Space: The Weapon of Choice in Iran
By ProcureAM Research
Space has become a strategic weapon in the current conflict with Iran. The first pure-play space exchange-traded fund, the Procure Space ETF® (UFO), envisioned space as an integral part of a nation’s defense systems. Today space has proven to be an essential element in warfare. Space and the U.S. Space Force are playing a major role in real time missile tracking, target identification, and the destruction of Iran’s own space operations and satellite command centers.
Missile Detection: Satellites can track Iranian missile launches via heat detecting infrared sensors from missile defense radar. This capability has led to the destruction of hundreds of Iranian missiles. However, these land-based radar facilities and satellite communications terminals may be vulnerable to attacks from low level drones. This is expected to provide an impetus to put the airborne target warning sensor layer into orbit.1
Destruction of Iran’s space operations: According to Head of Central Command Admiral Brad Cooper, U.S. forces destroyed Iran’s military space command. This may reduce Iran’s ability to coordinate retaliatory strikes.2
Communications and GPS Interference: At the start of the conflict, Chairman of the Joint Chiefs Gen. Dan Caine said, “coordinated space and cyber operations effectively disrupted communications and sensor networks.”3 Communications breakdowns may limit enemy responses. GPS jamming, possibly by satellite-based electronic programs, has forced ships and aircraft to rely on traditional, non-satellite navigation techniques which may impact the speed and accuracy of attacks.
Target Identification: Space-based intelligence has helped identify and target Iranian missile launchers. Satellite imagery from companies like Planet Labs* and privately owned Vantor* are showing the results of military strikes. However, this intelligence works both ways. A Chinese space company provided Iran with details regarding U.S. military buildup in the Middle East. Satellite imagery showed daily changes in the layout of air and naval forces leading up to the initial strikes.4
Numerous United States companies are experiencing a demand for their products and services. Defense companies in the United States, including RTX*, Lockheed Martin*, Boeing*, Northrop Grumman*, L3Harris*, BAE Systems*, and Honeywell Aerospace*, stand to benefit from the Iranian conflict.5
The conflict in Iran and the Middle East is highlighting the importance of space for the military. It is also showing its strengths and weaknesses. Attacks directed and implemented via technology rather than armies can save lives. However, the susceptibility of terrestrial radar infrastructure and communications systems to drone and/or major missile attacks is making a case for the buildup of space-based intelligence systems.
Meanwhile, competition is ramping up as China and Russia provide satellite imagery to Iran and other Middle East parties. Once thought to be the realm of science fiction, space is becoming an integral and necessary part of defense systems for countries worldwide. The space race is no longer who reaches the Moon first, but who can control the galaxy.
The Procure Space ETF® (NASDAQ: UFO) is the first pure-play exchange-traded fund to focus on companies generating revenue from the space Industry. UFO consists of 40+ constituents including key players in the conflict with Iran.
For more information about the Procure Space ETF®, visit https://www.procureetfs.com.
1“Iranian Attacks on Prized Missile Defense Radars Are A Wake-Up Call,” by Joseph Trevithick and Tyler Rogoway, twz.com, March 7, 2026.
2 “The US says it destroyed Iran’s Space Command. Experts say it wasn’t much of a threat.” By Thomas Novelly, defenseone.com, March 5, 2026.
3“Space was ‘First Mover’ in Iran Conflict, Top General Says.”, by Jacqueline Feldscher, payloadspace.com, March 2, 2026.
4“U.S. Military Buildup for Iran Tracked By Chinese Space Company,” by Steve Trimble, aviationweek.com, February 26, 2026.
5“These companies stand to benefit from Trump’s Iran war”, by Alison Durkee, forbes.com, March 5, 2026.
Important Information:
*As of March 9th, 2026, Boeing (BA) was a 2.40% holding, Honeywell Aerospace (HON) was a 2.53% holding, L3Harris Technologies (LHX) was a 2.63% holding, Lockheed Martin (LMT) was a 2.95% holding, Northrop Grumman (NOC) was a 2.80% holding, Planet Labs (PL) was a 6.04% holding, RTX Corporation (RTX) was a 2.40% holding in the Procure Space ETF® (NASDAQ: UFO). BAE Systems and Vantor were 0.00% holdings in the Procure Space ETF® (NASDAQ: UFO).
For a complete list of holdings in UFO, visit: https://procureetfs.com/ufo/. Fund holdings and sector allocations are subject to change at any time and should not be considered a recommendation to buy or sell any security.
Please consider the Fund’s investment objectives, risks, and charges and expenses carefully before you invest. This and other important information is contained in the Fund’s summary prospectus and prospectus, which can be obtained by visiting procureetfs.com. Read carefully before you invest.
Investing involves risk. Principal loss is possible. The Fund is also subject to the following risks: Shares of any ETF are bought and sold at market price (not NAV), may trade at a discount or premium to NAV and are not individually redeemed from the funds. Brokerage commissions will reduce returns.
Aerospace and defense companies can be significantly affected by government aerospace and defense regulation and spending policies. The exploration of space by private industry and the harvesting of space assets is a business based in future and is witnessing new entrants into the market. Investments in the Fund will be riskier than traditional investments in established industry sectors. The Fund is considered to be concentrated in securities of companies that operate or utilize satellites which are subject to manufacturing delays, launch delays or failures, and operational and environmental risks that could limit their ability to utilize the satellites needed to deliver services to customers. Investing in foreign securities are volatile, harder to price, and less liquid than U.S. securities. Securities of small- and mid-capitalization companies may experience much more price volatility, greater spreads between their bid and ask prices and significantly lower trading volumes than securities issued by large, more established companies. The Fund is not actively managed so it would not take defensive positions in declining markets unless such positions are reflected in the underlying index. Please refer to the summary prospectus for a more detailed explanation of the Funds’ principal risks. It is not possible to invest in an index.
UFO is distributed by Quasar Distributors LLC.