Washington, D.C. — The U.S. Department of Transportation and the Federal Aviation Administration announced that Peraton will serve as the Prime Integrator to lead a major modernization of the nation’s air traffic control system.
Transportation Secretary Sean P. Duffy and FAA Administrator Bryan Bedford said Peraton will work with DOT and the FAA to oversee rollout of new systems designed to improve safety, reduce outages and increase efficiency across the National Airspace System. The effort received a $12.5 billion initial infusion under the administration’s One Big Beautiful Bill.
Secretary Duffy praised Peraton’s selection, saying the company shares the administration’s goal of rapid, safe modernization and will help build a state-of-the-art system for travelers and air traffic controllers. Administrator Bedford noted that while the $12.5 billion down payment will kick-start the program, about $20 billion more will be needed to complete the effort, calling it a long-term investment in the future of air travel.
The FAA highlighted Peraton’s experience integrating complex technology platforms and its work with federal agencies as reasons it is well positioned to meet an ambitious schedule. The Prime Integrator contract is structured to incentivize strong performance and efficient use of funds while including penalties for unnecessary delays or poor execution.
Officials said the new system will replace aging equipment, strengthen safety, reduce equipment-related delays and support growth in the airspace. While some critics, including Joe Biden and Pete Buttigieg, have suggested modernization could take more than ten years, the administration aims to complete the program within three years and has set a goal of implementing the new system by the end of 2028.
Since taking office, the administration reports progress on upgrades: roughly one-third of copper infrastructure has been converted to fiber, satellite and wireless; 148 radios have been deployed nationwide; the first next-generation voice switch has been installed at Allegheny Tower; surface awareness systems have been deployed at 44 towers; and electronic flight strips have been rolled out to 13 towers.
To accelerate selection of an integrator and meet the accelerated timeline, DOT and the FAA used an expedited procurement approach. The Prime Integrator will provide centralized leadership to coordinate change, keep the modernization on track and support deployment of new capabilities across the NAS. Core infrastructure replacements will include telecommunications networks, radar, software and hardware.
Peraton will begin work immediately, focusing initially on converting remaining copper lines to fiber and establishing a new digital command center. The FAA said other modernization activities will continue in parallel, including procurement of new radar systems and development of next-generation facilities as outlined in the One Big Beautiful Bill.
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