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FAA Awards $875M AI Air-Traffic Planning Contract

September 18, 2026

2 min read

Key Takeaways

The FAA awarded Air Space Intelligence a 12-year, $875 million contract.
The contract covers FMDS and SMART systems for air-traffic planning.
Initial SMART operations are scheduled to begin in fall 2026.
The system aims to predict congestion and conflicts before departure.

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Strategic Implications

This award may indicate the FAA's growing reliance on AI for air-traffic management, which could lead to increased efficiency and reduced delays. The deployment of SMART and FMDS suggests a shift towards more strategic traffic planning, which may have significant implications for the future of air-traffic control.

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What Happened

Boston-Based Air Space Intelligence Wins 12-Year Deal For AI-Powered Traffic Management

The Federal Aviation Administration has awarded Air Space Intelligence a 12-year contract valued at $875 million to develop software that will forecast air-traffic congestion and help officials coordinate flight schedules before aircraft leave the ground. The contract covers two related systems: Flow Management Data and Services, or FMDS, and Strategic Management of Airspace, Routes and Trajectories, or SMART. Initial SMART operations are scheduled to begin in fall 2026, with the Washington, D.C., metropolitan area expected to receive the first deployment. This development was first reported by MLQ News.

Source | Originally Published: September 18, 2026

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