# DARPA Awards Redwire $20M VLEO Contract

On November 5, 2026, DARPA awarded Redwire an additional $20 million under its Otter program for a second precursor flight using a scaled SabreSat spacecraft to test air-breathing propulsion in very low Earth orbit (VLEO). The flight is targeted for late 2027 and is intended to collect in-orbit data and reduce risk ahead of a full-scale demonstration. Combined with Redwire’s $44 million Otter Phase 2 award announced in November 2025, the reported Otter awards total $64 million. This is research and development work, not an operational deployment, and the signals identify no open solicitation or specific subcontracting opportunity.

- The awards indicate continued federal investment in VLEO spacecraft and propulsion research. Contractors with relevant spacecraft, propulsion, digital engineering, or mission-support capabilities can evaluate their fit for future work, while recognizing that no specific follow-on solicitation is identified.
- The additional precursor flight is intended to reduce technical risk before a full-scale demonstration; companies assessing the market should distinguish this R&D activity from operational procurement.
- Redwire is also identified as prime contractor for ESA’s Skimsat effort. Cross-border work related to that effort is subject to applicable laws and export-control requirements.

**Jurisdictions:** federal
**Industries:** Defense & Military
**Published:** November 05, 2026

### Government Entities
- Defense Advanced Research Projects Agency (DARPA)
- European Space Agency (ESA)
- U.S. Department of Defense (DoD)

### Vendors
- Redwire (Awardee on DARPA Otter awards; prime contractor for ESA’s Skimsat mission)

### Sources
- [Redwire Wins $20M DARPA Contract for Second VLEO Demo](https://payloadspace.com/redwire-wins-20m-darpa-contract-for-second-vleo-demo) - Payload Space
- [Redwire ($RDW) won a $20M DARPA contract for additional Otter VLEO flight testing, adding a second flight with a scaled SabreSat. Combined with the $44M Phase 2 award: $64M. R&D work.

https://t.co/hxHtRe6T8h](https://x.com/PrismDM/status/2118420301683794031) - twitter-defense
- [Redwire gets a second shot at very low Earth orbit.

@DARPA added a $20M award for a scaled SabreSat precursor flight under Otter (air-breathing VLEO tech), on top of the $44M Phase 2 deal from Nov 2025. $64M total.

$RDW hub: https://t.co/9CACaYmCZq](https://x.com/theSpacecyborg/status/2118408953449304551) - twitter-defense