US President Donald Trump on Tuesday announced the selection of a design for the $175-billion Golden Dome missile defense shield, an ambitious initiative aimed at countering threats from China and Russia. At a White House press conference, Trump also named US Space Force General Michael Guetlein as the program's lead, according to news agency Reuters.
Trump confirmed that $25 billion would be set aside initially for the project, which is part of his proposed “One Big Beautiful Bill” on tax, which is still awaiting congressional approval. He added that the program is projected to cost up to $175 billion over time.
“Included in the One, Big, Beautiful Bill, this project aims to ensure American security. Congress must pass the bill and send it to the President’s desk,” a White House statement said.
Israel inspiration
Modelled in part after Israel’s Iron Dome—deployed since 2011 to defend against rocket attacks—the Golden Dome will be significantly larger and designed to neutralise a broader array of threats. These include hypersonic missiles and fractional orbital bombardment systems (Fobs), which can deliver warheads from orbit.
“All of them will be knocked out of the air,” Trump declared. "The success rate is very close to 100%.”
The Golden Dome, a satellite-based missile detection and interception system, was initially ordered by Trump just days after returning to the Oval Office in January for his second term.
The system would comprise a vast network of satellites to detect, track and potentially neutralise incoming missiles. Trump drew parallels to former President Ronald Reagan’s Strategic Defense Initiative, commonly known as “Star Wars.” “Ronald Reagan wanted it many years ago, but they didn't have the technology,” Trump said.
International interest
Trump described it as central to his military strategy, saying it would “protect our homeland,” and noted that Canada had expressed interest in participating.
According to a BBC report, former Canadian defence minister Bill Blair, during an earlier visit to Washington, confirmed Canada's enthusiasm for the project, stating it “makes sense” and aligns with Canada's “national interest.” Blair added, “Canada has to know what's going on in the region” and emphasised the importance of being alert to threats, especially in the Arctic.
Current defenses deemed insufficient
US officials have expressed concern that current missile defense capabilities are outdated and unable to contend with the increasingly advanced weaponry being developed by potential adversaries, according to a BBC report.
Defense analysts have long cautioned that US missile defenses are lagging behind new innovations from adversaries such as Russia and China.
“There really is no current system,” Trump said during Tuesday's address. “We have certain areas of missiles and certain missile defence, but there is no system... there has never been anything like this.”
A recent Defense Intelligence Agency report warned that missile threats will continue to grow in scale and sophistication, with China and Russia specifically engineering capabilities designed “to exploit gaps” in US defenses.
Funding a significant hurdle
Despite Trump's claim that the system will be completed by the end of his term in January 2029, defense experts voiced scepticism. The program faces significant political scrutiny and uncertain funding prospects.
“The new datapoint is the $175 billion – but the question remains, over what period of time. It’s probably 10 years,” said Tom Karako of the Center for Strategic and International Studies. He added that US software expertise and existing missile defense infrastructure could help accelerate development.
Senator Kevin Cramer of North Dakota emphasised the shift toward software-driven defense: “The new autonomous space-age defense ecosystem is more about Silicon Valley than it is about ‘big metal,’” he said. “So what’s exciting about this is it makes it available to everybody to participate – to compete.”
The Congressional Budget Office (CBO) recently estimated the total cost of Golden Dome could reach up to $831 billion over the next two decades.
Republican lawmakers have proposed an initial $25 billion for the program as part of a broader $150 billion defense package. However, the funding is tied to a reconciliation bill facing stiff opposition in Congress.
“Unless reconciliation passes, the funds for Golden Dome may not materialise,” said one industry executive familiar with the program. “This puts the entire project timeline in jeopardy.”
A larger, more advanced version of Israel’s Iron Dome
Trump modeled the Golden Dome after Israel’s Iron Dome but on a much grander scale. The planned system includes a wide array of surveillance satellites and a dedicated fleet of satellites equipped to intercept and destroy hostile missiles shortly after launch.
With Tuesday's announcement, the Pentagon will begin evaluating and acquiring the required missiles, satellites, sensors and systems to operationalise Golden Dome.
Trump highlighted several states that will benefit from the program, including Alaska, Florida, Georgia and Indiana. L3Harris has already invested $150 million in expanding its Fort Wayne, Indiana, facility, where it produces Hypersonic and Ballistic Tracking Space Sensor satellites. These sensors, designed to track advanced missile threats, could be repurposed for Golden Dome.
Musk's SpaceX emerges as frontrunners for ‘Golden Dome’ project
Democratic lawmakers have raised concerns about the transparency of the procurement process and the involvement of Trump ally Elon Musk’s SpaceX, which is reportedly among the frontrunners for key contracts. Other potential contributors include Palantir, Anduril, L3Harris Technologies, Lockheed Martin and RTX Corp.
The project aims to build a satellite network to detect and track missiles, with a second layer of armed satellites to intercept threats—though SpaceX is not expected to handle weaponisation, reports Reuters.
The plan includes a controversial “subscription model,” where the government pays for access rather than owning the system outright—raising concerns within the Pentagon over long-term costs and control.
While over 180 companies are vying for roles in the project, SpaceX's existing satellite infrastructure and rapid deployment capabilities give it an edge. The firm is targeting the “custody layer”—a satellite network estimated to cost $6–10 billion—to detect and track missile threats.
The Pentagon’s decision is still in early stages, and traditional defense giants like Boeing and Lockheed Martin are also competing. Experts estimate the overall Golden Dome project could cost hundreds of billions, with early deployments slated for 2026. Despite its momentum, skeptics question whether Musk’s tech consortium can deliver a secure, scalable defense system.