T-Minus Space Daily: Cybersecurity for the Space Supply Chain

Podcast: T-Minus Space Daily by N2K Networks
Episode Air Date: February 14, 2026
Host: Maria Varmazes
Guests: Frank Schementi (Director of Programs, Beyond Gravity), Reagan Edens (Founder & CEO, DTC Global)

Episode Overview

This episode centers on the growing urgency of robust cybersecurity practices throughout the space industry’s supply chain. Host Maria Varmazes speaks with Frank Schementi and Reagan Edens—panelists at Commercial Space Week—about why cybersecurity risks increasingly threaten all layers of the space sector, how regulatory standards like CMMC (Cybersecurity Maturity Model Certification) are restructuring the landscape, and what cultural and operational transformations are required to safeguard critical data and ensure global competitiveness.

Key Discussion Points & Insights

1. Why Cybersecurity Now Touches Every Department

• Cybersecurity Is No Longer "Just IT":
  • “Cybersecurity used to be the responsibility of the IT department… That is no longer the case.” – Frank Schementi [03:25]
• Data Leaks & Competitive Disadvantage:
  • Government and commercial stakeholders recognize that data leaks result in enormous losses and enable adversaries to shortcut their own R&D, threatening national competitiveness.
• Supply Chain as the Primary Vulnerability:
  • “Our supply chain is our biggest risk. How do we lock down that data?” – Frank Schementi [03:34]
• Three Data Protection Pillars:
  • Focus extends beyond CUI (controlled unclassified information) to also include intellectual property (IP) and employee data.

2. Monumental Cost and Risk

• Staggering Losses to Adversaries:
  • “Estimates are $900 billion a year lost to our adversaries. The entire defense budget, every single year, lost through exploitation, sabotage...” – Reagan Edens [04:48]
• Small Business Challenge:
  • 98% of the U.S. defense industrial base employs fewer than 100 people, meaning many suppliers lack the resources to independently develop robust cybersecurity defenses [05:14].

3. Implementing CMMC: Technology vs. People

• IT Solutions Aren’t the Hardest Part:
  • “It’s never the technology… Now it's the people, making sure they understand that when they bring in new equipment... it doesn't create new threats.” – Frank Schementi [07:18]
• Operational Tech Is a Major Vulnerability:
  • As manufacturing technology becomes interconnected (e.g., networked 3D printers, CNC machines), each device can become a potential entry point for cyberattacks.
• Culture Change Required:
  • “Having everyone aware of that, thinking that way, asking those right questions… It becomes more of a people thing, making sure everyone's on board, than a technology problem.” [08:25]

4. Driving Digital Transformation Through Compliance

• Changing Organizational Behavior:
  • “This idea of operationalizing cybersecurity through the manufacturing process… is a transformation of the organization, from sales all the way through to order fulfillment.” – Reagan Edens [09:19]
• Compliance is a Beginning, Not the End:
  • “The compliance regime usually starts out with, OK, what do I have to do, meet minimum compliance… Fifteen minutes after the assessment, we’re done. That's not this.” – Reagan Edens [10:28]

5. Competitive Advantage: Differentiating on Cybersecurity

• Customer Decisions Drive Cybersecure Suppliers:
  • “Two of them, the data just went out to the cloud and was no good. One of them didn’t… So there was a differentiator.” – Frank Schementi on product selection based on cybersecurity [12:45]
• CMMC as Revenue Opportunity:
  • “Almost every single client that we have has seen a top line revenue growth between 10 and 20%… If you're the only compliant organization, ask for more business.” – Reagan Edens [15:09]

6. Security Culture and Human Factors

• Stewardship, Not Just Compliance:
  • “The message is not, 'we’re doing this for compliance sake.' That’s the most demotivating thing I can think of.” – Reagan Edens [17:17]
  • “Data stewardship is the equivalent to quality. If we don’t meet that stewardship goal… we don’t have a customer anymore.” – Reagan Edens [19:16]
• Leadership’s Pivotal Role:
  • “When leadership realizes that data security is critical for the success of their organization, until that point, they won’t take it as seriously.” – Frank Schementi [20:38]
  • “Leadership is not getting the next sale… Leadership is operationalizing and solving hard problems in the 21st century.” – Reagan Edens [22:51]

7. Unique Challenges in the Space Sector

• Space Supply Chain Complexity:
  • Custom, small-batch manufacturing means suppliers may be unable or unwilling to invest in CMMC due to the small share of business for space contracts [25:12].
  • Companies respond by redesigning components to be more “COTS”-like (commercial off-the-shelf) or vertically integrating production to maintain data security.
• U.S. Industrial Base and Strategic Risk:
  • "American manufacturing has got to decide that America still has to cut and bend metal… If we don’t do that, then who is going to do that?" – Reagan Edens [27:26]
• Ecosystem Evolution:
  • Suppliers that embrace cybersecurity become more valuable as others opt out, leading to market consolidation and opportunity for growth [28:58].

8. Advice and Final Thoughts

• Think About "Why":
  • “When you think of CMMC, consider the why. It’s a huge advantage for your organization. It's a huge risk if you don't do it.” – Frank Schementi [29:04]
• Deliberate Transformation and Education:
  • “It is complex, it is transformational. It is a business decision that you need to make deliberately… There’s a necessity to walk through that seven stages of grief.” – Reagan Edens [29:35]
• Wise Counsel is Essential:
  • “Choosing who you seek wise counsel from… can incorporate into success or not take you to where you need to be. So choose that and choose very, very wisely.” – Reagan Edens [30:37]
• The Spirit of the Space Industry:
  • “The entire cornerstone of space is that we solve hard problems that no one else can do… This is another thing that must be done.” – Reagan Edens [31:23]

Notable Quotes & Memorable Moments

• On Competitive Losses:
  • “Estimates are $900B a year lost to our adversaries. The entire defense budget, every single year lost…” – Reagan Edens [04:48]
• On Compliance vs. Stewardship:
  • “Data stewardship is the equivalent to quality… If we don’t meet that stewardship goal, we don’t have a customer anymore.” – Reagan Edens [19:16]
• On the Real Challenge of Cybersecurity:
  • “It's never the technology… It becomes more of a people thing, making sure everyone's on board than a technology problem.” – Frank Schementi [07:18]
• On Market Opportunity:
  • “We have the opportunity for organizations to take the largest market share opportunity in probably the defense industrial base history.” – Reagan Edens [15:54]
• On Leadership in Space:
  • “Why I love space is because they have 22nd century vision to operationalize and solve hard problems in the 21st century.” – Reagan Edens [22:51]

Timestamps for Key Segments

• [03:25] – Why cybersecurity matters at every level in the supply chain
• [04:48] – The cost of cyber loss and distinction between small/large suppliers
• [07:18] – Implementing CMMC: technology vs. people challenges
• [09:19] – Digital transformation through compliance: cultural impact
• [12:30] – Cybersecurity as a competitive differentiator
• [14:02] – Building a culture of security and real-world advantage stories
• [19:16] – Data stewardship compared to quality standards
• [22:51] – Space industry and leadership’s unique challenges
• [25:12] – Space industry’s custom supplier challenge (CMMC adoption gap)
• [29:04] – Closing thoughts: “Why” CMMC matters and advice to the sector

Takeaways for Listeners

• Cybersecurity is now an operational imperative for all space industry players—not just IT.
• Proactive security offers competitive and revenue advantages, particularly as CMMC spreads.
• Transforming company culture around data stewardship—anchored by leadership—is essential.
• The challenges are complex, especially for small suppliers and multinational operations, but the market opportunity for secure, resilient organizations has never been greater.
• Wise guidance, persistent leadership, and a mindset shift from mere compliance to holistic excellence are critical to success.

"We can do hard things... The entire cornerstone of space is that we solve hard problems that no one else can do. And this is another."
– Reagan Edens [31:51]