FAA Selects Peraton to Lead Nationwide Air Traffic Control Overhaul
The FAA Names Peraton to Lead Nationwide Air Traffic Control Modernization
The Federal Aviation Administration has selected Peraton Corporation as the prime systems integrator for an ambitious, multi-year modernization of the United States’ air traffic control infrastructure. Transportation Secretary Sean Duffy and FAA Administrator Bryan Bedford announced the award December 4, 2025, characterizing it as a pivotal step toward building what the agency calls the “Brand New Air Traffic Control System.”
Backed by $12.5 billion in federal funding allocated through recent legislation, the program represents the most comprehensive overhaul of national airspace architecture in decades. The initial investment enables Peraton and the FAA to begin replacing critical components of the National Airspace System, including telecommunications networks, radar systems, software platforms, and physical facilities supporting air traffic controllers across the country.
Peraton’s Selection and Experience
Reston, Virginia-based Peraton has emerged as a major federal contractor through strategic acquisitions and expansion across national security, cybersecurity, defense, and federal IT sectors. The company was formed in 2017 when Veritas Capital acquired Harris Corporation’s government services business, then expanded significantly through the acquisition of Northrop Grumman’s IT services unit in 2021 and Perspecta Inc. that same year. This consolidation positioned Peraton as one of the nation’s largest federal systems integrators with the engineering depth and scale required for a program of this magnitude.
By appointing a single prime integrator, the FAA aims to coordinate modernization more tightly than previous efforts. Peraton will oversee engineering, acquisition, testing, and rollout of new capabilities, while the FAA maintains oversight through a senior committee of Department of Transportation and FAA officials. The performance-based contract ties Peraton’s profit directly to specific benchmarks and includes penalties for delays or underperformance.
Modernization Priorities and Timeline
Immediate priorities include transitioning the remaining copper-wire backbone to modern fiber infrastructure and establishing a new digital command center to manage operations across the network. The FAA has already made substantial progress: technicians have converted one-third of the country’s 5,170 copper connections to fiber, satellite, or wireless technology. The agency has deployed 148 new radios, expanded surface-awareness systems to 44 airports, and introduced electronic flight strips at 13 towers.
Administrator Bedford emphasized that while the $12.5 billion represents a strong foundation, additional resources are essential. “To finish the job and deliver the safer, more efficient system travelers deserve, we’re going to need another $20 billion,” he stated. The FAA targets service entry for the new system by end of 2028.
Industry and Regulatory Alignment
The modernization addresses critical operational challenges. The current system faces increasing equipment failures that force controllers to reduce traffic flow to maintain safety margins. The new architecture will replace outdated components and create a more reliable, resilient platform capable of supporting traditional aviation operations alongside emerging entrants including unmanned aircraft and advanced air mobility vehicles.
Industry stakeholders quickly endorsed the decision. Airlines for America called the investment a “vital down payment” and urged sustained federal commitment. The Aircraft Owners and Pilots Association expressed support and readiness to collaborate on implementation. Both groups emphasized that long-overdue technological upgrades are essential for maintaining system safety and efficiency as aviation demand grows.
The selection of Peraton as prime integrator represents a significant step toward modernizing U.S. air traffic control. Success depends on sustained congressional funding, steady progress on near-term milestones, and effective coordination between the FAA, contractor teams, and aviation industry partners.
Source ID: SRCE-2025-1764946846280-1191