Defense & Military
Boeing Awarded 2.47 Billion Contract for KC-46A Tanker Production
USAF awards Boeing $2.47B contract for 15 KC-46A Pegasus tankers, securing production through 2029 amid ongoing technical upgrades.
On November 25, 2025, the United States Air Force officially awarded Boeing a significant contract valued at $2.47 billion. This agreement, designated as the Lot 12 production contract, authorizes the construction of 15 additional KC-46A Pegasus tankers. This latest award underscores the military’s continued reliance on the Pegasus airframe to modernize its aerial refueling capabilities, ensuring production stability at Boeing’s Everett, Washington facility through June 2029.
The KC-46A program serves as the cornerstone of the U.S. Air Force’s strategy to replace aging aerial refueling fleets. With this new acquisition, the total number of KC-46A aircraft under contract globally has risen to 183. This figure represents a mix of domestic orders for the U.S. Air Force and international contracts, highlighting the airframe’s growing role in global defense logistics despite a history of developmental complexities. The Lot 12 award is a critical step in maintaining the industrial base required to support the fleet’s expansion.
We observe that this contracts comes at a pivotal time for the program. While the platform has faced scrutiny regarding technical hurdles and financial performance, the Air Force’s commitment to these 15 additional units signals a focus on long-term fleet recapitalization. As the service retires older airframes, such as the KC-10 Extender and the KC-135 Stratotanker, the steady delivery of the KC-46A becomes essential for maintaining global reach and power projection capabilities.
The Lot 12 contract ensures that the production line in Everett remains active and efficient. According to the contract details, the work for these 15 aircraft is expected to be completed by June 30, 2029. This timeline provides a clear trajectory for the workforce and supply chain involved in the program. As of late November 2025, Boeing has successfully delivered 98 KC-46A tankers to the U.S. Air Force. These aircraft are already heavily utilized, having surpassed 150,000 flight hours globally across a variety of mission sets, including aerial refueling, cargo transport, and aeromedical evacuation.
Beyond the domestic requirements of the United States, the KC-46A is expanding its footprint among key allies. The global contract count of 183 aircraft includes commitments from international partners. Japan, for instance, has six aircraft on contract, with four already delivered as of early 2025. Similarly, Israel has contracted for four aircraft, with deliveries anticipated to commence in 2025. These international sales are vital for interoperability during joint operations and help distribute the program’s industrial footprint.
The operational tempo of the existing fleet demonstrates the aircraft’s growing utility. In October 2024, the U.S. Air-Forces executed the first full-scale operational combat deployment of a KC-46A squadron to the Middle East under U.S. Central Command (CENTCOM). This deployment marks a significant maturation of the system, proving its ability to operate in real-world combat environments. The aircraft is currently certified to refuel nearly all receiver aircraft in the U.S. inventory, although specific limitations remain regarding the A-10 Warthog and the E-7 Wedgetail.
“The contract brings the total number of KC-46A aircraft under contract globally to 183, reinforcing the type’s role as the backbone of the future U.S. aerial refueling fleet.”
While the Lot 12 award secures future production, the program continues to navigate significant financial and technical headwinds. The KC-46A is produced under a fixed-price contract structure, which places the burden of cost overruns on the manufacturer rather than the taxpayer. Since the program’s inception in 2011, Boeing has recorded over $7 billion in pre-tax charges. Most recently, in late 2024, the company took a $661 million charge attributed to supply chain instability and labor disruptions that impacted production efficiency.
From a technical perspective, the primary focus remains on the Remote Vision System (RVS), the camera-based system used by boom operators to refuel receiver aircraft. The current system has faced criticism for image distortion under specific lighting conditions. The solution, known as RVS 2.0, involves a complete overhaul of the camera and display technology. However, the implementation of this upgrade has faced repeated delays. As of late 2025, the fielding of RVS 2.0 has slipped to the summer of 2027, nearly three years behind the original schedule. Until this system is fully operational, the Air Force continues to categorize these vision system issues as Category 1 deficiencies. Despite these challenges, the Air Force views the KC-46A as a necessary “bridge” to the future. With the Next-Generation Air-Refueling System (NGAS), a stealthy tanker designed for contested environments, not expected until the mid-2030s, the KC-46A must fill the capability gap. The retirement of the KC-10 Extender fleet in late 2024 has placed additional pressure on the KC-46A to perform immediately. Consequently, the service is analyzing the potential for purchasing additional KC-46As beyond the originally planned 179 units to ensure sufficient tanker capacity over the next decade.
The awarding of the $2.47 billion Lot 12 contract serves as a reaffirmation of the KC-46A Pegasus’s central role in U.S. defense strategy. By securing production through 2029, the Air Force is mitigating the risks associated with an aging tanker fleet while allowing time for necessary technical upgrades like RVS 2.0 to come online. The continued investment suggests that, despite financial losses and technical delays, the operational value of the airframe outweighs its developmental growing pains.
Looking ahead, the focus will likely shift to the successful integration of the RVS 2.0 upgrade and the stabilization of the supply chain. As the fleet grows toward the contracted 183 units and international partners begin operating the type more extensively, the KC-46A will become the ubiquitous face of aerial refueling. Its performance in ongoing deployments and its ability to bridge the gap to next-generation stealth tankers will define its legacy in the coming decade.
What is the value of the Lot 12 contract awarded to Boeing? How many KC-46A tankers are included in this contract? When is the production for this lot expected to be completed? What is the status of the Remote Vision System (RVS) upgrade?
Boeing Secures $2.47 Billion Contract for Lot 12 KC-46A Tanker Production
Production Milestones and Global Fleet Expansion
Technical Challenges and Financial Context
Conclusion
FAQ
The Lot 12 contract awarded on November 25, 2025, is valued at $2.47 billion.
This contract covers the production of 15 additional KC-46A Pegasus tankers.
The estimated completion date for the work associated with this contract is June 30, 2029.
The rollout of the upgraded RVS 2.0 system has been delayed and is currently expected to be fielded in the summer of 2027.
Sources
Photo Credit: Staff Sgt. Devin Rumbaugh | United States Air Forces Central
Defense & Military
Boeing to Modernize C-17A Fleet with MOSA Upgrades Through 2075
Boeing secures contract to upgrade C-17A avionics with Modular Open Systems Architecture, extending fleet service through 2075 with Curtiss-Wright as key subcontractor.
The Boeing Company announced on February 9, 2026, that it has received a significant contract award from the U.S. Air Force to overhaul the flight deck of the C-17A Globemaster III. The “Flight Deck Obsolescence and Technology Refresh” program aims to transition the strategic airlifter’s avionics to a Modular Open Systems Architecture (MOSA), ensuring the fleet remains mission-ready through 2075.
This modernization effort addresses critical component obsolescence while introducing a digital backbone capable of rapid future upgrades. By moving away from hard-wired legacy systems, the U.S. Air-Forces intends to keep the C-17 relevant in an era of contested logistics and evolving digital warfare.
According to the announcement, the core of this upgrade is the implementation of MOSA. This architecture functions similarly to a modern smartphone operating system, allowing engineers to swap out hardware or install new software applications without redesigning the entire cockpit. This “plug-and-play” capability is essential for integrating future communication links and defensive systems required for Joint All-Domain Command and Control (JADC2) operations.
The upgrade will replace legacy Multi-Function Displays (MFD) and Standby Engine Displays (SED) with high-definition “glass cockpit” screens. It also includes upgrades to the Core Integrated Processor (CIP) and Video Integrated Processor (VIP), significantly reducing crew workload and improving situational awareness.
Travis Williams, Vice President of Boeing USAF Mobility & Training Services, emphasized the long-term value of this refresh in the company’s press statement:
“By resolving avionics obsolescence and introducing MOSA, we’re preserving a proven, highly dependable, heavy airlifter and keeping it at the forefront of performance and efficiency for decades to come.”
While the February 9 announcement highlights the broader modernization framework, specific financial details reveal the scale of the commitment. A related contract for “Flight Deck Replacement” awarded to Boeing in late 2025 was valued at approximately $265 million, covering the Engineering, Manufacturing, and Development (EMD) phase.
Simultaneously, Curtiss-Wright Corporation announced it had secured a contract with a lifetime value exceeding $400 million to supply the ruggedized mission computers for the program. As a major subcontractor, Curtiss-Wright will provide the high-performance computing modules that serve as the brain of the new open architecture system. Lynn M. Bamford, Chair and CEO of Curtiss-Wright, stated regarding the partnership:
“By delivering rugged, modular mission computing technology, we are supporting the long-term readiness of the C-17, a platform essential to global logistics and mobility operations.”
The decision to extend the C-17’s service life to 2075, nearly 85 years after its first flight, highlights a critical reality in modern military aviation: airframes often outlast their electronics. The C-17 is structurally sound, but its 1990s-era avionics are becoming impossible to source.
We observe that the move to MOSA is not just about maintenance; it is a strategic pivot. By decoupling software from hardware, the USAF can update the C-17’s cyber defenses and communication nodes at the speed of software development, rather than the multi-year pace of hardware acquisition. This flexibility is vital as the C-17 transitions from a permissive-environment cargo hauler to a data node in a high-threat, connected battlespace.
The modernization program targets the entire fleet of 275 aircraft. This includes 222 aircraft operated by the U.S. Air Force and 53 aircraft flown by international partners, including the United Kingdom, Australia, Canada, India, Kuwait, Qatar, the UAE, and the NATO Strategic Airlift Capability.
In addition to the avionics refresh, the fleet is undergoing efficiency improvements. Recent reports indicate the adoption of “Microvanes,” 3D-printed structures attached to the fuselage that reduce drag by approximately 1%. While seemingly small, this adjustment saves millions of gallons of fuel annually, extending the aircraft’s range for operations in the Pacific theater.
What is the timeline for the C-17 modernization? What is MOSA? Who are the primary contractors?
Boeing Secures Contract to Modernize C-17A Fleet Through 2075
The Shift to Open Architecture
Key Partners and Financials
Curtiss-Wright’s Contribution
AirPro News Analysis
Global Fleet Impact
Frequently Asked Questions
The program is designed to keep the C-17 operational through 2075. The current phase involves Engineering, Manufacturing, and Development (EMD), with fleet-wide installation to follow.
Modular Open Systems Architecture (MOSA) is a design standard that allows different components from different suppliers to work together seamlessly. It enables rapid upgrades and prevents “vendor lock-in” for future technology insertions.
The Boeing Company is the prime contractor. Curtiss-Wright Corporation is a key subcontractor responsible for the mission computers.Sources
Photo Credit: Boeing
Defense & Military
South Korea Grounds AH-1S Cobra Helicopters After Fatal Crash
South Korea suspends AH-1S Cobra helicopter operations following a fatal training crash amid delays in fleet replacement.
This article summarizes reporting by South China Morning Post and official statements from the South Korean military.
The South Korean military has ordered an immediate suspension of all AH-1S Cobra helicopters operations following a fatal accident on Monday morning. According to reporting by the South China Morning Post (SCMP), the crash occurred in Gapyeong and resulted in the deaths of two crew members. The grounding order remains in effect pending a comprehensive investigation into the cause of the incident.
The tragedy has renewed scrutiny over the Republic of Korea Army’s aging fleet of attack helicopters, many of which have surpassed their original intended service life. Military officials confirmed that the aircraft involved was conducting training maneuvers at the time of the accident.
The crash took place at approximately 11:04 AM KST on February 9, 2026. The aircraft, an AH-1S Cobra operated by the Army’s 15th Aviation Group, went down on a riverbank in Gapyeong County, located roughly 55 kilometers northeast of Seoul.
According to military briefings, the two crew members on board, both Warrant Officers, were recovered from the wreckage in cardiac arrest. They were transported to a nearby hospital but were subsequently pronounced dead.
Preliminary reports indicate the crew was engaged in “emergency landing procedures.” In rotorcraft aviation, this typically refers to autorotation training, a high-risk maneuver where pilots simulate engine failure to glide the helicopter safely to the ground using the energy stored in the spinning rotors. While standard for pilot certification, autorotation requires precise handling, particularly during the final “flare” phase near the ground.
The AH-1S Cobra has been a staple of South Korea’s anti-tank capabilities since its introduction between 1988 and 1991. However, the fleet is widely considered obsolete by modern standards. Estimates suggest the Army still operates between 55 and 70 of these airframes.
According to defense procurement plans previously released by the government, the AH-1S fleet was scheduled for retirement by 2024. The continued operation of these helicopters in 2026 points to significant delays in the full deployment of replacement platforms, specifically the AH-64E Apache Guardian and the domestically produced KAI LAH (Light Armed Helicopter). This is not the first time the aging Cobra fleet has faced safety questions. In August 2018, the fleet was grounded after a catastrophic mechanical failure in Yongin. During that incident, a main rotor blade separated from the fuselage during takeoff, leading to a crash landing. That failure was later attributed to a defect in the rotor strap assembly, highlighting the structural fatigue inherent in airframes that have been in service for nearly four decades.
The Risks of Legacy Training Modernization Pressure
South Korea Grounds AH-1S Cobra Fleet Following Fatal Training Crash
Incident Details and Casualties
Fleet Status and Delayed Retirement
Previous Safety Concerns
AirPro News Analysis
The crash in Gapyeong underscores a critical dilemma facing modernizing militaries: the necessity of training on “high-risk” airframes while awaiting delayed replacements. Autorotation training is inherently dangerous even in modern aircraft; performing these stress-inducing maneuvers on helicopters approaching 40 years of service compounds the risk profile significantly.
We anticipate this incident will accelerate political pressure on the Ministry of National Defense to expedite the retirement of the remaining AH-1S Cobras. While South Korea has become a major exporter of advanced defense hardware, such as the K2 tank and FA-50 light combat aircraft, the domestic reliance on Vietnam-era derivative helicopters creates a stark capability gap. The tragedy may force the military to prioritize the delivery of the KAI LAH to prevent further loss of life among aircrews operating obsolete equipment.
Sources
Photo Credit: Reuters
Defense & Military
Grid Aero Raises $20M to Deploy Long-Range Autonomous Airlift
Grid Aero secures $20M Series A funding to develop the “Lifter-Lite,” a long-range autonomous aircraft for military logistics in the Indo-Pacific.
This article is based on an official press release from Grid Aero.
Grid Aero, a California-based aerospace Startups, announced on January 26, 2026, that it has raised $20 million in Series A funding. The round was led by Bison Ventures and Geodesic Capital, with participation from Stony Lonesome Group, Alumni Ventures, Ubiquity Ventures, Calibrate Ventures, and Commonweal Ventures. The capital will be used to transition the company’s “Lifter-Lite” autonomous aircraft from prototype to a fielded platform, specifically targeting military logistics challenges in the Indo-Pacific region.
Unlike many entrants in the autonomous aviation sector that focus on electric propulsion, Grid Aero has developed a clean-sheet, conventional-fuel aircraft designed to address the “tyranny of distance.” By utilizing standard Jet-A fuel and a rugged fixed-wing design, the company aims to provide a heavy-lift solution capable of operating without traditional runway infrastructure.
According to the company’s announcement, the flagship “Lifter-Lite” aircraft prioritizes range and payload capacity over novel propulsion methods. The system is engineered to carry between 1,000 and 8,000 pounds of cargo, with a maximum range of up to 2,000 miles. This range capability allows for trans-oceanic flights, such as routes from Guam to Japan, which are critical for Pacific theater operations.
The aircraft utilizes a conventional turboprop engine, a strategic choice intended to ensure compatibility with existing military fuel supply chains. The design features Short Takeoff and Landing (STOL) capabilities, enabling operations from dirt strips, highways, or damaged runways where standard cargo planes cannot land.
Grid Aero was founded in 2024 by CEO Arthur Dubois and CTO Chinmay Patel. Dubois previously served as Director of Engineering at Xwing and was an early engineer at Joby Aviation. Patel, who holds a PhD in Aeronautics and Astronautics from Stanford, brings experience from Zee Aero (Kitty Hawk). The leadership team emphasizes a shift away from the “electric hype” of the urban air mobility sector toward pragmatic, physics-based solutions for defense logistics.
“We are building the pickup truck of the skies, a rugged, affordable, and autonomous logistics network capable of operating in austere environments.”
, Grid Aero Mission Statement
The Investments from Geodesic Capital, a firm known for fostering U.S.-Japan collaboration, highlights the strategic focus on the Indo-Pacific. The Department of Defense (DoD) has identified logistics as a primary vulnerability in potential conflicts where traditional supply lines may be contested. Grid Aero positions its technology as an “attritable” asset, low-cost, unmanned systems that can be deployed in volume without risking human crews. The Shift to Pragmatic Propulsion
While the broader autonomous aviation market has largely chased the promise of electric Vertical Takeoff and Landing (eVTOL) technologies, Grid Aero’s successful Series A raise signals a growing investor appetite for pragmatic, mission-specific engineering. Electric propulsion currently struggles with energy density, limiting most eVTOLs to ranges under 200 miles, insufficient for the vast distances of the Pacific.
By opting for a conventional turboprop engine, Grid Aero bypasses the battery bottleneck entirely. This decision allows the “Lifter-Lite” to integrate immediately into existing defense infrastructure (using Jet-A fuel) while offering ranges that are an order of magnitude higher than its electric competitors. For military buyers, the ability to repair an aluminum airframe in the field is often more valuable than the theoretical efficiency of composite electric platforms.
What is the primary use case for Grid Aero’s aircraft?
The aircraft is designed for “contested logistics,” delivering heavy cargo (1,000–8,000 lbs) over long ranges (up to 2,000 miles) to areas without standard runways, such as islands or forward operating bases.
Why does Grid Aero use conventional fuel instead of electric power?
Conventional Jet-A fuel offers significantly higher energy density than current battery technology, enabling the long ranges required for operations in the Pacific. It also ensures compatibility with existing military logistics chains.
Who are the lead investors in this round? The Series A round was led by Bison Ventures, a deep-tech VC firm, and Geodesic Capital, which specializes in U.S.-Japan expansion and security collaboration.
Is the aircraft fully autonomous?
Yes, the system is designed for fully autonomous flight operations, allowing for “fleet-scale” management where a single operator can oversee multiple aircraft simultaneously.
Grid Aero Secures $20M Series A to Deploy Long-Range Autonomous Airlift for Contested Logistics
The “Lifter-Lite” Platform: Capabilities and Design
Leadership and Engineering Pedigree
Strategic Context: Addressing Contested Logistics
AirPro News Analysis
Frequently Asked Questions
Sources
Photo Credit: Grid Aero
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