WASHINGTON, D.C. The U.S. government has tapped defense and technology contractor Peraton to lead what officials describe as a sweeping overhaul of the country’s air traffic control infrastructure, selecting the company as prime integrator for a new “Brand New Air Traffic Control System” backed by an initial $12.5 billion federal investment. The program, known as BNATCS, aims to reshape how aircraft are managed across the National Airspace System, with a tight political and technical focus on speed, safety and reliability.
Transportation Secretary Sean P. Duffy and Federal Aviation Administration Administrator Bryan Bedford announced in Washington that Peraton will be the Prime Integrator to “oversee the rollout of a brand-new air traffic control system” for the National Airspace System. The U.S. Department of Transportation said this launch funding comes as *“a historic **$12.5 billion down payment thanks to President Trump’s One Big Beautiful Bill.”* Bedford made clear that the government expects to spend far more by the time the job is finished, saying that to fully complete the effort
“we’re going to need another $20 billion,”
and calling the project “a long-term investment in the future of air travel.” Bedford’s comment frames the scale of what officials say will be required.
Secretary Duffy framed the contract as a political and technical priority for the administration, tying it directly to the White House.
“We are thrilled to be working with Peraton because they share President Trump’s drive to modernize our skies safely at record speed,”
he said. He added that the goal is to “deliver a state-of-the-art air traffic control system that the American traveling public — and our hard-working air traffic controllers — deserve.” By naming a single prime integrator for the entire undertaking, the Department of Transportation is putting one company at the center of a complex web of radar systems, surveillance technology and software platforms that keep planes moving.
Bedford underscored the ambition of the effort, saying,
“We are taking bold action to ensure our air traffic system is the envy of the world,”
and stressing that the new system will reduce outages, improve efficiency, and reinforce safety. Those aims go to the heart of what the Brand New Air Traffic Control System is meant to deliver: fewer disruptions for passengers, more predictable operations for airlines, and more robust tools for controllers managing crowded skies from coast to coast. While officials did not detail specific milestones beyond broad timelines, the emphasis on reliability and safety reflects a push to tighten performance expectations for the entire National Airspace System.
Ask for a clear milestone plan: how Peraton will coordinate across hardware, software, and facilities, with specific test gates and independent safety reviews before each major rollout.
According to Aviation International News, the FAA has awarded Peraton the ATC upgrade integration contract, under which the company “will be responsible for steering the massive ATC modernization effort.” That role goes well beyond a traditional vendor relationship. As prime integrator, Peraton is expected to coordinate a range of hardware and software providers, align federal and industry schedules, and ensure that new systems plug into existing infrastructure without disrupting daily operations. Politico reported that the Department of Transportation selected Peraton to play a key role in the overhaul and noted that Secretary Duffy wants the modernization completed by the end of 2028, a date that sets clear expectations for both the agency and its contractor.
The Department of Transportation’s fact sheet describes this as a first-of-its-kind “Prime Integrator” contract intended to centralize leadership, coordinate technology rollouts, and penalize unnecessary delays or poor performance while rewarding strong execution. That structure marks a shift from more fragmented approaches, where multiple contractors might work on separate parts of the air traffic control network with looser coordination. By writing performance penalties and incentives directly into the BNATCS deal, federal officials are trying to keep a tight grip on cost, schedule and delivery as the Brand New Air Traffic Control System rolls out across hundreds of facilities and affects thousands of daily flights.
Peraton, which already works on large federal technology and security programs, said it has been awarded the BNATCS (Brand New Air Traffic Control System) modernization contract by the FAA and DOT and will lead a transformational ATC program using its experience integrating radar, ADS‑B, air traffic management platforms, and other large-scale federal systems. Automatic Dependent Surveillance–Broadcast, or ADS‑B, is a key surveillance technology that allows aircraft to broadcast their location to controllers and other planes, and is one of the building blocks Peraton cites as part of its toolkit. By pointing to its record with radar integration and existing air traffic management platforms, the company is presenting itself as a central player able to knit together many moving parts of the National Airspace System into a coherent whole.
Simple Flying reported that the program, initially valued at $12.5 billion, is intended to transform how air traffic is managed in the U.S., with goals of reducing delays, enhancing safety, and improving overall efficiency. Those aims touch nearly every corner of commercial and general aviation: passengers hoping to avoid missed connections and long waits on taxiways, airlines trying to keep tight schedules and manage fuel use, and controllers seeking tools that reduce workload while keeping aircraft safely separated. While the additional $20 billion that Bedford said will be needed for full completion is not yet appropriated, his comments outline the scale of the long-term plan behind the initial “down payment.”
The choice of a single prime integrator is central to how the Department of Transportation wants this modernization drive to run. Rather than spreading responsibility across multiple main contractors, the BNATCS structure places Peraton at the top of the integration chain, with the DOT fact sheet making clear that leadership will be centralized and performance tightly monitored. The built-in penalties for “unnecessary delays or poor performance” and rewards for “strong execution” are designed to keep large and complex technology rollouts moving, even as systems are installed and tested at busy air traffic facilities that must continue operating every day.
The timeline adds further pressure. With Secretary Duffy wanting the modernization completed by the end of 2028, the FAA and Peraton face a narrow window to design, test, and deploy a Brand New Air Traffic Control System across a vast and busy airspace. That means introducing new hardware and software while maintaining continuity for pilots and controllers who depend on the existing system. It also means that airlines, airports and other aviation partners will be watching closely for signs of disruption or improvement as BNATCS projects ramp up. For regulators, the compressed schedule must be balanced against the agency’s core obligation to maintain safety.
Officials have linked the funding and political support for the effort directly to the White House. The DOT release’s reference to a “historic $12.5 billion down payment thanks to President Trump’s One Big Beautiful Bill” places the program firmly within the administration’s broader claims about infrastructure and modernization. Duffy’s comment that Peraton “share President Trump’s drive to modernize our skies safely at record speed” further ties the project to a push to show visible progress within a set timeframe, reinforcing why the 2028 target looms so large over the rollout.
Track the 2028 completion target and any interim funding needs. Confirm the performance penalties and incentives are clearly defined in the contract to prevent delays and ensure accountability.
For Peraton, the ATC upgrade integration contract cements its role at the center of one of the largest technology programs now underway in U.S. civil aviation. Aviation International News’ description that Peraton “will be responsible for steering the massive ATC modernization effort” captures the company’s challenge: it must weave together radar networks, ADS‑B coverage, software for routing and separation, and interfaces used by controllers and pilots, while meeting stringent federal rules. Its experience on “other large-scale federal systems,” highlighted in its own statements, is one of the main reasons the FAA and Department of Transportation say they chose the company to lead this Brand New Air Traffic Control System.
The FAA, which oversees the National Airspace System and manages air traffic control operations across the country, will remain the ultimate authority even as Peraton takes charge of integration and rollout. Federal rules, safety oversight, and certification of new systems still sit with the agency, which presents this modernization as part of its long-term effort to strengthen safety and reliability. Further information on the agency’s air traffic responsibilities and programs is available through the Federal Aviation Administration, which has long managed upgrades to radar, communications, and navigation systems across the network.
As the BNATCS program moves from announcement to implementation, the stakes extend well beyond contract values and political messaging. With an initial $12.5 billion on the table and another $20 billion that Bedford says will be needed, the project represents a major bet that a single prime integrator can pull together the many strands of U.S. air traffic technology into a unified, modern system. For passengers, airlines, and controllers, the measure of success will be whether the Brand New Air Traffic Control System delivers on the promise to reduce outages, improve efficiency, and reinforce safety, and whether the National Airspace System, under Peraton’s lead role, becomes closer to what Bedford called “the envy of the world” by the end of 2028.
The Department of Transportation and FAA awarded Peraton the BNATCS prime integrator contract, backed by a $12.5 billion initial investment. Peraton will coordinate radar, ADS‑B, software and multiple vendors to modernize the National Airspace System, with incentives and penalties to control cost and schedule. Officials estimate an additional $20 billion may be needed and aim to complete deployment by the end of 2028, prioritizing reliability, reduced outages and improved safety.
