Serco has agreed to acquire QinetiQ’s U.S. operations for $292 million, a deal announced Nov. 12 that expands the company’s presence in American military space services. The transaction brings QinetiQ US’s defense and space portfolio under Serco, including an active five-year technical services contract with the Space Development Agency (SDA) that runs through 2028.
Second U.S. Military Space Purchase in Under Two Years
The agreement is Serco’s second acquisition in the U.S. military space sector in less than two years. In May 2025, the company bought a Northrop Grumman unit that handles mission training and satellite ground network software. That purchase gave Serco a footprint in military orbital operations and ground segment support.
QinetiQ US adds a different capability: direct engineering and technical services for the SDA’s space programs. Combined with the Northrop Grumman business, the two acquisitions position Serco as a dedicated provider of U.S. military space services, covering both ground-based systems and program-level technical support.
SDA Contract Continues Through 2028
Under the agreement, Serco will take over QinetiQ US’s ongoing technical services responsibilities for the SDA. That keeps the five-year contract in place through its scheduled end in 2028, so the work the agency relies on is not interrupted by the change in ownership.
A Retreat for QinetiQ
For QinetiQ, the sale marks a step back from its push into the American market. In 2022, the company paid $590 million for Avantus Federal as part of an effort to scale up its U.S. defense and federal services business. The $292 million price for the U.S. operations is roughly half that earlier outlay.
The source does not give a closing date for the transaction or say whether it requires regulatory approvals. It also does not describe how Serco will integrate the new business.
Source: satnews.com
