SpaceX was awarded its first military launch contract, breaking a longtime monopoly on military launches, CNN reports.

  • SpaceX secures 1st military launch contract, CNN reports
  • Company to send military GPS satellite into orbit in 2018
  • Contract worth $82.7 million

The $82.7 million contract, announced Wednesday, will send a GPS III-2 satellite into space for the U.S. Air Force. The launch will take place from Cape Canaveral Air Force Station in May 2018.

"This GPS III Launch Services contract award achieves a balance between mission success, meeting operational needs, lowering launch costs, and reintroducing competition for National Security Space missions," said Lt. Gen. Samuel Greaves said in an Air Force news release.

SpaceX had been competing for military launch contracts with United Launch Alliance, the Boeing-Lockheed venture that's long been the military's sole launch provider, but ULA dropped out of the bidding late last year, CNN reports. SpaceX and CEO Elon Musk had filed a federal lawsuit to challenge rules banning it from bidding for military launch contracts. The suit was settled out of court, CNN said.

In May 2015, SpaceX was certified for the military and government's epxendable launch system program, giving the government two launch providers.

The GPS III satellite SpaceX will launch will provide improved anti-jamming capabilities and improved navigation and timing accuracy, the Air Force said. Its signal is also compatible with the European Space Agency's GPS system.

SpaceX also announced on Wednesday that it plans to send its Dragon spacecraft to Mars as early as 2018. If successful, the mission or missions would make SpaceX the first private company to land a vehicle on another planet.