The race to control movement in orbit just got a $500 million boost. Impulse Space, a startup focused on in-space transportation, announced Tuesday it closed a Series D funding round of that size. The company, founded five years ago by SpaceX veteran Tom Mueller, has now raised over $1 billion in total.

Mueller said the timing of the round reflects the company's strong position across multiple markets. Impulse Space develops vehicles that move satellites and other payloads between orbits, a capability known as orbital maneuvering. As satellite constellations grow and space traffic increases, the need for reliable transportation within space is becoming critical.

A Growing Market for Space Mobility

The orbital maneuvering sector is heating up. Companies like Impulse Space, Momentus and Astroscale are competing to provide services such as satellite repositioning, debris removal and last-mile delivery to specific orbits. The U.S. Space Force and commercial satellite operators are key customers for these services.

Impulse Space's flagship vehicle, the Mira, is designed to carry payloads from a launch vehicle's drop-off point to a final destination orbit. The company also plans a larger vehicle called Helios for deep-space missions. Mueller previously led propulsion development at SpaceX, giving the startup deep technical roots.

Why This Matters

Orbital maneuvering is no longer a niche. With thousands of satellites planned for low Earth orbit, the ability to rearrange assets after launch saves time and fuel. For satellite operators, this means lower costs and faster deployment. For military users, it means more flexible responses to threats. Impulse Space's funding signals that investors see this market as essential infrastructure for the space economy.

The $500 million round was led by new and existing investors. Mueller said the company will use the funds to scale production of Mira, accelerate Helios development and expand its workforce.