Defense & Military
Boeing Secures 7 Billion in Pentagon Defense Contracts
The U.S. DoD awards Boeing $7.15B for Apache helicopters and KC-46A tankers, supporting military production through 2032.

Pentagon Awards Boeing Over $7 Billion in Major Defense Contracts
On November 25, 2025, the U.S. Department of Defense (DoD) announced the awarding of two significant contracts to Boeing, totaling approximately $7.15 billion. These agreements underscore the continued reliance of the United States military and its international allies on Boeing’s defense hardware. The awards cover critical aviation capabilities, specifically focusing on attack helicopters for the U.S. Army’s Foreign Military Sales program and aerial refueling tankers for the U.S. Air Force.
The timing of these contracts is notable, arriving as Boeing navigates a complex financial landscape. While the company’s commercial aviation sector faces ongoing hurdles, its Defense, Space & Security (BDS) unit appears to be finding a rhythm of stabilization and growth. The contracts secure production lines for key aircraft through the end of the decade and into the 2030s, providing a degree of long-term revenue visibility for the aerospace giant.
We see this development as a reinforcement of the strategic partnership between the Pentagon and Boeing. The split of the awards,$4.69 billion allocated for Apache helicopters and $2.47 billion for KC-46A tankers,highlights the diverse operational needs of modern military forces. From strengthening the eastern flank of NATO to ensuring global reach through aerial refueling, these platforms play pivotal roles in current geopolitical strategies.
Strengthening Global Alliances: The AH-64E Apache Contract
The largest portion of the newly announced funding is a $4.69 billion firm-fixed-price contract awarded by the U.S. Army. This agreement authorizes the procurement of new build AH-64E Apache Guardian attack helicopters. The work is scheduled to be performed at Boeing’s facility in Mesa, Arizona, with an estimated completion date of May 30, 2032. This long-term timeline suggests a sustained production tempo that will keep the Mesa line active for years to come.
A critical aspect of this contract is its focus on Foreign Military Sales (FMS). The primary recipients of these advanced rotorcraft include Poland, Egypt, and Kuwait. The inclusion of Poland is particularly significant in the current geopolitical climate. Following a landmark deal signed in August 2025 to purchase 96 AH-64E Apaches, this contract appears to fund the initial production tranches of that agreement. Once deliveries are complete, Poland is projected to become the second-largest operator of Apache helicopters globally, trailing only the U.S. Army.
The AH-64E variant represents the modern standard for attack helicopters, featuring upgraded composite rotor blades, more powerful engines, and advanced digital connectivity. These technical enhancements allow the aircraft to operate effectively in complex, multi-domain battlefields. For nations like Poland, acquiring these assets is part of a rapid military modernization effort designed to deter regional threats and ensure interoperability with U.S. forces.
“The Boeing Co., Mesa, Arizona, was awarded a $4,685,369,804 firm-fixed-price contract for the procurement of new build Apache AH-64E attack helicopters… Fiscal 2010 Foreign Military Sales (Poland, Egypt, and Kuwait) funds… were obligated at the time of the award.”, U.S. Department of Defense
Sustaining Global Reach: The KC-46A Pegasus Award
The second major award is a $2.47 billion modification to an existing U.S. Air Force contract for the production of 15 KC-46A Pegasus aerial refueling tankers. Identified as “Lot 12” production, this award ensures the continued expansion of the Air Force’s tanker fleet. The work will be conducted in Seattle, Washington, with an expected completion date of June 30, 2029. This contract modification is vital for maintaining the industrial base and supply chain associated with the wide-body tanker program.
The KC-46A Pegasus has faced a challenging developmental history, including technical hurdles regarding its remote vision system. However, the program has matured significantly. With this latest award, the total number of KC-46A tankers on contract globally has risen to 183. The fleet has already surpassed 150,000 flight hours, a metric that demonstrates the aircraft is being heavily utilized for missions worldwide despite earlier setbacks. The tanker is capable of refueling all U.S., allied, and coalition military aircraft compatible with international aerial refueling procedures.
Boeing officials have emphasized that this contract provides necessary stability. By securing “Lot 12,” the company can better manage its long-lead supply chain, ensuring that parts and components are available to meet delivery schedules. For the U.S. Air Force, the continued delivery of these tankers is essential for replacing aging airframes like the KC-135 Stratotanker and maintaining the logistical reach required for global power projection.
Financial Context and Corporate Outlook
These defense wins provide a counter-narrative to the challenges Boeing faces in its commercial sector. In late October 2025, the company reported third-quarter revenue of $23.3 billion, a 30% increase year-over-year. However, this was accompanied by a core loss per share of $7.47, driven largely by a $4.9 billion pre-tax charge related to delays in the 777X commercial jet program. Against this backdrop, the defense contracts offer a reliable stream of government-backed revenue.
The Defense, Space & Security (BDS) unit is showing clear signs of recovery. In the third quarter of 2025, BDS revenue rose by 25% to $6.9 billion. More importantly, the unit returned to profitability, posting an operating margin of 1.7% compared to a loss in the previous year. The defense backlog now stands at approximately $76 billion, providing a solid foundation for future earnings. These new contracts will further bolster that backlog, reinforcing the defense unit’s role as a stabilizing pillar for the broader company.
Corporate leadership has expressed confidence in the trajectory of the defense business. Executives have noted that the portfolio is well-positioned for the future and expect the business to return to historical performance levels as execution improves. As the company works to resolve issues on the commercial side, the steady performance and contract wins in the defense sector remain critical to Boeing’s overall financial health.
Concluding Section
The awarding of over $7 billion in contracts to Boeing by the Pentagon serves as a significant indicator of the enduring demand for high-end military aerospace capabilities. Whether it is equipping allies like Poland with advanced attack helicopters or ensuring the U.S. Air Force can refuel its fleets mid-air, these agreements have far-reaching strategic implications. They also highlight the complex duality of Boeing’s current operational reality, where defense successes help offset commercial headwinds.
Looking ahead, the execution of these contracts will be closely watched. Delivering the AH-64E Apaches by 2032 and the KC-46A tankers by 2029 will require sustained industrial discipline. As geopolitical tensions continue to drive defense spending globally, the ability of major defense contractors to meet production targets will remain a central theme in national security planning.
FAQ
Question: What is the total value of the contracts awarded to Boeing?
Answer: The U.S. Department of Defense awarded Boeing two contracts totaling approximately $7.15 billion on November 25, 2025.
Question: Which countries will receive the AH-64E Apache helicopters?
Answer: The Apache helicopters are being procured primarily for Foreign Military Sales to Poland, Egypt, and Kuwait.
Question: What is the KC-46A Pegasus used for?
Answer: The KC-46A Pegasus is a multi-role aerial refueling tanker used to refuel U.S. and allied military aircraft mid-flight, extending their operational range.
Sources
Defense & Military
US Air Force Completes Final T-7A Red Hawk Escape System Sled Test
The final T-7A Red Hawk escape system sled test simulated an ejection at 550 knots at Holloman, moving the trainer toward final qualification.

The U.S. Air Force has completed the final high-speed sled test of the Boeing T-7A Red Hawk escape system, a simulated ejection at 550 knots effective airspeed that tested a redesigned canopy fracturing pattern and a modernized ejection seat sequencer. The run closes the program’s sled test matrix and moves the trainer toward final qualification of its escape system.
The Air Force Life Cycle Management Center (AFLCMC) said in an article published on November 4, 2026, that the T-7 Program Office had executed the test. The 846th Test Squadron conducted the test at the Holloman High Speed Test Track at Holloman Air Force Base, New Mexico, on October 7, 2026. AFLCMC called the test a critical milestone in certifying the trainer’s aircrew safety systems.
What the final sled test checked
The primary objective was to validate two safety enhancements: a redesigned canopy fracturing system pattern and a modernized ejection seat sequencer, according to AFLCMC. The test used an anthropomorphic test device representing the lightest occupant in the pilot candidate spectrum, which the Air Force said is meant to ensure that the escape system protects the full range of future aviators.
An initial review of high-speed video indicated that the modernized seat sequencer functioned as designed, deploying the stabilizing drogue parachute for an extended duration. AFLCMC said this deployment timing stabilizes the seat during separation, significantly lowering peak loads on the neck and spine and giving a smoother descent. Seat trajectory, acceleration and biometric sensor data remain under formal engineering analysis, so the result is not yet a final qualification.
“Completing this final sled test represents a major achievement in our rigorous qualification process.”
That was Col. Robert Volesky, AFLCMC’s T-7A System Program Manager. “Aircrew safety is our highest priority,” he said. AFLCMC said the event caps a comprehensive test matrix of static and dynamic sled runs, paving the way toward final qualification of the escape system and supporting future production aircraft deliveries.
How the escape system reached this point
The October run follows an earlier high-speed test of the redesigned canopy and seat sequencer. In an article published on May 2, 2025, AFLCMC said the 846th Test Squadron at Holloman ran a high-speed test of the new escape system on April 16, 2025, at 450 knots effective airspeed (KEAS), and that the system met all test objectives.
That test focused on a redesigned canopy ejection system and a new seat sequencer. According to the 2025 article, the redesigned canopy is meant to break apart in a safer pattern and protected the test mannequins from shattered glass, while the modernized sequencer deployed the stabilizing parachute for a longer duration to reduce the risk of neck and spine injury. Initial results then showed the system protected both lighter-weight and heavier-weight mannequins. AFLCMC said at the time that another test was scheduled for August.
Compared with the April 2025 run, the final test was conducted at 550 knots rather than 450 knots effective airspeed, with a test device representing the lightest occupant in the pilot candidate range, according to the two AFLCMC articles.
Production and what comes next
The escape system work runs alongside the move into production. On May 4, 2026, Boeing said the U.S. Air Force had announced that the T-7A reached Milestone C in its development life cycle, which allows the program to proceed to low-rate initial production of aircraft for instructor and student training. “Milestone C positions us to start low-rate initial production this year,” said Andy Adams, vice president and program manager of Boeing T-7 Programs.
In 2018, the Air Force awarded Boeing a $9.2 billion contract for 351 T-7A advanced trainers, 46 simulators and support, according to Boeing, which builds the aircraft at its St. Louis, Missouri site. The T-7A replaces the T-38 trainer, which Boeing said has been in service since the 1960s. AFLCMC said the Red Hawk is designed to train pilots and weapon systems officers for 4th, 5th and emerging 6th-generation fighters and bombers, working with an advanced Ground Based Training System.
The next step named by AFLCMC is final qualification of the escape system, once the engineering analysis of the October data is complete. The Air Force did not give a date for that qualification or for the first production deliveries.
Defense Contracts
Air Force Expands Joby Autonomy Contracts After Cross-Country Tour
The US Air Force has raised its commitment to Joby’s autonomy contracts to nearly $37 million, with a $50 million testing ceiling.

The U.S. Air Force has added funding to Joby Aviation’s autonomous flight contracts, bringing its total commitment to nearly $37 million and raising the ceiling on Joby’s operational testing contract to $50 million. The money is aimed at autonomy software development and expanded operational testing in the Pacific.
Joby announced the expansion in a press release distributed on November 4, 2026, the same day it reported third quarter 2026 results. The agreements cover software integration and operational testing across two primary contracts with AFWERX, the Air Force’s innovation arm, and follow a cross-country tour in which a Joby-equipped Cessna Caravan logged 6,665 miles of autonomous flights, with landings in 11 states and integrated operations across 24 states.
What the Air Force is paying for
According to the release, the funding supports autonomy software development and expanded operational testing in the Pacific as the Air Force moves toward sustained autonomous logistics operations. Joby said the new contracts will focus on follow-on Pacific military exercises, and that the funding also supports ongoing design updates and safety reviews to extend the autonomy stack’s capabilities.
The two figures in the announcement measure different things. Nearly $37 million is the Air Force’s total commitment, while $50 million is a ceiling on the operational testing contract. In the forward-looking statements attached to the release, Joby lists Air Force funding and appropriations limits, and the possibility that a contract ceiling is not reached, among the risks to its plans.
JoeBen Bevirt, Founder and CEO of Joby Aviation, called the expansion “a powerful validation of the adaptability of Joby’s autonomy stack.” He said the system was designed to be platform-agnostic and that the funding “will accelerate our path to sustained uncrewed operations.”
Kate Brown, Contested Logistics Tactical Airlift Lead at AFWERX, said the goal is to “sustain cargo operations in contested environments” while reducing risk to aircrews and preserving crewed aircraft for the missions that need them.
From Agile Flag to a coast-to-coast tour
The autonomy system at the center of the contracts came to Joby through its acquisition of the autonomy division of Xwing, which Joby completed in June 2024. In an August 26, 2024 release, Joby said that team flew a fully autonomous Cessna 208B Grand Caravan for more than 3,900 miles between military bases and public airports in California and Nevada during the Air Force’s Agile Flag 24-3 exercise, with a safety pilot monitoring the aircraft. The aircraft completed a fully autonomous taxi, takeoff and landing at each of 9 locations, after the Xwing team had logged more than 2,800 miles of fully autonomous flight in Agile Flag 24-1 earlier that year.
“The return on investment for the U.S. Air Force with this technology is significant,” Col. Max Bremer, Air Mobility Command Special Access Program management officer, said in that release, explaining that using the system for smaller cargo frees larger cargo aircraft for tasks such as moving large parts or engines. According to Joby, the system delivered critical replacement parts 24 hours faster than conventional logistics during Agile Flag, and during REFORPAC exercises in August 2025 an aircraft in Hawaii was operated remotely from Guam, nearly 4,000 miles away. AirPro News covered Joby’s role in the REFORPAC 2025 exercise at the time.
The cross-country tour, part of Joby’s 2026 Electric Skies campaign, took the aircraft from Concord, California, to North Carolina’s Outer Banks with zero control inputs from its onboard safety pilot. Joby said in its September 18, 2026 release that the 3,199-mile eastbound flight was supervised remotely from Joby’s Autonomy Headquarters in California and from Shaw Air Force Base in South Carolina, where the aircraft demonstrated representative military flight operations. AirPro News reported on the transcontinental autonomous flight the following day.
Across the full multi-leg tour, Joby said the aircraft performed fully autonomous taxiing, takeoffs, route navigation and landings under remote supervision from up to 2,537 miles away. The September release gave a remote supervision distance of up to 2,323 miles for the eastbound transcontinental flight. A ground-based operator monitors each flight, updates routes and communicates with air traffic control in real time, and the autonomy stack has completed more than 400 fully autonomous flights, according to Joby.
Where defense fits in Joby’s business
Joby is best known for its piloted electric air taxi, and the November 4 release presents the autonomy work as part of a dual-use strategy covering defense logistics, cargo and emergency response. Its autonomous J208 operations are part of the White House-backed eVTOL Integration Pilot Program (eIPP) in Utah and North Carolina. North Carolina tour flights supported the North Carolina Department of Transportation’s eLIFT-NC initiative for statewide healthcare logistics, and western flights contributed to the Utah Department of Transportation’s multi-state uFLY coalition, which is evaluating high-altitude, extreme-environment airspace integration for the FAA.
Joby also plans to acquire Resonant Sciences, with closing expected early in 2027. In its third quarter 2026 results release, filed with the SEC on November 4, Joby described Resonant Sciences as an EBITDA-positive defense technology company with more than $100 million in trailing twelve-month revenue and said the deal would significantly expand its defense business. Closing conditions for the planned Resonant Sciences acquisition remain outstanding, according to the filing.
The same results release put third quarter 2026 revenue at $55 million, primarily from Blade, the passenger transportation business Joby operates in the United States and Europe. Joby said it is in the fifth and final stage of FAA type certification and has 17 aircraft in production.
Military Technology
Saab Demonstrates Autonomous BVR AI Agents on Gripen E
Saab unveiled in-house AI agents for autonomous BVR air combat on the Gripen E after two years of flight testing.

Saab AB has successfully demonstrated autonomous Beyond Visual Range (BVR) air combat capabilities using proprietary artificial intelligence agents integrated into a Gripen E fighter aircraft. The Swedish aerospace manufacturer officially unveiled the in-house technology on November 3, 2026, following approximately two years of airborne testing.
In a press release issued today, Saab confirmed the flight trials mark a critical step toward developing collaborative combat aircraft networks, where crewed and uncrewed systems operate as a coordinated force. The milestone underscores the company’s strategy to maintain sovereign control over its technology stack rather than relying entirely on external software providers.
Sovereign AI development and the Sferical facility
Saab centralized its artificial intelligence development under the AI Fighter Pilot Academy (AIFPA), an infrastructure designed to create, train, and evaluate AI agents. The department driving this initiative, Saab Advanced Programs, features a workforce where 40 percent of the staff hold doctorate-level qualifications, according to Aviation International News.
Peter Nilsson, Head of Advanced Programs at Saab Aeronautics, emphasized the operational focus of the project.
“We have not only built our own AI agents, but we have also flown them. This demonstrates our capability to develop AI agents that can be integrated into operational fighter aircraft. The future of air combat will not be defined by individual platforms acting alone, but by networks of crewed and uncrewed systems working together as a coordinated force. Through our ownership of the entire technology stack, we are building the capabilities needed for that future.”
To support this development, Saab recently implemented the Sferical AI facility in Linköping, Sweden. Part-owned by Saab, Ericsson, and AstraZeneca, the sovereign computing asset utilizes Nvidia’s DGX SuperPOD architecture. Aviation International News reported that the facility is powered by 1,152 Nvidia Grace Blackwell GB300 graphics processing units. This computing power allows Saab to run a one-hour flight test simulation one billion times in the same period, compared to just 1,200 times in a traditional central processing unit environment.
Speaking to Breaking Defense, Nilsson outlined the primary challenge facing the AIFPA following the successful flight trials.
“The harder question is how we turn this success into a dependable capability that can learn, improve, and be relevant over time… that is the true purpose of the AI Fighter Pilot Academy.”
Gripen E architecture and testing timeline
Saab, which employs approximately 31,000 people globally, utilized the Gripen E as the primary testbed for its AI agents. The aircraft features a software-defined architecture that segregates mission software from flight-critical functions. This separation enables the rapid integration and testing of new technologies without requiring dedicated experimental platforms or compromising safety of flight.
Prior to unveiling its in-house agents, Saab collaborated with third-party developers to validate the aircraft’s autonomous potential. On May 28, 2025, a Gripen E trials aircraft flew for the first time with the Centaur AI agent developed by Helsing, demonstrating initial BVR air combat capabilities.
Following these third-party trials, Saab transitioned to testing its proprietary agents. The company briefed journalists on the readiness of its in-house AI agents for operational deployment on October 30, 2026, before the official public unveiling on November 3, 2026.
Collaborative combat and future integration
The integration of artificial intelligence into combat aircraft aligns with a broader industry shift toward Collaborative Combat Aircraft (CCA) concepts. Defence contractors globally are developing networks where crewed fighters command uncrewed loyal wingman platforms.
Saab is actively testing the sensor networks required for these collaborative operations. On October 28, 2026, Saab and General Atomics Aeronautical Systems, Inc. (GA-ASI) successfully flight-tested an unmanned airborne early warning (AEW) capability, integrating Saab’s LoyalEye radar with an MQ-9B unmanned UAV.
Looking ahead, Saab anticipates that the Swedish Defence Materiel Administration (FMV) and the Swedish Air Force will absorb these AI agents into real-world operations within months or single digits of years, according to Aviation International News. In the interim, Saab plans to expand the capabilities of its agents by flying them in a broader range of scenarios, establishing the foundation for future uncrewed platforms.
AirPro News analysis
Saab’s insistence on sovereign, in-house artificial intelligence development contrasts with competitors who heavily outsource to commercial technology firms. By owning the entire technology stack, Saab positions itself to offer highly secure, exportable AI packages free from third-party licensing bottlenecks or foreign regulatory hurdles. The massive investment in the Sferical AI facility indicates we are seeing a shift from experimental AI flight tests to industrialized, mass-scale tactical training for autonomous systems. If Saab can deliver on its timeline for Swedish Air Forces integration, the Gripen E could become one of the first Western fighters to field operational, combat-ready AI agents in frontline service.
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