Final week, new data leaked about one thing Trump spent loads of time speaking about throughout his marketing campaign…
An enormous house undertaking that might change the way forward for protection.
Establishing this “Golden Dome” turned certainly one of Trump’s first official acts after he returned to the White Home.
And it appears to be a giant precedence for the administration.
At present, we’re going to take a more in-depth take a look at this undertaking as a result of there’s so much right here to unpack.
And if issues play out like I imagine they may….
Trump’s Golden Dome might ignite one other house race just like the one we skilled through the Chilly Warfare.
What Is the Golden Dome?
On January 27, 2025, Trump signed an government order directing the army to start development of a next-generation missile protection defend for the USA….
What’s now often known as Trump’s “Golden Dome.”
This government order authorizes the U.S. to construct a community of a whole bunch — probably greater than 1,000 — satellites that might circle the Earth to identify and shoot down incoming missiles earlier than they attain American soil.
A few of these satellites could be armed with lasers or high-speed missiles. Others could be in control of monitoring threats in actual time.
And I’ve to confess, it sounds fairly cool. It jogs my memory of Reagan’s “Star Wars” missile protection program that by no means received constructed.
However this sort of futuristic protection system gained’t come low cost.
In accordance with sources near SpaceX, simply the early work of designing and launching the satellites might hit as much as $10 billion.
And that’s solely scratching the floor of how a lot this Golden Dome undertaking might finally price.
The total program would possibly find yourself requiring the U.S. authorities to spend a whole bunch of billions of {dollars} by the point it’s up and working.
And that’s the place issues get just a little janky.
As a result of this isn’t simply going to be a authorities undertaking. It’s anticipated to be a partnership between the Pentagon and personal tech firms.
In accordance with current information leaks, Elon Musk’s SpaceX is the frontrunner to guide the satellite tv for pc launches.
Palantir would apparently work on software program that might monitor threats in real-time.
And Anduril, a startup targeted on autonomous weapons, is perhaps constructing the precise orbital interceptors. These are the satellites that will probably be armed with lasers or missiles.
I’ve blended emotions about this plan.
On the plus facet, a partnership with non-public firms ought to pace up the undertaking’s deployment.
For a program like this, I would really like the federal government to function extra like Silicon Valley than its typical Washington, D.C paperwork.
However I’m involved that this partnership would give non-public firms an excessive amount of management over U.S. protection.
And it’s significantly regarding when you perceive how the undertaking is anticipated to be arrange.
As a substitute of the U.S. proudly owning every little thing, SpaceX needs to promote entry to the system like a subscription service. Consider it like Netflix for missile protection.
That appears extraordinarily dangerous to me.
If the U.S. doesn’t totally personal the tech, it might get locked into long-term funds with out full management over how the undertaking is run.
This might result in a state of affairs the place nationwide protection choices are dictated by company pursuits.
For instance, what occurs if there’s a disagreement between the U.S. authorities and an organization like SpaceX about who will get entry to this technique or the way it’s used?
Or what if SpaceX decides to hike the worth or restrict capabilities to sure areas?
It’s not onerous to think about a future the place Congress is caught debating subscription charges whereas missiles are already within the air.
However there’s one other side of this “Golden Dome” undertaking that few individuals are speaking about.
I imagine the Golden Dome is about to ignite a brand new house race.
And that’s each extremely regarding resulting from its world implications…
And extremely thrilling for the chance it presents to traders.
Area Race 2.0
If the U.S. begins placing weapons in house, different international locations are going to note.
China and Russia are already nervous about U.S. house energy. In truth, Russia has referred to as the Golden Dome a menace.
Each international locations are working to construct on their very own hypersonic missiles, that are designed to sneak previous conventional protection programs.
If the U.S. all of the sudden rolls out a system that may detect and destroy these missiles from orbit, it’s fairly straightforward to foretell what’s going to occur subsequent…
China and Russia will begin constructing their very own house programs.
Frankly, I count on China is already planning to construct its personal world satellite tv for pc protection system. And so they’re most likely already engaged on anti-satellite weapons to knock U.S. satellites out of the sky.
And if we do construct the Golden Dome, it’s nearly sure that a few of our allies will need to plug into it to remain protected.
If NATO international locations take part, that might drive international locations like Iran or North Korea to select sides too.
That’s the domino impact that might trigger the Golden Dome to ignite a second house race.
In any case, we’ve seen this similar sample play out earlier than.
Again within the Chilly Warfare, the U.S. and Soviet Union rushed to construct up their house packages.
When the Soviets launched Sputnik, the U.S. answered with Apollo.
In 1971, the Soviets launched the world’s first house station, Salyut 1.
And the U.S. responded with Skylab simply two years later.
At present’s model of this escalation is perhaps SpaceX versus China’s state-run satellite tv for pc builders like CASIC.
However this time it’s not simply going to be about pleasure or science.
It’ll be about world dominance.
Right here’s My Take
Worldwide treaties ban weapons of mass destruction in house, however the Golden Dome isn’t fairly that.
Nonetheless, it’s shut sufficient to trigger main arguments on the U.N.
Meaning there will probably be some hills to climb earlier than this undertaking will get off the bottom.
However I imagine it’s more likely to go ahead.
If it does, the total model of the Golden Dome could possibly be up and working as quickly as 2030. Some components would possibly even go reside as quickly as subsequent 12 months.
In the meantime, over 180 different firms have expressed curiosity in serving to construct it right this moment.
And I’m not simply speaking about conventional military-industrial giants like Raytheon and Lockheed Martin.
That’s why some are saying this could possibly be the second Silicon Valley lastly breaks into big-league protection.
It may be a boon for traders.
As a result of if the U.S. goes all-in on the Golden Dome and different international locations are compelled to react, it means a ton of cash will probably be poured into rocket launches, satellite tv for pc monitoring and house weapons.
In different phrases, the Golden Dome might find yourself boosting a complete sector of house and protection tech.
It might develop into an trade of itself.
And just like the early days of the web or smartphones, the largest winners of this house race would be the ones who bounce in early.
We’re already seeing this occurring throughout the house sector of the Excessive Fortunes portfolio.
Only recently, we noticed main validation for one key holding touchdown important new authorities enterprise…
Whereas one other firm in our portfolio stands to profit huge time if this Golden Dome undertaking will get finalized.
Should you’re not a member of Excessive Fortunes already, it is best to contemplate becoming a member of us right this moment!
Regards,
Ian King
Chief Strategist, Banyan Hill Publishing
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