Amentum Secures 995 Million Air Force Contract for MQ-9 Reaper Maintenance

Amentum Secures $995 Million Air Force Contract for Global MQ-9 Reaper Maintenance: Analysis of Defense Contracting and Military Drone Operations

The recent award of a $995 million indefinite-delivery/indefinite-quantity (IDIQ) contract to Amentum Services Inc. for MQ-9 Reaper maintenance marks a pivotal moment in the evolution of military Drones operations and defense contracting. Announced in September 2024, this contract underscores the U.S. Air Force’s reliance on advanced unmanned aerial systems (UAS) and highlights the expanding role of private sector contractors in sustaining America’s cutting-edge military capabilities. Spanning five years through September 2030, the agreement covers organizational-level maintenance support for MQ-9 Reaper weapons systems at bases in the United States and across global theaters of operation.

This development emerges against the backdrop of steadily growing global defense spending and the rapid adoption of advanced military technologies. According to the Stockholm International Peace Research Institute, world military expenditure reached $2.7 trillion in 2024, the highest figure ever recorded. Unmanned systems, such as the MQ-9 Reaper, are increasingly central to modern military doctrine, and their market is projected to reach $22.8 billion by 2030. The Amentum contract both reflects and reinforces these trends, raising important considerations for military readiness, industrial base health, and the future of defense outsourcing.

Corporate Profile and Strategic Positioning of Amentum

Amentum Holdings Inc. has rapidly emerged as a leading government services contractor in the United States. Established in 2020 as a spinout from AECOM’s Management Services Group, Amentum’s growth strategy has focused on acquisitions and mergers, including the purchases of DynCorp in 2020 and PAE in 2022. In March 2024, the company merged with Jacobs Solutions Inc.’s Critical Mission Solutions and Cyber and Intelligence businesses, further consolidating its position in the defense services sector.

As of late 2024, Amentum employs over 20,000 people across 48 states and 28 foreign countries and territories. Its expertise spans critical mission support, equipment sustainment, information technology, intelligence operations, nuclear and environmental remediation, and facility maintenance. Notable projects include training all U.S. Army helicopter pilots at Fort Rucker and managing major nuclear remediation sites such as Savannah River and Hanford.

The company’s September 2024 public offering on the New York Stock Exchange under the ticker “AMTM” and inclusion in the S&P 500 index underscore its status as a major defense contractor. Amentum’s operational footprint and technical depth position it to meet the complex maintenance needs of the MQ-9 Reaper fleet and similar advanced defense systems.

Understanding the MQ-9 Reaper Program and Its Strategic Importance

Technical Capabilities and Role

The General Atomics MQ-9 Reaper, also known as Predator B, is a medium-altitude, long-endurance unmanned aerial vehicle (UAV) developed primarily for the U.S. Air Force. First flown in 2001, the MQ-9 represents a significant technological leap over its predecessor, the MQ-1 Predator. The Reaper is powered by a 950-shaft-horsepower Honeywell turboprop engine, enabling it to carry 15 times the ordnance payload of the MQ-1 and cruise at three times the speed.

The MQ-9’s specifications include a 66-foot wingspan, a length of 36 feet, and a maximum takeoff weight of 10,500 pounds (or 11,700 pounds in extended range configuration). It can operate at altitudes up to 50,000 feet, with a maximum speed of 240 knots and an endurance of over 27 hours for surveillance missions. The aircraft’s payload capacity,850 pounds internal and 3,000 pounds external,allows for a wide range of mission configurations, from intelligence gathering to precision strike.

As of May 2021, the U.S. Air-Forces operated over 300 MQ-9 Reapers, with Air Force Special Operations Command maintaining 50 aircraft as of January 2025. The average unit cost is estimated at $33 million (2023 dollars), and a complete system (four aircraft, sensors, ground station, and satellite link) cost $56.5 million (FY2011 dollars). The MQ-9 fleet’s projected end of service is 2035, making robust maintenance support essential for operational readiness.

“The MQ-9 Reaper’s endurance, payload, and sensor suite make it a cornerstone of U.S. and allied intelligence, surveillance, and reconnaissance capabilities.”

Operational and Strategic Value

The MQ-9 Reaper’s flexibility and persistence have made it an indispensable asset for a range of military missions, including intelligence, surveillance, reconnaissance (ISR), close air support, combat search and rescue, and precision strike. Its ability to loiter for extended periods and deliver accurate, real-time intelligence has proven critical in both counterterrorism and conventional operations.

Beyond the U.S., the MQ-9 has been exported to several allied nations, including the United Kingdom, Italy, France, and Spain. India has also signed a major deal for 31 MQ-9B UAVs, further expanding the platform’s global footprint and increasing demand for specialized maintenance and support services.

The advanced sensor and communications suite on the MQ-9 enables integration with joint and coalition forces, enhancing situational awareness and force coordination. As military operations grow more networked and data-driven, the maintenance and readiness of such platforms are directly linked to broader operational effectiveness.

Contract Specifications and Operational Scope

The newly awarded contract (FA4890-25-D-0004) tasks Amentum with providing organizational-level maintenance support for MQ-9 Reaper systems worldwide. This includes inspection, repair, and replacement of components to ensure mission readiness. The contract’s IDIQ structure allows for flexible tasking, with a ceiling value of $995 million over five years, through September 29, 2030.

Maintenance will be performed at multiple strategic locations, including Creech Air Force Base (NV), Nellis AFB (NV), Shaw AFB (SC), Ellsworth AFB (SD), Whiteman AFB (MO), Battle Creek Air National Guard Base (MI), Berry Field ANGB (TN), Fort Smith (AR), Horsham ANGB (PA), and various overseas sites. This global reach reflects the widespread deployment of MQ-9 operations for both combat and training missions.

The contract award followed a competitive process, with three offers received. Initial fiscal 2025 operations and maintenance funds of $42,218 were obligated at award, with additional funding expected as task orders are issued. The Air Combat Command at Joint Base Langley-Eustis, Virginia, serves as the contracting authority.

“Organizational-level maintenance is the highest level performed by operating units, encompassing advanced sensors, weapons, communications, and propulsion systems,critical for keeping MQ-9s mission-ready worldwide.”

Historical Context and Previous Maintenance Contracts

The current contract builds on a substantial history of contracted maintenance for unmanned aircraft. A previous major contract (FA4890-18-D-0002) was awarded in March 2018 to URS Federal Technical Services Inc. (later acquired by Amentum), with an initial ceiling of $961 million, later increased to $1.922 billion. This agreement covered organizational-level maintenance for MQ-1, MQ-9, and RQ-4 systems, with work performed in Afghanistan and other global locations.

Through the previous contract, $440.2 million was obligated, representing 23% of the total ceiling, and a reported backlog of $256.7 million highlighted the sustained demand for these services. The expansion of the contract ceiling reflected the growing scope and operational tempo of drone fleets.

The Department of Defense has consistently emphasized the comprehensive nature of these contracts, which include not only maintenance but also qualified launch and recovery element pilot and sensor operator aircrew support. The continuity in contract language and scope speaks to the enduring requirements of the MQ-9 program and the Air Force’s approach to sustaining critical unmanned systems.

Military Drone Maintenance Market Dynamics and Cost Trends

The military drone maintenance sector is shaped by the broader trend of rising maintenance costs for advanced military aircraft. According to analysis by Oliver Wyman, global spending on maintenance, repair, and overhaul (MRO) for military aircraft reached approximately $97 billion in 2025, with projections indicating annual growth of 1.4%,potentially exceeding $111 billion by 2035.

Drone fleets are a significant driver of this growth. Over the past five years, major air forces have added 350 drones to their fleets, with the total number expected to more than double to 3,460 by 2035. Modern drones, equipped with artificial intelligence and sophisticated navigation systems, require specialized and costly maintenance operations.

Notably, the cost of maintaining advanced aircraft is rising faster than fleet size. For example, F-35s constitute 2.2% of the global military aircraft fleet but represent 4.5% of global maintenance spending. Similar patterns are seen with technologically advanced drones. The military drone market itself is valued at $15.23 billion in 2024 and is projected to reach $22.81 billion by 2030, with the U.S. maintaining the largest share.

“The integration of advanced technologies into military drones is driving maintenance costs upward, making specialized contractor support increasingly vital.”

Strategic and Operational Implications for Military Readiness

The outsourcing of MQ-9 maintenance to Amentum is consistent with broader trends in military contracting and force structure optimization. The U.S. military has increasingly relied on contractors for logistics and maintenance, with the Army’s service contract expenses rising from less than a quarter to more than a third of its total budget by 2004.

Outsourcing brings specialized skills and resources to the table, often leading to higher maintenance quality for complex systems like the MQ-9. However, it also introduces risks, such as potential loss of control over mission-essential functions and dependency on external providers. Effective oversight is critical to ensure contractor performance aligns with operational requirements.

For the MQ-9 program, reliable maintenance is directly tied to operational readiness. The aircraft’s diverse mission set,ranging from ISR to combat search and rescue,means that any degradation in maintenance quality could impact aircraft availability and mission success, especially in high-tempo or contested environments.

Global Defense Spending Context and International Implications

The Amentum contract award occurs amid record global defense spending. World military expenditure climbed by 9.4% in real terms to $2.7 trillion in 2024, marking the tenth consecutive year of increases. The United States led with $997 billion in spending, a 5.7% rise from 2023.

This surge is driven by evolving security challenges, including Russia’s invasion of Ukraine and rising tensions in the Indo-Pacific. European nations have also significantly increased military investment, with total European defense spending up 17% in 2024.

The focus on advanced technologies,drones, in particular,reflects a shift in warfare paradigms. The global drone warfare market was valued at $21.3 billion in 2023 and is projected to reach $42.1 billion by 2030. International customers, such as India’s recent $3.4 billion deal for MQ-9B UAVs, further expand the demand for maintenance expertise and services.

Future Outlook and Industry Implications

The Amentum contract is indicative of broader trends shaping the defense industry. The five-year term aligns with the MQ-9 fleet’s projected service life, suggesting that such maintenance contracts will remain essential as the Air Force transitions to next-generation systems.

Technological advancements are increasing the complexity of military systems, driving up maintenance requirements and costs. Contractors with proven expertise in maintaining advanced platforms are likely to see continued demand. Industry consolidation, as seen in Amentum’s rapid expansion, suggests that larger, more capable firms will dominate future defense services contracts.

Supply chain management is also becoming more critical, as contractors must ensure the availability of spare parts and address obsolescence issues. Effective supply chain strategies will be a key differentiator for companies competing for future maintenance contracts.

Economic and Budgetary Considerations

The $995 million contract provides Amentum with significant revenue visibility and supports its growth trajectory as a newly public company. For the U.S. government, the contract represents a major operations and maintenance commitment to sustain critical drone capabilities.

The cost-effectiveness of contractor-performed maintenance versus military-performed maintenance remains a subject of debate. Advocates highlight contractor expertise and efficiency, while critics point to potential cost overruns and dependency risks. The competitive award process for this contract, with three offers received, suggests ongoing market interest and the possibility of favorable pricing for the government.

Conclusion

The award of the $995 million MQ-9 Reaper maintenance contract to Amentum Services Inc. marks a significant milestone in defense contracting and military aviation. It reflects the increasing importance of unmanned systems, the rising complexity of military technologies, and the continued trend toward outsourcing specialized functions to private contractors.

As global defense spending and the adoption of advanced technologies continue to rise, contracts like Amentum’s will play a critical role in sustaining operational readiness and supporting the evolution of military capabilities. The implications extend beyond the immediate scope of the contract, shaping broader debates on military readiness, industrial base health, and the optimal balance between in-house and contractor-provided services.

FAQ

What is the value and duration of the Amentum Air Force contract for MQ-9 maintenance?
The contract is valued at up to $995 million and runs through September 29, 2030.

What does organizational-level maintenance for the MQ-9 Reaper include?
It covers inspection, repair, and replacement of components, including advanced sensors, weapons, communications, and propulsion systems, to keep the Military-Aircraft mission-ready.

Why is contractor maintenance important for military drone operations?
Advanced drones require specialized technical expertise for maintenance. Contractors like Amentum provide skills and resources that support operational readiness and allow military personnel to focus on core missions.

How does the Amentum contract fit into broader defense industry trends?
It reflects the ongoing trend toward outsourcing complex maintenance tasks, the increasing complexity of military systems, and the consolidation of defense services among large contractors.

Sources: ClearanceJobs