Proposed Budget Cuts for U.S. Government Satellite Monitoring Could Lead to Market and IP Opportunities

In July 2025, the U.S. federal government proposed an 84% reduction in funding to the Office of Space Commerce . Some say the move would effectively terminate the agency’s further development of the Traffic Coordination System for Space (TraCSS) . The proposed budget may therefore halt government efforts to implement TraCSS, which is a civilian-led platform (as opposed to military-led) for monitoring satellite activity and mitigating the risk of orbital collisions. The system provides basic space situational awareness (SSA) data and space traffic coordination (STC) services to a handful of commercial operators. A preliminary version of the TraCSS system is provided by the U.S. Department of Commerce .

In response to the proposed budget reduction, 450 companies from seven differe