SpaceX's decision to create a dedicated satellite service for government use stems from the belief that the civilian-oriented Starlink network should remain distinct from military applications. Musk emphasized this distinction, stating, "Starlink needs to be a civilian network, not a participant to combat. Starshield will be owned by the US government and controlled by DoD Space Force. This is the right order of things," he said on September 27. 

The successful utilization of Starlink satellites in Low Earth Orbit during the ongoing Russia-Ukraine conflict has highlighted the potential for such technology to support military efforts. However, SpaceX has consistently underscored that Starlink primarily serves to connect remote and underserved communities to reliable internet access and not designed for war purposes.

SpaceX's Starshield initiative, designed exclusively for government use, aims to bolster national security across three key areas: Earth Observation, Communications, and Hosted Payloads. In the realm of "Earth Observation," Starshield will facilitate the launch of satellites equipped with sensing payloads, allowing for the direct delivery of processed data to users. These payloads may include advanced cameras and data-collecting hardware installed on Low Earth Orbit (LEO) satellites, enhancing the government's capabilities in monitoring and surveillance. The "Communications" facet of Starshield will provide government users with assured global communications through Starshield user equipment. This secure and reliable communication network will cater specifically to the needs of government agencies. "Starlink already offers unparalleled end-to-end user data encryption. Starshield uses additional high-assurance cryptographic capability to host classified payloads and process data securely, meeting the most demanding government requirements," says the company.