FAA Awards RTX $438M Contract to Modernize US Airspace Radars

The U.S. National Airspace System is facing unprecedented congestion, currently managing approximately 45,000 flights per day. According to an official press release from RTX, this volume is projected to double by 2040, necessitating a massive overhaul of the aging ground-based Radar-Systems infrastructure that was never designed for today’s complex mix of aircraft.

To meet this challenge, the Federal Aviation Administration (FAA) is accelerating its radar replacement program. In January 2026, the agency awarded major Contracts to modernize the surveillance backbone of the airspace. Collins Aerospace, an RTX business, secured a $438 million contract to supply next-generation radar systems, alongside a $342 million contract awarded to Indra Air Traffic, according to government statements.

Now, RTX is ramping up its domestic Manufacturing capabilities to meet strict federal deadlines. On May 11, 2026, the company announced a $26.5 million Investments to expand its Largo, Florida facility, aiming to centralize production, create 100 new jobs, and expedite the delivery of these critical systems by late 2026.

The FAA’s Push for Airspace Modernization

Replacing Outdated Infrastructure

The current U.S. airspace is a highly complex environment that must safely integrate commercial flights, manned military aircraft, unmanned aerial vehicles (UAVs), and commercial space launches. The FAA has acknowledged that the existing radar network is outdated, with many units operating well beyond their intended service life. This aging infrastructure has become increasingly expensive to maintain and difficult to support.

“Our radar network is outdated and long overdue for replacement. Many of the units have exceeded their intended service life, making them increasingly expensive to maintain and difficult to support. We are buying radar systems that will bring production back to the U.S. and provide a vital surveillance backbone to the National Airspace System.”

The radar replacement is a foundational component of the Department of Transportation’s multi-billion dollar initiative to overhaul the entire U.S. Air Traffic Control (ATC) infrastructure. The FAA’s objective is to replace up to 612 primary and secondary surveillance radars by June 2028.

“We are moving at Trump Speed to install new radars, rip up old copper telecoms lines, and transition to new radios. Domestic and foreign partners are investing in America like never before to support our efforts.”

RTX and the Next-Generation Radars

Condor Mk3 and ASR-XM Technologies

Under the $438 million contract awarded earlier this year, Collins Aerospace is tasked with delivering two advanced radar systems that have already met FAA certification requirements through prior test-site evaluations. These systems are designed to provide air traffic controllers with real-time, pinpoint-accurate data.

The first system, the Condor Mk3, is a secondary, cooperative surveillance radar. According to RTX, it communicates directly with aircraft transponders to provide precise identification, altitude, and tracking data. The second system, the ASR-XM, is a primary, non-cooperative radar that detects aircraft using reflected signals. This primary radar is essential for tracking targets that may not have active transponders, offering enhanced weather detection, cyber resilience, and high performance in cluttered environments.

Expanding Domestic Production in Florida

The $26.5 Million Largo Investment

To meet the aggressive June 2028 replacement deadline, RTX is shifting its production strategy. According to the company’s recent announcements, RTX is investing $26.5 million to expand its 450,000-square-foot facility in Largo, Florida. This expansion will transition the Largo site into the primary production hub, responsible for 60% of the overall volume for the new FAA radars.

Previously, RTX had been delivering initial units from facilities in Canada and Scotland. By bringing production, integration, and testing under one roof in Florida, the company aims to avoid international shipping complexities and accelerate delivery timelines. The new production area is expected to be fully operational by late 2026.

“We’ve made some really targeted investments, and this expansion in Florida is one of those to drive our ability to [bring] production, integration, and testing under one roof. It also helps us accelerate the delivery timelines because you’re not dealing with some of the other complexities of shipping from international sites.”

The expansion will also create 100 new high-skilled engineering and manufacturing jobs, adding to RTX’s existing footprint of over 7,000 employees across eight major facilities in Florida.

“As global airspace becomes more congested and contested, customers need secure, interoperable systems for seamless coordination. This expansion strengthens our ability to deliver critical capabilities that keep airline passengers safe and military operators mission-ready, faster.”

AirPro News analysis

The FAA’s aggressive timeline to replace up to 612 radars by June 2028 represents a significant logistical and manufacturing challenge for the aerospace sector. RTX’s decision to onshore the majority of its radar production to Florida is a strategic move that mitigates global supply chain risks and aligns with broader federal mandates to invest in domestic infrastructure. By eliminating the complexities of international shipping from its Canadian and Scottish facilities, RTX is positioning itself to meet the strict delivery schedules required by the Department of Transportation. Furthermore, the FAA’s dual-contract approach, awarding substantial funds to both RTX and Indra Air Traffic, demonstrates a calculated strategy to diversify the supplier base and ensure redundancy in this critical national security and modernization effort.

Frequently Asked Questions

How many flights does the U.S. airspace handle daily?

The U.S. airspace currently handles approximately 45,000 flights per day. Industry projections expect this traffic volume to double by the year 2040.

What is the value of the FAA radar replacement contracts?

In January 2026, the FAA awarded a $438 million contract to RTX’s Collins Aerospace and a $342 million contract to Indra Air Traffic to replace up to 612 surveillance radars by June 2028.

What specific radars is RTX supplying to the FAA?

RTX is supplying the Condor Mk3, a secondary/cooperative radar that communicates with aircraft transponders, and the ASR-XM, a primary/non-cooperative radar that detects aircraft using reflected signals.

Where will the new RTX radars be manufactured?

While initial units were produced in Canada and Scotland, RTX is investing $26.5 million to expand its facility in Largo, Florida. This site will become the primary production hub, handling 60% of the overall volume for the new FAA radars.

Sources: RTX Press Release