U.S. DOT Picks Peraton For ATC Modernization Integrator Role

Peraton has been chosen as the sole integrator in the ambitious U.S. Transportation Department (DOT) plan to upgrade the country’s air traffic control (ATC) infrastructure by 2029, the agency announced late Dec. 4.

The company, with extensive experience in the defense and federal IT arenas, “has a long track record of successfully completing major system integration projects,” the FAA said in a fact sheet accompanying the announcement. Peraton’s bid was chosen over a competing submission from Parsons.

“Peraton will begin work immediately, partnering with the FAA on initial priorities which include transitioning the system’s remaining copper infrastructure to modern fiber and establishing a new digital command center,” the FAA said. “We will continue advancing other modernization initiatives including buying new radar systems and development of next-generation facilities as outlined in the One Big Beautiful Bill.”

The project, dubbed the Brand New Air Traffic Control System (BNATCS), is broken into five main categories: communications, surveillance, automation, facilities and Alaska.

“We are taking bold action to ensure our air traffic system is the envy of the world,” said FAA Administrator Bryan Bedford. “The One Big Beautiful Bill gave us a strong $12.5 billion down payment to start this modernization effort. But to finish the job—and deliver the safer, more efficient system travelers deserve—we’re going to need another $20 billion. This is a long-term investment in the future of air travel, and we’re committed to getting it right.”

Getting Congress to approve the additional funding will depend on demonstrating success in the program’s early stages, lawmakers have said. The FAA, seeking to build confidence on Capitol Hill, used the announcement to highlight progress to date.

Among the completed tasks are conversion of one-third of 5,170 copper connections to fiber, satellite, or wireless technology, deployment of 148 out of a planned 27,695 radios, installation at Pennsylvania’s Allegheny County Airport of the first of 46 digital voice switches, and introduction of electronic flight strips to 13 airport towers, the agency said.

As the single integrator, Peraton will be responsible for managing the entire project, from “acquiring capabilities” to deploying technologies, the FAA said. Peraton’s “profit is directly tied to its performance achievement outcomes ... to reward good performance and penalize poor performance with significant financial outcomes,” the agency said.

Performance will be overseen and evaluated by “an executive steering committee of senior DOT and FAA officials,” the FAA added.

Initial feedback from industry was positive.

“While the bulk of the work still lies ahead, I am confident that Peraton will deliver an integrated system that uses modern technology to make our airspace more efficient, resilient, and reliable,” said Aircraft Owners and Pilots Association President and CEO Darren Pleasance. “AOPA stands ready to support these efforts any way we can.”

Airlines For America President and CEO Chris Sununu said he “looks forward to working with” Peraton, Congress, and the Trump Administration to make “long-overdue upgrades” to the U.S. National Airspace System.

“The $12.5 billion that Congress approved earlier this year for ATC modernization was a vital down payment, but sustained federal investment is essential to ensure the system is fully overhauled and appropriately staffed to ensure a resilient [NAS] today and to prepare for the evolving needs of tomorrow,” Sununu said.