Travel between star systems would be impossible were it not for the development of the revolutionary hyperdrive propulsion system. The term hyperdrive refers to the engine and interrelated systems that propel a starship through the alternate dimension of hyperspace. In hyperspace, there is no limit to how fast a starship can travel, and thus interstellar distances can be traversed in mere minutes.

Before entering hyperspace, a pilot must supply exact coordinates derived by the ship's navicomputer. Without precise calculations, a ship may collide with a body in hyperspace with catastrophic results.

Although largely reliable, constant modifications to a hyperdrive can render it untrustworthy. Han Solo's Millennium Falcon had an extremely recalcitrant hyperdrive which often failed when needed the most.

The invention of the hyperdrive millennia ago is perhaps the single-most important development in galactic history, as it allowed for the Republic's growth and expansion. Early hyperdrives were limited in range and reliability. Thousands of years ago, ships would use hyperspace beacons and jump points to travel from system to system on specific routes.

Modern hyperdrives are classified by their speeds, with the lower the class number, the faster the drive. The Millennium Falcon has an extremely fast hyperdrive, rated at class 0.5.

Numerous safety systems restrict the use of a hyperdrive while near the presence of a large gravitational field. As a result, a ship cannot enter hyperspace safely until it has traveled a certain distance from a planet's gravity well. Military engineers have exploited this characteristic in developing weapons such as artificial gravity well generators. These devices fool hyperdrives into thinking a gravity well is present, and disable a target ship's ability to escape into hyperspace.