The problem with building a factory in space is the supply chain. You cannot truck in raw materials, and launching refined metals from Earth costs tens of thousands of dollars per kilogram. CisLunar Industries, a Colorado-based startup founded in 2017, is betting the solution is already up there, floating in the form of spent rocket stages and defunct satellites. The company is developing two lines of hardware: high-voltage power processors for spacecraft propulsion and a modular system to recycle orbital debris into usable metal feedstock and propellant [Factories in Space, Unknown]. It is a dual-pronged approach to infrastructure, aiming to power the next generation of satellites while turning space junk into a strategic asset.
The Power and Propulsion Wedge
CisLunar's most immediate commercial product is its power processing unit (PPU). This is the critical, high-voltage hardware that sits between a spacecraft's solar panels or batteries and its electric propulsion thruster, converting and managing power with high efficiency. The company's wedge is a modular, radiation-tolerant design that can integrate with a range of existing, flight-proven thrusters, offering what it calls "industry-leading size and weight" optimization to free up payload capacity [cislunarindustries.com, Unknown]. This is not speculative research. The technology has space heritage, and the company has secured multiple contracts with the U.S. Space Force's SpaceWERX division, including a $1.86 million Direct to Phase II SBIR award to build PPUs for dual-mode propulsion systems [cislunarindustries.com, Unknown]. For a hardware startup, these government contracts serve as both early revenue and rigorous, flight-ready validation.
From Orbital Junk to In-Space Feedstock
The longer-term, more ambitious bet is the Space Foundry. This is a proposed in-space processing system designed to capture debris, cut it apart, and refine the metals into standardized rods, wire filament, or other geometries. The processed material could serve as feedstock for 3D printers constructing structures in orbit or, more intriguingly, as propellant rods for certain types of electric thrusters [SBIR.gov, Unknown]. CisLunar has demonstrated a terrestrial version of this closed-loop concept, hosting a live demo with partners including debris-removal company Astroscale to show how captured debris could be recycled into spacecraft fuel [SBIR.gov, Unknown]. The vision is to create an economic rationale for active debris removal: the junk itself becomes the raw material for building and fueling the next wave of space infrastructure.
Team and Traction
The leadership team blends financial and operational aerospace experience. Co-founder and CEO Gary Calnan, a CFA, moved from a career as a financial executive to found the company [Frontlines.io, Unknown]. Chief Operating Officer Lee Steinke brings over 20 years of leadership experience, having worked on contracts for NASA, DARPA, and major defense contractors [cislunarindustries.com, Unknown]. This mix appears tailored to navigate the dual channels of government contracting and long-term venture-scale hardware development. The company has raised an estimated $5.7 million in seed funding from investors including ONE Funds and Stout Street Capital, with its most recent $2.6 million round closing in March 2026 [registerguard.com, 2026] [categoryvisionaries.podbean.com, 2026]. Headcount is estimated between 11 and 50 employees [theorg.com, 2026].
Seed (Est. Pre-2025) | 1.0 | M USD
Seed (Jul 2025) | 1.0 | M USD
Seed (Mar 2026) | 2.6 | M USD
Total Disclosed | 4.6 | M USD
The Technical Breakdown and Scale Risks
From an infrastructure perspective, CisLunar's plan is a classic two-phase build. The power electronics business serves as the near-term technical and revenue foundation. It demands precision engineering for radiation hardening, thermal management, and high-voltage switching,challenges with well-understood, if difficult, parameters on Earth. The Space Foundry, however, operates in a different risk category. It introduces a series of cascading technical dependencies: successful debris capture and handling, material processing in microgravity, and the creation of a consistent, high-quality output. A failure in any one of these novel mechanical and metallurgical processes could stall the entire recycling value chain.
The sober assessment is that while the power unit business can scale with the growing satellite propulsion market, the foundry's path is contingent on the parallel maturation of several other in-space industries. It requires not just its own technology to work flawlessly in orbit, but also a mature market of customers ready to buy its recycled metal. If large-scale in-orbit manufacturing or specific metal-propellant thrusters see delayed adoption, the foundry becomes a solution in search of a near-term problem. The company's answer is to proceed stepwise, using government and partner-funded technology demonstrations to de-risk each subsystem before attempting a full, integrated orbital demonstration.
The Next Twelve Months
For CisLunar, the immediate milestones are clear. Execution on its existing Space Force PPU contracts will be critical for proving reliability and building a reputation as a qualified space hardware supplier. Technically, the focus will be on advancing the Space Foundry subsystems, likely through further SBIR awards or partnerships, toward a integrated prototype. The company will also need to navigate its next funding inflection point; the current seed capital supports development, but a full orbital demo of the foundry concept would require a significantly larger round. Success in the next year means shipping flight hardware for power processing and moving the metal recycling concept from lab demonstrations to a higher-fidelity, systems-level test.
Sources
- [Factories in Space, Unknown] CisLunar Industries - Factories in Space | https://www.factoriesinspace.com/cislunar-industries
- [cislunarindustries.com, Unknown] HOME | CisLunar Industries | https://www.cislunarindustries.com/
- [SBIR.gov, Unknown] SBIR.gov Portfolio | https://www.sbir.gov/portfolio/1839159
- [cislunarindustries.com, Unknown] CisLunar Industries Selected for $1.9M Space Force Contract | https://www.cislunarindustries.com/post/cislunar-industries-selected-for-1-9m-space-force-contract-for-revolutionary-space-power-and-propul
- [Frontlines.io, Unknown] The Story of CisLunar Industries | https://www.frontlines.io/the-story-of-cislunar-industries-turning-space-junk-into-the-steel-mills-of-tomorrow/
- [registerguard.com, 2026] CisLunar Industries raises $2.6M in oversubscribed seed round | https://registerguard.com/press-release/story/46813/cislunar-industries-raises-2-6m-in-oversubscribed-seed-round/
- [categoryvisionaries.podbean.com, 2026] Gary Calnan, CEO of CisLunar Industries | https://categoryvisionaries.podbean.com/e/gary-calnan-ceo-co-founder-of-cislunar-57-million-raised-to-build-the-future-of-in-space-manufacturing/
- [theorg.com, 2026] CisLunar Industries org chart | https://theorg.com/org/cislunar-industries