Not all military satellites require some outstanding capabilities - and military does launch cubesats and other small-scale devices today. Reminding that if 50

Not all military satellites require some outstanding capabilities - and military does launch cubesats and other small-scale devices today. Reminding that if 50 years ago military requests pushed boundaries of technology, today commercial applications are so demanding - and command such a large market - that it is military devices which piggyback on RND results of commercial ones. Yes, you may always want a unique, expensive, cutting edge satellite. But you won't always need that - military doesn't directly set the goal to spend as much as possible. X-37 demonstrates a lot of capabilities while being much cheaper than previous reusable space vehicle. So with launch costs going down other, cheaper opportunities open - to everybody, including military. That's beside the idea that cheaper rocket doesn't mean worse rocket, reminding Japanese cars of few decades back.