Updated December 5, 2025
Peraton issued the following statement from its Chairman, President, and CEO Steve Schorer upon being awarded the Brand New Air Traffic Control System (BNATCS) contract by the U.S. Federal Aviation Administration (FAA) and the Department of Transportation (DOT).
“Today, the United States government has entrusted Peraton with a historic opportunity to fundamentally transform America’s air traffic control system, which will modernize our national airspace to ensure it remains the safest, most efficient, and most advanced in the world.
Our highly-skilled, dedicated, and talented team of engineers, technologists, and mission experts stands ready to hit the ground running to deliver a system Americans can count on—one that is more secure, more reliable, and a model for the world to follow. We will work tirelessly to deliver on our commitment to the American people. We are both excited and ready to get started!
At Peraton, we have a long track record of bringing the very best technological solutions, including the latest in artificial intelligence, to the most complex, high-consequence challenges facing our nation. We look forward to meeting and exceeding the high standards expected of us as we serve the American traveler and taxpayer.
Total Contract Value: $1,500,000,000.00
Department Name: TRANSPORTATION, DEPARTMENT OF | FEDERAL AVIATION ADMINISTRATION
Number of Bidders: 2
Award ID: 693KA726C00003
RFP ID: BNATCSRFSFINAL
Added December 4, 2025
A huge win for Peraton, a next-generation technology and national security company, that drives missions of consequence spanning the globe. The expected total value for the program will be $32.5B (see below), but the original thrust is only funded at $12.5B as of today.
By replacing the current air traffic control system, the FAA will enhance safety in the sky, reduce delays, and unlock the future of air travel. The project also ensures hard-working air traffic controllers have a system they can rely on and one they deserve. To meet the ambitious goal of implementing a brand-new air traffic control system by the end of 2028, the DOT and FAA expedited the procurement process and crafted an innovative, first-of-its-kind contract that will incentivize results and hold the Prime Integrator accountable for any missed deadlines and performance issues.
What is the FAA doing?
- The FAA will deliver a brand-new state-of-the-art air traffic control system by the end of 2028.
- This new system will replace outdated infrastructure including radar, software, hardware and telecommunications networks to manage modern travel.
- Project consists of five main categories
- Communications
- Surveillance
- Automation
- Facilities
- Alaska
Why is the FAA doing it?
- Our system is safe but to maintain safety, we slow flights when equipment failures occur
- Flight-delay minutes due to equipment issues in 2025 are about 300 percent higher than the average from 2010-2024.
- BNATCS will provide new and more reliable systems that will reduce equipment-related delays throughout the National Airspace System (NAS)
By the numbers:
- 5,170 new high speed network connections on fiber, satellite, and wireless
- 27,625 new radios
- 462 new digital voice switches
- 612 state of the art radars
- 44 airports will have new replacement surface radars
- 200 airports will have Surface Awareness Initiative surveillance technology
- 89 airports will have new Terminal Flight Data Manager tools
- 435 air traffic control towers will have new Enterprise Information Display Systems
- 113 air traffic control towers will have new Tower Simulation Systems
- 1 new consolidated Air Route Traffic Control Center (first new one since the 1960s)
- 110 additional weather stations in Alaska
- 64 more weather camera sites in Alaska
- 1 new consolidated Terminal Radar Approach Control
What will the Integrator do?
- A single integrator will manage this effort, optimizing workflows which include acquiring capabilities and deploying the new technologies
- Responsible for managing this massive project and delivering it on time without disruptions to the NAS
- FAA held a competitive bid process and conducted rigorous technical evaluations of proposals
- Evaluation factors included experience, cost and track record
- Peraton has a long track record of successfully completing major system integration projects
How is the contract structured?
- To reward good performance and penalize poor performance with significant financial outcomes
- Integrator’s profit is directly tied to its performance achievement outcomes
- FAA will post a contract summary on sam.gov
How will the FAA evaluate performance?
- An Executive Steering Committee of senior DOT and FAA officials will oversee the Integrator’s performance
- Will evaluate the Integrator on schedule and quality
- Includes measurable improvements in NAS performance, cost control, and management including communicating with stakeholders
What are the priorities?
- All the work is critical to ensure the safe continuity of the NAS. Telecommunications, however, is one of the top priorities since it connects the NAS together
- Much of the work will occur simultaneously across the country
- The FAA has not been waiting for the Integrator. It has already begun implementation and has replaced over one-third of copper with high-speed digital fiber
Where is the funding from?
- Congress, through the One Big Beautiful Bill, made a historic $12.5 billion investment in the BNATCS which enabled the FAA to bring on the Integrator and accelerate existing efforts
- Additional funding will be necessary to complete the entire BNATCS program
- $12.5 billion down payment – need additional $20 billion
