US EditionPeraton Lands $12.5B Contract to Overhaul Nation's Aging Air Traffic Control System
Peraton will replace aging infrastructure with fiber optics and new technology to improve safety and efficiency, backed by a $12.5 billion initial investment from the federal government.
- The Federal Aviation Administration named Peraton Prime Integrator on December 5, 2025 to lead a $12.5 billion air-traffic modernization, starting work immediately, the FAA said.
- After radar outages at Newark, officials warned that flight-delay minutes in 2025 are about 300% higher than the 2010–2024 average, and aging FAA facilities must soon be replaced.
- The FAA structured the Prime Integrator deal to include BNATCS hardware upgrades such as over 27,600 new radios and 612 radars, with incentives and penalties, selecting Peraton over Parsons Corp. and IBM.
- Transportation Secretary Sean P. Duffy said the administration's three‑year timeline aims to reduce outages and improve efficiency, but officials acknowledge roughly $19 billion to $20 billion more is needed.
- The DOT adopted a first‑of‑its‑kind Prime Integrator procurement model to speed selection and reward performance, while advisers say it builds an upgradable base for drones and flying taxis.
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FAA Picks Peraton to Oversee Air Traffic Control Reform
WASHINGTON—The Federal Aviation Administration (FAA) said on Thursday it has picked Peraton, a national security company owned by Veritas Capital, as the project manager of a $12.5-billion effort to overhaul the aging U.S. air traffic control system. The selection comes after Congress approved a $12.5-billion plan in July to overhaul the air traffic control system and boost controller hiring, following decades of complaints over airport congesti…
Associated Press News
What to know about the air traffic control overhaul and the company FAA hired to manage it
The government picked a company with little experience working with the Federal Aviation Administration called Peraton to oversee the roughly $31.5 billion overhaul of the outdated air traffic control system.
FAA selects Peraton to lead nationwide overhaul of US ATC system
The FAA has named Peraton as the prime integrator for a sweeping, multi-year effort to replace the United States’ aging air traffic control infrastructure. Transportation Secretary Sean Duffy and FAA Administrator Bryan Bedford announced the award on December 4, 2025, calling it the central step in building what the agency now bills as the “Brand New Air Traffic Control System.” The project begins with a $12.5 billion federal investment provide…
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