The Defense Budget is getting debated now and this "news" really does seem aimed at Congress.
Space Force and SDA want to fund their constellation of hypersonic reentry vehicles based on the SpaceX Starlink platform [1,2,3]. It would provide instant kill capability around the world. China is the justification for this massive buildup of weapons in space.
[1] https://www.ucsusa.org/resources/space-based-missile-defense...
[2] https://en.wikipedia.org/wiki/Brilliant_Pebbles (old project now rebooted with SDA)
[3] https://www.nap.edu/download/13189 (Details matching original Starlink orbits, click Download as Guest)
Even a few years ago the cost to launch all this would have been astronomical, but SpaceX has since brought costs down by 1 order of magnitude (or 2-orders with Starship). Still expensive, but within reach with a little warmongering.