The United States Space Command headquarters will relocate from its temporary location in Colorado Springs, CO, to Huntsville, AL. However, the Centennial State continues to attract businesses in the aerospace and defense sectors.
“Keeping Space Command in Colorado is what’s best for national security, but the president made this decision,” Colorado Governor Jared Polis said in a statement. “Colorado is home to one of the strongest aerospace and defense industries in the country, and I know that it will only continue to grow stronger – creating more jobs and economic growth for Coloradans.”
Softening the Blow
Congressional lawmakers have also sought to soften the loss with other investments in the state.
“This marks a significant improvement from the original projection and a positive outcome for our state. Further, important operational elements of Space Command will remain in Colorado Springs, preserving much of the economic driver for our region,” Colorado’s Republican Reps. Jeff Crank, Lauren Boebert, Gabe Evans, and Jeff Hurd said in a statement last week.
Space Command’s move could cost Colorado jobs, but the lawmakers said they expected to see a loss of around 1,000 positions, rather than the originally projected 1,700. Moreover, the move will take years to complete, and during the time, the Department of Defense’s presence within the state could further expand. The United States Space Force, the sixth and newest branch of the U.S. military, will continue to have a significant presence in Colorado, which could help offset any losses when Space Command finally relocates to Rocket City.
“It’s unfortunate to see Space Command go, but we will still have a presence in Colorado,” said Rep. Boebert. “A lot of Golden Dome opportunities there. The majority of Space Force is in Colorado, and that’s going to continue to grow. We’re not losing our defense and aerospace industries. I believe that there’s still many more opportunities for that, and we will continue to fight for more missions.”
Businesses Are Staying Put and Expanding
Many aerospace and defense-related businesses have deep roots in Colorado, and that is unlikely to change, even when Space Command relocates.
That has included Colorado Springs-based Mobuis, a woman-owned small business (WOSB) that provides engineering, analytical, and programmatic expertise, specializing in space and missile defense. It announced just days after the news that Space Command was moving that it would hire 75 additional workers, with average salaries of $137,000, doubling the average for El Paso County.
“Colorado Springs offers a strategic location and vibrant ecosystem that aligns perfectly with our mission and future vision,” Mobius CEO Melanie Privitera told Colorado Public Radio.
Other companies are assessing the situation.
Houston-headquartered KBR has 650 employees in Colorado Springs. The company stated in a press release that not all of its work is related to Space Command and that the majority of its work won’t be affected. It has a significant presence at Peterson Space Force Base (SFB) and Schriever SFB, which is separate from Space Command.
In September 2022, Virginia-based Aerospace Corp. opened its $100 million, 90,000-square-foot Space Warfighting Center at the Colorado Springs Airport’s Peak Innovation Park, which doubled its workforce in the Centennial State. It also has a presence at Buckley SFB in Aurora, as well as at Peterson SFB and Schriever SFB in El Paso County.
Nook, which provides classified spaces as a service to the government, will expand its footprint in Huntsville when Space Command relocates, but has already increased its operations in Colorado Springs by opening a 60,000-square-foot facility near the University of Colorado Colorado Springs (UCCS).
A Nook company spokesperson told The Colorado Gazette that its commitment to Colorado Springs was “unwavering” and that it was “exploring further local expansion to support the significant and ongoing demand from the local defense community.”
Not Leaving the Hometown
Multiple hometown businesses aren’t about to pull up stakes from Colorado Springs; instead, they see future growth opportunities.
Auria works directly with operational units, so the Space Command move isn’t impacting its operations. It previously announced plans in 2023 to create 620 jobs over eight years, and those plans haven’t changed. In fact, it received multiple Space Force contracts, including one in May with U.S. Space Force Systems Command valued at $8.1 million. It is one of the two firms building a cloud-based Joint Antenna Marketplace prototype that could connect satellite operations centers with commercial and government antennas.
Infinity Systems Engineering also announced plans in 2023 to expand its workforce by nearly 500 people. The company, which has contracts with the Pentagon and other contractors, received $4.26 million in state tax credits, contingent upon the creation of new jobs. It doesn’t expect the Space Command move to Huntsville to impact its operations directly.
Another hometown enterprise, ITS (Infinity Technology Services), announced in July that it would invest $7 million in the local community and aim to create 500 jobs over the next eight years. It supports nearly three dozen DoD and federal programs globally.
