The gravity field dedicated satellite missions like CHAMP, GRACE, and GOCE are supposed to map the Earth's global gravity field with unprecedented accuracy and resolution. New models of the Earth's static and time-variable gravity fields will be available every month as one of the science products from GRACE. A method for the efficient gravity field recovery is presented using in situ satellite-to-satellite observations at altitude and results on static as well as temporal gravity field recovery are shown. Considering the energy relationship between the kinetic energy of the satellite and the gravitational potential, the disturbing potential observations can be computed from the orbital state vector, using high-low GPS tracking data, low–low satellite-to-satellite GRACE measurements, and data from 3-axis accelerometers. The solution method is based on the conjugate gradient iterative approach to efficiently recover the gravity field coefficients and approximate error covariance up to degree and order 120 every month. Based on the monthly GRACE noise-only simulation, the geoid was obtained with an accuracy of a few cm and with a resolution (half wavelength) of 160 km. However, the geoid accuracy can become worse by a factor of 6–7 because of spatial aliasing. The approximate error covariance was found to be a very good accuracy measure of the estimated coefficients, geoid, and gravity anomaly. The temporal gravity field, representing the monthly mean continental water mass redistribution, was recovered in the presence of measurement noise and high frequency temporal variation. The resulting recovered temporal gravity fields have about 0.3 mm errors in terms of geoid height with a resolution of 670 km.