Satellites and the Military: How Starlink Changed War, and How Satellite Data Now Drives Counterparty Investigation and Dual-Use Screening

Hello, this is Ryuta Hamamoto from TIMEWELL.

On February 24, 2022, the very day Russia began its invasion of Ukraine, space quietly became a battlefield. The commercial satellite broadband network "KA-SAT," which delivered communications across a wide swath of Europe, fell silent under a coordinated cyberattack. Behind the physical combat of the invasion, infrastructure high above the ground was being targeted at the same moment. That fact drove home that space is no longer "a distant matter of technology" but the very ground of economic security.

In this article, taking that day as the starting point, we look at how satellites changed war and how the data derived from satellites is turning corporate "counterparty investigation" into routine work. Space technology is one of the domains where the line between civilian and military use is thinnest, and it is also the front line of dual-use (civil-military) technology. For companies on the exporting side, understanding this structure is not someone else's problem.

Let me summarize the key points of this article up front.

• Commercial satellites have become security infrastructure. The cyberattack on KA-SAT and the Starlink that filled the gap are the symbols of that shift.
• Counterparty investigation using commercial satellite imagery has come down from specialized intelligence work to the everyday due diligence of ordinary companies.
• In the scale of space assets, the United States is in a class of its own, China is closing in fast, and Japan sits in a structure of overseas dependence.
• Space technology is a dense concentration of dual-use items, and the classification and counterparty-screening burden on exporting companies has grown heavier still.

If you want to quickly gauge whether your own products or parts fall under export control, one place to start is the diagnostic tool that lets you experience export control classification.

How Starlink Changed War

KA-SAT was operated by Viasat, a major U.S. satellite communications company. According to the company's official incident report, the attackers exploited a misconfigured VPN device to break into the management segment and pushed through destructive commands¹. The tool used was a wiper-type malware called "AcidRain," which overwrote the boot-critical data in the modems' flash memory and rendered the terminals unusable. The malicious activity began around 0302 UTC that same day, and mass disconnections of modems occurred around 0415 UTC.

The damage spread across borders. Thousands of customers inside Ukraine and tens of thousands of fixed-broadband customers across Europe were affected, and tens of thousands of modems that had been online dropped out. Viasat shipped roughly 30,000 modems to distributors to restore service¹. The collateral damage is telling. Around 5,800 wind turbines made by the German wind-power manufacturer Enercon ran into trouble with remote monitoring and control that relied on satellite links². The aftershocks of a military operation reached all the way into civilian power infrastructure.

The attack was later named as a state operation. On May 10, 2022, the EU, the United States, and the United Kingdom condemned the attack on the KA-SAT network as a Russian operation³. The AcidRain malware has been reported to share code with the 2018 operation "VPNFilter," which the FBI had previously attributed to the Russian military². A state attacked commercial satellite communications infrastructure as part of a military operation. This one point alone makes clear that space is an object of national security.

With communications severed, SpaceX moved in response to a request from the Ukrainian government. It activated Starlink, its low-Earth-orbit satellite constellation, and Ukraine's military and government rapidly came to rely on Starlink to keep internet connectivity alive⁴. The role did not stop at securing communications. In addition to maintaining external contact and keeping energy infrastructure running, Starlink was reportedly used to connect combat drones, maritime drones (unmanned surface vessels), and targeting systems that correct artillery fire, supporting attacks on Russian positions. At the same time, SpaceX balked at offensive use against weapons systems and restricted access in some cases. In other words, the private company providing the technology tried to draw a line around how war was waged with it.

The cost side cannot be ignored either. Operating costs reached the scale of 20 million dollars a month, and Ukrainian authorities estimated SpaceX's contribution at over 100 million dollars⁴. In June 2023, the U.S. Department of Defense signed a contract with SpaceX to fund Starlink use in Ukraine. That was the moment a private company's service was publicly positioned as part of a nation's security.

What this chain of events shows is, I believe, a single clear fact. Space infrastructure built for civilian use has come to decide military outcomes directly. A commercial satellite is no longer merely a "convenient means of communication"; it is "security infrastructure." Handling space-related technology or parts without holding this perspective now feels precarious to me.

Counterparty Investigation Advances with Satellite Data

Space did not change only war. The technology of looking down at the ground from satellites has quietly changed how companies conduct "counterparty investigation" as well.

The key is two kinds of eyes: optical and SAR (synthetic-aperture radar). Optical satellites capture images that look like the photographs we are used to, but clouds block the ground and nighttime is a weak point. SAR, by contrast, beams radio waves at the ground and captures the reflections, so it penetrates clouds and can image at night. Because it can observe the same location repeatedly regardless of weather or time of day, it is suited to round-the-clock monitoring. Combine the two, and you can continuously track "what is actually happening at that facility."

Beyond that, other data fills in what satellite imagery alone cannot cover. Vessel position data broadcast by AIS (Automatic Identification System), trade data, and each country's corporate registry records are cross-referenced. In this way a method took hold that draws a three-dimensional picture of a facility's activity, its supply chain, and the movement of warships and cargo vessels. Technically it is called GEOINT (geospatial intelligence), but in essence it is "an investigation of a counterparty's true state that combines the satellite's eye with open-source information."

A leading example that demonstrates the power of this method is the Royal United Services Institute's (RUSI) Project Sandstone. Launched in 2019, this effort has systematically gathered and analyzed open-source information to produce reproducible findings on North Korea's proliferation and smuggling networks⁵. Using commercial satellite imagery, it visualized the construction of three storage tanks and related facilities at the port of Nampo, and it pinned down coal and oil ship-to-ship transfers, that is, cargo swaps from vessel to vessel at sea, carried out using AIS spoofing (falsification of position data). It brought front companies (nominal firms set up to hide the true operator), smuggling routes, and the procurement of dual-use items out into the open. The same kind of analysis is also used to track entities and transactions that appear on sanctions lists. For how to read sanctions lists, we lay out the details in the Complete Guide to Sanctions Lists, so please refer to it as well.

The point I want to emphasize here is that this kind of investigation no longer belongs solely to "a state's special intelligence." Commercial satellite imagery has improved in resolution and imaging frequency, and prices have become realistic. As a result, it is becoming a standard means of verifying the facilities and activities of counterparties and end users in corporate due diligence, supply-chain audits, and export control reviews. Undeclared facility expansion, and gaps between what is publicly stated and the actual situation, can be checked with the satellite's eye. What would have been hard to imagine a few years ago is now done routinely.

The Japan-U.S.-China Gap in Space Assets

Even in an era when you can view your counterparty by satellite, who holds how many of those "eyes" differs greatly from country to country. The gap in the scale of space assets is a point that cannot be sidestepped when thinking about economic security. The figures shift daily with launches and retirements, and different sources use different aggregation criteria (active, in-orbit, or planned). Here I will note the point in time and the basis while conveying a sense of scale.

Start with the United States. In the statistics of astrophysicist Jonathan McDowell (planet4589), Starlink alone had 8,872 active satellites as of July 18, 2026, with a total of 10,844 in orbit⁶. Another tally puts active satellites at about 10,397 as of June 2026, with subscribers worldwide exceeding 12 million⁴. This is the scale of a single private constellation on its own. The United States holds the world's largest satellite fleet, anchored by privately led low-Earth-orbit constellations.

To grasp the structure, it helps to look at slightly older data too. The Union of Concerned Scientists (UCS) Satellite Database (as of May 2023) recorded 7,560 active satellites in total, of which the United States had 5,184, China 628, Russia 181, and others 1,572⁷. Japan had no standalone line item and was included under "others." Since that point, the total has grown much larger with Starlink and the like, so treat these figures purely as "the 2023 breakdown" for reading the structure. Even so, the order-of-magnitude difference between the United States and everyone else comes through clearly.

China is closing in fast. It is running several giant constellations aimed at countering U.S. Starlink. "Guowang" (China SatNet lineage) is planned at about 13,000 satellites and is believed to serve both civilian and military purposes. It has been reported to have launched about 198 satellites by late 2025⁸. "Qianfan" (G60), developed by Shanghai's SSST, is planned at over 15,000 satellites and had launched about 200 as of June 2026⁹. The current number actually deployed lags far behind the United States, but the planned scale rivals it, and China is narrowing the gap on a multi-year horizon.

And then there is Japan. Its core national-security asset, the Information Gathering Satellites (IGS), amounts to roughly ten spacecraft in total, six optical and four radar, operated by the Cabinet Satellite Intelligence Center¹⁰. Development began in the wake of North Korea's 1998 missile launch. The latest optical satellite (IGS O-8, launched in January 2024) is said to have a resolution better than 25 cm. The performance is by no means low, but the number of spacecraft is in a different order of magnitude. While the United States operates on the scale of thousands to ten thousand and China is expanding rapidly at the hundreds level, Japan remains on the order of a few dozen. Without a giant low-Earth-orbit constellation of its own, the reality is that it has no choice but to depend heavily on overseas satellite services, especially those of the United States.

This dependence structure connects directly to the story of communications infrastructure. Japan too is moving forward with the adoption of commercial low-Earth-orbit satellite communications, and we dig into its national-security implications in Rakuten, Japan's Satellites and Starlink: The Security of Communications Infrastructure. How a country at a disadvantage in space assets uses overseas satellites, and where it secures its autonomy, is Japan's homework.

Japan's Path Forward and Dual-Use

So where is Japan headed? The backbone of the government's space policy is the "Basic Plan on Space Policy," adopted by the Cabinet on June 13, 2023 (Reiwa 5), with its process chart updated by the Strategic Headquarters for Space Development on December 23, 2025 (Reiwa 7)¹¹. The direction is toward actively leveraging commercial satellites in the national-security context and advancing the buildout of satellite constellations. In other words, the dual use of civilian and defense assets is advancing at the level of policy. The Ministry of Defense is also reported to be considering the construction of a constellation of small satellites for missions such as missile detection and tracking, but I refrain from asserting this here, since the text of the official document and the specific number of spacecraft or timing of any decision could not be fully confirmed from primary sources this time. Any detailed treatment of space security needs to be re-verified against the original documents of the Cabinet Office and the Ministry of Defense.

Policy tailwinds translate directly into corporate burden. The more the military diversion of civilian technology advances, the heavier the responsibility that falls on companies in the space and defense supply chains to confirm "whose hands, and what kind of facility, their technology or parts end up in, and how they are used." For why dual-use becomes a practical corporate issue, we lay out the details in Dual-Use Technology and Military Diversion Risk.

Let me pin down concretely which parts of satellite technology tend to become subject to regulation. High-resolution optical sensors, SAR technology, satellite components, and positioning and communications payloads are themselves classic dual-use items. A sensor mounted on a civilian observation satellite can serve, unchanged, for military reconnaissance. That is exactly why classification (the work of judging whether an item "falls under or does not fall under" the scope of export control) is unavoidable when exporting parts. The deeper a company sits in the space or defense supply chain, the greater this burden becomes.

Japan, at a disadvantage to the United States and China in space assets, carries two simultaneous challenges on two fronts: leveraging overseas commercial satellite data while expanding domestic assets. On top of that, the military diversion of civilian technology advances too. For companies on the exporting side, the reality that "being able to see" and "being able to judge whether you may export" are two different things is finally weighing heavier.

After Visualization Comes "Judgment": TRAFEED

Satellite data and OSINT (open-source intelligence investigation) have made it possible, even for those who are not specialized institutions, to visualize the facilities and activities of counterparties and end users. Up to this point, it is good news. The problem lies beyond it.

Even if satellite imagery lets you notice that "this facility looks different from what was declared" or "this counterparty is suspicious," that alone does not amount to an export control decision. Beyond that point, at least three specialized tasks await. The first is classification, discerning whether your own product or technology being exported is subject to regulation. The second is screening, confirming whether the counterparty or end user falls under a sanctions list, a foreign-user list, or a military end user. For the concrete process of counterparty screening, we explain it in End-User Screening and Counterparty Investigation (Customer Due Diligence). The third is assessing how much military-diversion (dual-use) risk exists. And then, keeping a record of these judgments in a form that can withstand a later audit. Only when all of this is done is the practical work of export control complete.

Frankly, this downstream work is the greatest difficulty. The lists you must reference keep growing in every country, and regulations are revised frequently. If a person cross-checks one case at a time by hand, there are limits to both volume and speed. This is exactly where an AI agent proves effective.

TRAFEED (formerly ZEROCK ExCHECK) is an export control AI agent that handles precisely this "downstream of investigation." It is said to be the world's first in Japan's security export control domain (as of March 2026, per our own research), it complies with the standards of the Ministry of Economy, Trade and Industry, and it supports multiple languages. It automates classification and supports the screening of counterparties and end users as well as the investigation of military-diversion risk. We have confirmed an AI classification accuracy of 95% or higher (joint verification with Okayama University, on roughly 30,000 past review records, per our own research). Even in domains where dual-use items are concentrated and regulations are tightly interwoven, such as space and defense, it is designed to let you run operations while curbing gaps and omissions. Of course, the final classification is premised on being made by your company's export control officer. AI is a tool for making judgments faster and more reliable; it is not something that takes over responsibility.

You can check concretely how far TRAFEED can automate and how it fits into your own operations on the TRAFEED service page.

Conclusion

Space has, before we knew it, become the front line of economic security. Let me organize the key points at the end.

• As the cyberattack on KA-SAT and the activation of Starlink showed, commercial satellites are already security infrastructure.
• Counterparty investigation using commercial satellite imagery and OSINT has come down from intelligence work to the everyday due diligence of companies.
• Space assets are vastly larger for the United States, China is closing in at planned scale, and Japan sits in a structure of overseas dependence.
• Satellite sensors and components are classic dual-use items, and the classification and counterparty-screening burden on exporting companies is increasing.
• "Being able to see" and "being able to judge whether you may transact" are two different things, and TRAFEED is what supports that judgment and its recordkeeping with AI.

In an era when satellites make the world visible, what is asked next is the ability to discern "whether you may actually transact with the counterparty you have seen." You do not have to shoulder alone what comes after you notice something suspicious in a counterparty investigation. If you face export control in a field where dual-use runs deep, such as space and defense, please tell us about your current challenges from our individual export control consultation. Let's design together the "judgment" that comes after visualization.

References

1. Viasat, "KA-SAT Network cyber attack overview" (official incident report) — https://www.viasat.com/perspectives/corporate/2022/ka-sat-network-cyber-attack-overview/
2. Council of the EU, High Representative declaration, "Russian cyber operations against Ukraine" (May 10, 2022; attribution of the KA-SAT attack to Russia) — https://www.consilium.europa.eu/en/press/press-releases/2022/05/10/russian-cyber-operations-against-ukraine-declaration-by-the-high-representative-on-behalf-of-the-european-union/
3. planet4589 (Jonathan McDowell), Starlink Statistics (updated July 18, 2026) — https://planet4589.org/space/con/star/stats.html
4. Union of Concerned Scientists (UCS), Satellite Database (data as of May 2023) — https://www.ucs.org/resources/satellite-database
5. Cabinet Office, Space Policy, "Basic Plan on Space Policy" (adopted by the Cabinet June 13, 2023; process chart updated December 2025) — https://www8.cao.go.jp/space/plan/keikaku.html
6. RUSI, "Project Sandstone" (proliferation-network investigation via commercial satellite imagery x OSINT) — https://www.rusi.org/explore-our-research/projects/project-sandstone
7. Wikipedia, "Viasat hack" (summary of the KA-SAT attack's damage scale and attribution; for secondary confirmation) — https://en.wikipedia.org/wiki/Viasat_hack
8. Wikipedia, "Starlink" (activation in Ukraine, military use, DoD contract, current satellite count; for secondary confirmation) — https://en.wikipedia.org/wiki/Starlink
9. Wikipedia, "Guowang" and "Qianfan" (planned scale and progress of China's constellations; for secondary confirmation) — https://en.wikipedia.org/wiki/Guowang
10. Wikipedia, "Information Gathering Satellite" (number and types of Japan's IGS; for secondary confirmation) — https://en.wikipedia.org/wiki/Information_Gathering_Satellite

Related Articles

• Dual-Use Technology and Military Diversion Risk: The Export Control Practices Companies Should Prepare
• How to Conduct End-User Screening and Counterparty Investigation (Customer Due Diligence)
• Complete Guide to Sanctions Lists: Types, Verification Steps, and Practical Points
• Rakuten, Japan's Satellites and Starlink: The Security of Communications Infrastructure

Footnotes

1. Viasat, "KA-SAT Network cyber attack overview" (official incident report). The attackers exploited a misconfigured VPN device to break into the management segment and overwrote data in the modems' flash memory with the wiper-type malware AcidRain. Malicious activity began around 0302 UTC on February 24, 2022, and mass disconnections of modems occurred around 0415 UTC. Thousands (Ukraine) to tens of thousands (Europe) of customers were affected, and about 30,000 modems were shipped to restore service. https://www.viasat.com/perspectives/corporate/2022/ka-sat-network-cyber-attack-overview/ ↩ ↩²

2. Wikipedia, "Viasat hack" (for secondary confirmation). About 5,800 Enercon wind turbines had trouble with remote monitoring and control. The AcidRain malware was reported to share code with the 2018 operation VPNFilter. https://en.wikipedia.org/wiki/Viasat_hack ↩ ↩²

3. Council of the EU, High Representative declaration, "Russian cyber operations against Ukraine" (May 10, 2022). The EU, the United States, and the United Kingdom condemned the attack on the KA-SAT network as a Russian operation. https://www.consilium.europa.eu/en/press/press-releases/2022/05/10/russian-cyber-operations-against-ukraine-declaration-by-the-high-representative-on-behalf-of-the-european-union/ ↩

4. Wikipedia, "Starlink" (for secondary confirmation). At Ukraine's request, SpaceX activated Starlink, which was used for communications, drones, unmanned surface vessels, and artillery targeting. Operating costs reached the scale of 20 million dollars a month; Ukrainian authorities estimated SpaceX's contribution at over 100 million dollars; and in June 2023 the U.S. Department of Defense signed a funding contract. As of June 2026, about 10,397 active satellites and over 12 million subscribers. https://en.wikipedia.org/wiki/Starlink ↩ ↩² ↩³

5. RUSI, "Project Sandstone" (established 2019). Analyzes North Korea's proliferation and smuggling networks using commercial satellite imagery and OSINT. Visualized the construction of three storage tanks and related facilities at the port of Nampo (completed 2020) and exposed ship-to-ship transfers using AIS spoofing. https://www.rusi.org/explore-our-research/projects/project-sandstone ↩

6. planet4589 (Jonathan McDowell), Starlink Statistics (as of July 18, 2026). Starlink alone had 8,872 active satellites and a total of 10,844 in orbit. https://planet4589.org/space/con/star/stats.html ↩

7. Union of Concerned Scientists (UCS), Satellite Database (data as of May 2023). Total active satellites 7,560, of which the United States 5,184, China 628, Russia 181, and others 1,572. Japan had no standalone line item and was included under "others." Since then, totals have grown substantially with Starlink and the like. https://www.ucs.org/resources/satellite-database ↩

8. Wikipedia, "Guowang" (for secondary confirmation). China's Guowang (China SatNet lineage) is planned at about 13,000 satellites, believed to serve both civilian and military purposes, and had launched about 198 satellites by late 2025. https://en.wikipedia.org/wiki/Guowang ↩

9. Wikipedia, "Qianfan" (for secondary confirmation). Shanghai SSST's Qianfan (G60) is planned at over 15,000 satellites and had launched about 200 as of June 2026. https://en.wikipedia.org/wiki/Qianfan ↩

10. Wikipedia, "Information Gathering Satellite" (for secondary confirmation). Japan's Information Gathering Satellites (IGS) amount to roughly ten spacecraft in total, six optical and four radar, operated by the Cabinet Satellite Intelligence Center. Development began in the wake of North Korea's 1998 missile launch. The latest optical satellite, IGS O-8 (launched January 2024), has a resolution better than 25 cm. https://en.wikipedia.org/wiki/Information_Gathering_Satellite ↩

11. Cabinet Office, Space Policy, "Basic Plan on Space Policy." The Basic Plan on Space Policy was adopted by the Cabinet on June 13, 2023 (Reiwa 5), and its process chart was updated by the Strategic Headquarters for Space Development on December 23, 2025 (Reiwa 7). https://www8.cao.go.jp/space/plan/keikaku.html ↩