands out as a major catalyst for both Leidos Holdings and RTX. The proposed 13% hike in the U.S. defense budget for fiscal 2026, including a significant investment for the development and deployment of a Golden Dome, a next-generation missile defense shield that would protect the United States from missile threats coming from any adversary, raises hope for both these stocks. Notably, LDOS believes that it is well-positioned to contribute meaningfully to the Golden Dome mission with its next-generation sensor and missile defense capabilities like those used recently in the defense of Guam. On the other hand, RTX enjoys a long-standing collaboration with Rafael Advanced Defense Systems on Israel's Iron Dome, which inspired the Golden Dome concept. Another growth catalyst benefiting both Leidos and RTX is rapidly growing commercial air travel. Notably, Leidos' aviation solutions are integral to global air traffic management, supporting operations in 60% of the world's air traffic and 80% of oceanic airspace. On the other hand, RTX's Pratt & Whitney unit is a renowned jet engine manufacturer, with its GTF (Geared Turbofan) engines currently being the most fuel-efficient engines for the single aisle market. Its Collins Aerospace unit has been manufacturing aerostructures and cabin interiors for commercial jets for many years now. The company also serves the commercial aircraft aftermarket industry. Beyond defense and commercial aerospace, Leidos benefits from a highly diversified portfolio that spans sectors such as healthcare, energy, commercial aviation, space and advanced scientific research. This broad industry exposure helps reduce reliance on any single market and creates multiple revenue streams, enhancing the stock's stability and long-term growth potential. RTX also has a prominent presence in the space industry, with its Raytheon unit providing end-to-end space solutions – from ground control systems to on-orbit sensors. Despite strong demand and long-term growth prospects, manufacturers like Leidos and RTX continue to grapple with persistent supply-chain and labor challenges. Global shortages of critical materials, such as semiconductors and rare earth elements, remain a significant hurdle, exacerbated by heavy dependence on key suppliers like China and Russia. These issues, which intensified during the pandemic, have been further strained by ongoing geopolitical tensions, increasing raw material costs and causing delays in the production and delivery of defense systems. Adding to this pressure, the U.S. government has introduced broad tariffs on major trading partners. As both LDOS and RTX depend on other nations for the supply of raw materials for their products, such policies could disrupt already fragile global supply chains and further inflate their operational expenses. Labor shortages pose another major threat. According to the 2024 AIA-PwC "On the Horizon" Workforce Study, the aerospace-defense sector faces a 13% attrition rate, well above the U.S. average of 3.8%, driven by retirements and high turnover. This talent gap could affect production timelines and quality control, particularly in specialized areas like aviation systems and advanced technologies. In the near term, these headwinds may limit operational efficiency and weigh on profitability for both companies. The Zacks Consensus Estimate for Leidos' 2025 sales implies a year-over-year rise of 2.7%, and the same for its earnings suggests growth of 4.8%. The consensus estimate for 2026 also reflects a similar improvement. The stock's annual bottom-line estimates have shown an upward trend over the past 60 days. Image Source: Zacks Investment Research The Zacks Consensus Estimate for RTX's 2025 sales and earnings implies a year-over-year rise of 4.2% each. The consensus estimate for 2026 also reflects a similar improvement. The stock's annual bottom-line estimates have, however, shown a downward trend over the past 60 days. Image Source: Zacks Investment Research LDOS (up 13.5%) has outperformed RTX (up 6%) over the past three months but has underperformed in the past year. Shares of RTX have surged 40.5%, while those of LDOS have risen 4.6% in the past year. Image Source: Zacks Investment Research LDOS is trading at a forward earnings multiple of 13.95X, below RTX's 22.32X. Image Source: Zacks Investment Research The image below shows that LDOS's Return on Equity ('ROE') came in higher than that of RTX. This indicates that Leidos is generating greater profit than shareholder equity, reflecting more efficient capital utilization. Image Source: Zacks Investment Research Both Leidos and RTX offer distinct yet increasingly overlapping investment propositions in today's evolving defense landscape. Leidos stands out for its strategic focus on AI-powered cybersecurity, surveillance and aviation systems, while its exposure to diversified end-markets provides resilience and multi-stream revenue growth. Meanwhile, RTX, with industry-leading technologies in missile defense, hypersonics, and jet engines, and a long legacy in advanced digital capabilities (through its BBN unit), is well-positioned to support modern warfare's physical and digital demands. While the Zacks Consensus Estimate shows stronger top-line growth for RTX in 2025, Leidos scores higher on profitability metrics like Return on Equity and trades at a more attractive valuation. Its recent stock performance and upward-trending earnings revisions further validate investor confidence. For those seeking a forward-looking defense tech stock with diversified growth and capital efficiency, Leidos stands out as the smarter, more resilient stock in today's fast-evolving security landscape. LDOS carries a Zacks Rank #3 (Hold) at present, while RTX has a Zacks Rank #4 (Sell). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Leidos Holdings, Inc. (LDOS) : Free Stock Analysis Report RTX Corporation (RTX) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
