WASHINGTON — The U.S. Space Force awarded All Points Logistics a $250 million contract to expand satellite processing capacity at Vandenberg Space Force Base, California.

The award, announced July 29, calls for additional spacecraft processing capacity — facilities where satellites are prepared for launch — to be available at Vandenberg by 2029.

All Points is the third company to receive a contract under a Commercial Solutions Opening, or CSO, initiative to expand satellite processing capacity. The award is more than three times the size of the previous two contracts, making it the largest issued so far under the program.

The Space Force is investing in additional capacity as the Pentagon prepares to launch more missile-warning, communications, navigation and intelligence satellites, while commercial operators place greater demands on the launch ranges at Vandenberg and Cape Canaveral Space Force Station in Florida.

Satellite processing operations can require specialized clean rooms, high bays, hazardous-fueling areas, security systems and equipment for handling sensitive spacecraft. Limited access to such facilities can delay missions even when rockets and launch pads are available.

“The current and future operating environments rely on a launch enterprise that can scale the infrastructure and processes necessary for responsive and reliable launch capabilities,” Col. Dan Highlander, director of operations integration under the Space Force’s acquisition office for space access, said in a statement.

The All Points award follows a $77.5 million contract issued to Astrotech Space Operations in April 2025 to expand processing capacity at Vandenberg and a $78.25 million award to Blue Origin in October 2025 for additional capacity at Cape Canaveral.

Satellite processing creating bottlenecks

Payload processing has drawn greater attention as launch activity increases on both U.S. coasts. The Space Force has said inadequate spaceport infrastructure could constrain efforts to shorten launch campaigns and accommodate missions carrying multiple satellites.

Vandenberg is the principal U.S. launch site for missions headed to polar and sun-synchronous orbits, making it important for military reconnaissance, weather and missile-tracking satellites as well as commercial constellations. Demand at the base has increased as SpaceX and other launch providers expand their operations.

All Points is a government contractor focused on engineering, information technology and technical support for space and defense programs. The company in April announced an agreement with NASA to lease 64 acres at Kennedy Space Center for a privately financed complex that would include a 266,000-square-foot logistics center and a 275,000-square-foot spacecraft-processing facility.