Defense & Military
RTX Raytheon Secures 760M Contract to Boost AMRAAM Air Defense
Raytheon wins $760M contract to enhance AMRAAM missile production, strengthening U.S. and allied air defense capabilities globally.
RTX’s Raytheon Secures $760 Million AMRAAM Contract: A Strategic Boost to U.S. and Allied Air Defense
The recent $760 million contract awarded to RTX’s Raytheon by the U.S. Air Force marks a significant step forward in the modernization and expansion of air-to-air missile capabilities for both the United States and its key allies. As international security dynamics evolve, the demand for advanced, reliable, and interoperable defense solutions has never been greater. This contract, focused on the Advanced Medium-Range Air-to-Air Missile (AMRAAM), not only supports U.S. military readiness but also strengthens the defense posture of allied nations such as Canada, Taiwan, Sweden, and the Czech Republic through Foreign Military Sales (FMS).
Scheduled for completion by September 2030 and centered in Tucson, Arizona, the contract underscores a broader trend of increasing investment in next-generation munitions. It is a response to both the growing sophistication of adversary capabilities and the need to replenish stockpiles depleted by ongoing global conflicts. The AMRAAM’s proven performance, technological evolution, and adaptability make it a linchpin of modern air combat and integrated air defense systems.
This article explores the historical context, technical details, recent developments, global partnerships, and future implications of the AMRAAM program, providing a comprehensive analysis of its significance in today’s defense environment.
Historical Context and Technological Evolution of AMRAAM
The AMRAAM program traces its origins to the late 1970s, when the U.S. Air Forces sought a leap forward in air-to-air combat technology. Recognizing the limitations of the AIM-7 Sparrow, which required pilots to maintain radar lock on targets throughout engagement, the Air Force and Navy pursued a new missile with active radar homing and “fire-and-forget” capabilities. This led to the conceptual phase of the AMRAAM program in 1979, with Hughes Aircraft Co. and Raytheon Co. selected as competing contractors for validation and development.
After rigorous testing and demonstration of flight-test hardware, Hughes was chosen as the full-scale developer and Raytheon as a follower producer, establishing a dual-source production model that ensured competition, redundancy, and production capacity. Over 200 test missiles were launched during development, validating the AMRAAM’s active radar seeker and its ability to engage targets without continuous guidance from the launching aircraft. This innovation significantly improved pilot survivability and tactical flexibility.
Production contracts were awarded in 1987, and the AMRAAM quickly became the backbone of U.S. and allied air dominance. Its integration on a wide array of platforms and continuous upgrades have kept it relevant in the face of evolving threats and technological advancements.
Technical Specifications and Production Trends
The AMRAAM has seen several variants, with the AIM-120D representing the latest in operational capability. This variant features GPS guidance, advanced anti-jam technology, and an extended range exceeding 110 miles, addressing both traditional and emerging threats. Unit costs vary by variant: the AIM-120D is approximately $1.09 million, AIM-120C-5 about $1.3 million, and AIM-120C-8 close to $1.9 million, reflecting the increasing sophistication of guidance and electronic warfare systems.
Production has ramped up in response to increased demand. Raytheon’s Tucson facility, the primary manufacturing hub, has historically produced 450–650 AMRAAMs per year, but recent contracts have pushed this figure to around 1,200 annually. The Air Force has requested additional funding to further expand capacity, aiming for 2,400 missiles per year by 2028. This reflects both the need to replenish stockpiles and to support growing international orders.
Recent upgrades, such as the F3R (form, fit, function refresh), enhance signal processing, guidance, and resilience against electronic warfare, ensuring the missile’s continued effectiveness in contested environments. These enhancements are crucial as adversaries develop advanced countermeasures and electronic warfare systems.
“The AMRAAM program has evolved through continuous innovation, ensuring it remains a cornerstone of U.S. and allied air superiority in a rapidly changing threat landscape.”
Recent Contract Awards and Financial Impact
The $760 million contract is part of a broader surge in AMRAAM procurement. It follows a record-setting $3.5 billion contract for Production Lots 39 and 40, which includes FMS to 19 allied nations and represents the largest single AMRAAM contract in the program’s history. These contracts cover not only missile production but also telemetry systems, spare parts, and engineering support, reflecting the comprehensive nature of modern defense acquisitions.
Funding for these contracts is multi-sourced, involving fiscal allocations from the Air Force, Navy, and FMS partners. For example, the $3.5 billion contract includes $621 million in FMS funds and Navy procurement allocations, with additional Air Force procurement and research funds spread across multiple fiscal years. This layered funding approach ensures sustained production and delivery over several years.
The alignment of contract timelines, with work expected to continue through 2030 and beyond, provides stability for the defense industrial base and supports workforce retention and skill development in key regions like Tucson.
Global Partnerships and Operational Experience
The AMRAAM’s widespread adoption among U.S. allies is a testament to its reliability and interoperability. The latest contracts include FMS to countries such as Canada, Taiwan, Sweden, the Czech Republic, and, notably, Ukraine, a reflection of the weapon’s role in supporting partners facing significant security challenges. In total, the AMRAAM is integrated on 14 different aircraft platforms across 44 countries, underpinning joint and coalition air operations worldwide.
Operational experience has further cemented the AMRAAM’s reputation. In Ukraine, the missile has been used extensively for both air-to-air and surface-to-air missions, including integration with the National Advanced Surface-to-Air Missile System (NASAMS). Its effectiveness against drones, cruise missiles, and manned aircraft in contested environments has been repeatedly demonstrated in recent conflicts across Europe and the Middle East.
Beyond air-to-air combat, the AMRAAM’s adaptability for use in integrated air defense systems has increased its strategic value. NASAMS, for example, protects critical infrastructure in the U.S. and several allied nations. The missile’s proven record in intercepting a diverse range of threats has made it a preferred choice for countries seeking to bolster their air defense capabilities in the face of evolving global threats.
“Recent combat use in Ukraine and the Middle East has validated the AMRAAM’s versatility and effectiveness, reinforcing international confidence in the system.”
Industrial Base and Economic Impact
Raytheon’s Tucson facility anchors a regional defense ecosystem, supporting not only direct missile production but also a network of suppliers and subcontractors. The Department of Defense’s subcontracting plan aims for 30% participation by small businesses, spreading economic benefits throughout the supply chain and supporting local economies.
The international market for air-to-air missiles is robust, with the sector valued at $7.36 billion in 2025 and projected to grow to $10.74 billion by 2030. AMRAAM contracts, with recent awards exceeding $4 billion, represent a significant share of this market. International demand provides economies of scale, reducing unit costs and fostering technological collaboration among partner nations.
Maintaining and expanding production capacity presents challenges, including workforce development and supply chain resilience. Raytheon has invested in training and infrastructure to meet rising demand, but further expansion will require sustained investment and coordination across the defense industrial base.
Competitive Landscape and Future Outlook
The global air-to-air missile market is increasingly competitive. China’s PL-15 and Europe’s MBDA Meteor represent significant advancements in range, speed, and electronic warfare capabilities. These developments have spurred continued investment in AMRAAM upgrades, including potential new variants with extended range and improved counter-countermeasure features.
Congressional interest in missile stockpiles and readiness has led to calls for expanded inventories and assessments of current capabilities. The goal is to ensure that the U.S. and its allies are prepared for high-intensity conflicts that could rapidly deplete existing stocks.
Looking ahead, the AMRAAM program will likely focus on further improvements in guidance, propulsion, and electronic warfare resilience. Integration with next-generation fighters and air defense systems will be key to maintaining air superiority in an era of rapidly advancing adversary capabilities.
Conclusion
The $760 million AMRAAM contract awarded to RTX’s Raytheon is more than a procurement milestone, it is a strategic investment in the security and interoperability of the United States and its allies. The contract, alongside recent multi-billion-dollar awards, demonstrates the high priority placed on maintaining technological superiority and readiness in the face of evolving threats.
With a proven track record, continuous upgrades, and global adoption, the AMRAAM remains central to modern air combat and integrated air defense. The ongoing expansion of production capacity, coupled with sustained international demand, ensures that the missile will continue to play a pivotal role in safeguarding allied airspace and supporting collective defense for years to come.
FAQ
What is the AMRAAM missile and why is it important?
The AMRAAM (Advanced Medium-Range Air-to-Air Missile) is a modern, active radar-guided missile used by the U.S. and allied air forces for air-to-air combat and surface-to-air defense. Its “fire-and-forget” capability and adaptability make it a cornerstone of air superiority strategies.
Which countries are included in recent AMRAAM contracts?
Recent contracts involve Foreign Military Sales to nations including Canada, Taiwan, Sweden, the Czech Republic, and a broader group of 19 allied countries, reflecting the missile’s global adoption and interoperability.
How much does an AMRAAM missile cost?
Costs vary by variant: the AIM-120D is about $1.09 million, AIM-120C-5 is around $1.3 million, and AIM-120C-8 can reach approximately $1.9 million per missile.
Why is production capacity being expanded?
Production is being ramped up in response to increased demand from both the U.S. military and international partners, as well as the need to replenish stocks depleted by ongoing conflicts and to prepare for future contingencies.
What advancements are planned for future AMRAAM variants?
Future upgrades are expected to focus on extended range, improved electronic warfare resilience, and enhanced guidance systems to counter advanced threats from near-peer competitors.
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Photo Credit: RTX
Defense & Military
Airbus U740 Valkyrie Completes First European Test Flight
Airbus and Kratos flew the U740 Valkyrie in Northern Europe on Sept. 29, targeting a combat-ready CCA for Germany by 2029.
The September 29, 2026, flight at an undisclosed facility in Northern Europe, announced in an October 12 press release, marks a critical step in Airbus’s strategy to pair an established United States-built airframe with sovereign European mission systems.
Flight test details and aircraft specifications
During the test, the uncrewed aircraft utilized a rocket-assisted launch and reached speeds up to Mach 0.8. The U740 Valkyrie is the European designation for the Kratos XQ-58A Valkyrie, an aircraft that has been conducting flight tests in the United States since 2019.
The aircraft measures 30 feet (9.1 meters) in length with a wingspan of 27 feet (8.2 meters). It features a maximum take-off weight exceeding 6,000 pounds (approximately 3 metric tons), a service ceiling of 45,000 feet, and an operational range exceeding 3,000 miles (5,000 kilometers).
In a statement accompanying the announcement, Airbus Defence and Space CEO Mike Schoellhorn emphasized the necessity of the program.
“In an increasingly complex and contested threat environment, air forces require affordable combat mass. By pairing Kratos’ proven airframe as a ‘program of record’ with Airbus’ sovereign European mission system, we are able to offer a robust, sovereign, affordable, and combat-ready CCA system by the end of the decade.”
Kratos President and CEO Eric DeMarco noted the maturity of the Valkyrie system, calling the maiden European flight an “amazing success” and highlighting the integration between the two companies.
The push for European Collaborative Combat Aircraft
The development of Collaborative Combat Aircraft (CCA) represents a major shift in global military aviation. Often referred to as “loyal wingmen,” these uncrewed systems are designed to operate alongside crewed fighters, extending the sensor range, firepower, and overall survivability of the fleet at a fraction of the cost of traditional crewed aircraft.
The U740 Valkyrie is specifically intended to operate in coordination with the Eurofighter Typhoon. According to reporting by Reuters, the estimated cost per aircraft is approximately €20 million, classifying the drone as an “attritable” or affordable asset. Reuters also reported that potential demand from the German Armed Forces (Bundeswehr) could reach approximately 500 CCAs.
The urgency for a European CCA program follows ongoing delays and political friction surrounding the Franco-German Future Combat Air System (FCAS). By utilizing an existing airframe rather than developing a new platform from scratch, Airbus intends to field sovereign uncrewed capabilities more rapidly. The company previously showcased the U740 Valkyrie alongside the U760 Ravenstorm at the ILA Berlin Air shows in June 2026, stressing the requirement for affordable combat mass.
Integrating the MARS mission system
Airbus and Kratos initially announced their partnership in July 2025, with Airbus acquiring two Valkyrie airframes for flight tests in Manching, Germany, announced in March 2026.
The core of the Europeanization effort is the integration of the Airbus Multi-platform Autonomous Reconfigurable and Secure (MARS) mission system. MARS is designed to function as the “European brain” of the aircraft, ensuring sovereign control over software, data, and mission applications. The system utilizes artificial intelligence to conduct missions autonomously while maintaining a human “on the loop” for critical operational decisions.
While the October 12 press release highlighted the MARS system, Reuters reported that the September 29 flight did not include the MARS integration. The proprietary Airbus system will be installed for future testing phases.
The next flight of the U740 Valkyrie, expected in the first quarter of 2027, will feature the active MARS mission system. Following that, Airbus plans to conduct the first flight involving direct coordination between the U740 Valkyrie and a Eurofighter Typhoon in late 2027, keeping the program on track for its 2029 operational target.
AirPro News analysis
The successful European flight of the U740 Valkyrie highlights a pragmatic shift in European defense procurement. With the Future Combat Air System (FCAS) facing protracted development timelines, Airbus has recognized that European air forces cannot wait until the 2040s to field collaborative combat mass. By licensing the Kratos XQ-58A airframe and focusing indigenous development solely on the MARS mission system, Airbus is effectively decoupling the software and command-and-control sovereignty from the hardware platform. If the 2029 target is met, this hybrid procurement model could set a precedent for how European defense contractors bridge the gap between immediate operational requirements and long-term, multi-national development programs.
Photo Credit: Airbus
Defense & Military
Garmin Delivers 1000th King Air G1000 Retrofit to US Army
Garmin completes its 1,000th King Air G1000 NXi retrofit, installing the milestone avionics suite on a U.S. Army C-12 Huron.
Garmin International, Inc. (NYSE: GRMN) has delivered its 1,000th G1000 integrated flight deck retrofit for the Beechcraft King Air family, installing the milestone avionics suite on a U.S. Army C-12 Huron.
Announced in a company press release on October 13, 2026, the delivery supports a comprehensive military modernization initiative designed to maintain the operational readiness of the Army fixed-wing transport fleet through 2050. The milestone aircraft was delivered during an October 6, 2026, ceremony at the Stevens Aerospace and Defense Systems facility in Greenville, South Carolina.
Modernizing the Army fixed-wing fleet
The U.S. Army operates the C-12 Huron, a military variant of the twin-turboprop Beechcraft King Air, primarily for passenger and light cargo transport missions. To mitigate obsolescence and reduce lifecycle maintenance burdens across this fleet, the service selected the Garmin G1000 NXi as its next-generation avionics solution.
The avionics upgrade program is tied to a $946 million contract awarded to Amentum on January 15, 2024. Under this agreement, Amentum manages life-cycle services, sustainment, and modernization for 150 Army fixed-wing aircraft, a fleet that includes the C-12 Huron, C-26, T-6, and UC-35 models. Amentum teamed with Stevens Aerospace and Defense Systems, which serves as the primary depot maintenance facility and performs the physical avionics installations.
To date, the U.S. Army has upgraded more than 40 C-12 Huron aircraft with the G1000 NXi system.
U.S. Army Fixed Wing Project Manager LTC (P) James B. Hickey described the installation as a tangible example of the branch continuous transformation and commitment to delivering resilient capabilities.
“By replacing aging analog systems with reliable, data-enabled G1000 technology, we are mitigating obsolescence, reducing lifecycle maintenance burdens, and improving operational readiness,” Hickey said.
Jim Williams, Senior Vice President at Stevens Aerospace, noted that the comprehensive avionics modernization effort is a direct requirement for keeping the C-12 fleet mission-ready through the 2050 target date.
Evolution of the King Air retrofit program
The Garmin King Air retrofit program began nearly two decades ago. The manufacturer received its first supplemental type certificate (STC) for a King Air G1000 installation in November 2007. The program covers multiple King Air variants, including the civilian C90A/B, 200, B200, 300, and 350 series, alongside the military C-12 variants.
In January 2017, Garmin achieved certification for the upgraded G1000 NXi system. The NXi iteration replaces legacy analog instruments with a fully integrated flight deck featuring faster processing and large-screen displays. The suite includes Synthetic Vision Technology (SVT), Emergency Descent Mode (EDM), and electronic stability and protection systems.
Carl Wolf, Garmin Vice President of Aviation Sales, Marketing, Programs & Support, stated that reaching 1,000 retrofits demonstrates the enduring value of the program and the trust operators place in the authorized dealer network.
Future capabilities and certification
Garmin continues to develop new capabilities for the King Air platform, focusing on expanding the certification basis for its automated safety systems.
By late 2026, Garmin expects to certify its Autothrottle and Autoland systems for King Air aircraft operating under increased gross weight STCs up to 16,500 pounds. These systems automate engine power management and can execute emergency landing procedures without human intervention, providing an additional layer of safety for both civilian and military operators.
AirPro News analysis
The U.S. Army decision to operate the C-12 Huron through 2050 highlights a broader trend in military aviation procurement. Rather than investing in clean-sheet replacement programs for utility and transport missions, we see armed Air Forces increasingly relying on comprehensive avionics retrofits to extend the life of proven airframes. By integrating commercial off-the-shelf technology like the G1000 NXi, military operators achieve modern data capabilities and reduced maintenance costs at a fraction of the price of new aircraft acquisitions. The upcoming certification of Autoland for heavier King Air variants will further blur the line between legacy airframes and modern automated platforms, potentially offering even greater utility and safety margins for aging fleets.
Photo Credit: Garmin International
Defense & Military
GE Aerospace and Shield AI Sign Poland F110 MRO MOU
GE Aerospace, Shield AI, and WZL-2 sign MOU to build F110 engine MRO capabilities in Poland for the X-BAT autonomous fighter.
GE Aerospace, Shield AI, and Polish defense contractor Wojskowe Zakłady Lotnicze Nr 2 S.A. (WZL-2) have signed a memorandum of understanding to establish maintenance, repair, and overhaul capabilities in Europe for the F110 engine powering the autonomous X-BAT fighter.
The agreement, announced in a press release on October 12, 2026, aims to build local sustainment infrastructure for the AI-piloted vertical takeoff and landing aircraft, ensuring next-generation autonomous systems remain mission-ready on NATO’s eastern flank.
Building local sustainment for autonomous systems
The memorandum of understanding (MOU) outlines a framework for the three companies to explore the infrastructure, equipment, and training required to build and expand maintenance, repair, and overhaul (MRO) capabilities in Poland over time. The primary focus is the GE Aerospace F110 engine and its specialized Axisymmetric Vectoring Exhaust Nozzle (AVEN), which provides the X-BAT with its vertical takeoff and landing (VTOL) capabilities.
Amy Gowder, President & CEO of Defense & Systems at GE Aerospace, noted that the manufacturer has supported Poland’s armed forces and aerospace industry for more than 30 years.
This MOU extends that partnership to X-BAT, bringing proven propulsion and sustainment expertise together with Shield AI’s breakthrough innovation in AI-piloted aircraft and Polish industry to keep next-generation autonomous systems mission-ready.
WZL-2, one of Poland’s largest aviation companies, already provides comprehensive maintenance and modernization services for military airframes and engines. Jakub Gazda, CEO of WZL-2, stated that the agreement marks a step forward in developing the company’s capabilities in advanced aerospace technologies.
We believe that combining WZL-2’s experience, our partners’ technologies, and the potential of the Polish industry will create new opportunities to develop domestic technical expertise, strengthen security, and increase the participation of Polish industry in international defense supply chains.
The X-BAT program and recent milestones
The X-BAT is an AI-piloted fighter aircraft designed to operate independently of vulnerable hardened airfields. Utilizing its VTOL capabilities, the aircraft can launch and recover from small sites, ships, and roads. The program is managed by Shield AI, a venture-backed defense technology company founded in 2015 that specializes in intelligent systems and autonomy software.
The Polish MRO agreement follows a series of rapid developments for the X-BAT program. On October 8, 2026, Shield AI and the US government announced that total investment in the X-BAT program had reached $400 million, following a $150 million agreement modification. That same day, Shield AI signed a strategic agreement with GEK TERNA to jointly pursue the development of an X-BAT sustainment and industrial base in Greece.
Production and testing infrastructure is also expanding domestically. On September 30, 2026, Shield AI named facilities in Kansas and Washington as the official flight test and production homes for the X-BAT aircraft.
Expanding Poland’s aerospace industrial base
The October 12 MOU builds directly upon a letter of intent signed on September 9, 2026, between Shield AI, WZL-2, and Polska Grupa Zbrojeniowa S.A. (PGZ), the state-owned defense holding company that includes WZL-2. That initial agreement established a partnership for the design, production, delivery, and sustainment of the X-BAT in Poland.
Ryan Tseng, President, Co-founder, and Chief Strategy Officer at Shield AI, highlighted the strategic importance of the Polish defense sector, noting that few countries in Europe are investing in advanced technology at Poland’s scale.
GE’s F110, with its updated thrust-vectoring nozzle, is one of the most advanced powerplants in the world. WZL-2 has the people and facilities to maintain it in Poland. With both companies working with us, Polish industry can build and support X-BAT for Poland and for export, as part of Shield AI’s supply chain.
F110 engine legacy and capabilities
GE Aerospace brings a massive industrial footprint to the partnership, employing approximately 57,000 people globally with an installed base of roughly 30,000 military and 50,000 commercial aircraft engines. The F110 engine family recently marked 40 years of continuous production and improvement, accumulating 11 million flight hours across various military platforms.
For the X-BAT application, the F110 is paired with the AVEN system. This thrust-vectoring nozzle directs the engine’s exhaust to enable vertical flight operations while also enhancing the aircraft’s maneuverability during horizontal flight phases.
AirPro News analysis
We note that establishing MRO infrastructure concurrently with aircraft development represents a deliberate shift from traditional defense procurement models, where sustainment planning often lags behind initial fielding. By securing maintenance agreements in frontline NATO states like Poland and Greece, Shield AI and GE Aerospace are aligning the X-BAT’s industrial footprint directly with its operational doctrine.
The X-BAT is fundamentally designed for distributed operations away from major, targetable air bases. Building a decentralized, regional supply chain ensures that heavy maintenance and engine overhauls can occur close to the anticipated deployment zones, reducing logistics tails and keeping turnaround times short for operators on NATO’s eastern and southern flanks.
Photo Credit: GE Aerospace
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