2 Candidates Emerge to Lead Massive ATC Overhaul

Many of the FAA’s usual partners did not bid for the project.

Zach Vasile

Friday, September 26, 2025 at 10:00 AM ET

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Edited By:

Travis Tingle

An air traffic control tower in San Francisco [Credit: Shutterstock]

Key Takeaways:

Only two companies, Peraton and Parsons (partnering with IBM), are vying for the "prime integrator" role to manage the massive upgrade of the nation's aging air traffic control (ATC) system.
The project is a multi-billion dollar effort, currently funded with $12.5 billion, aimed at replacing outdated equipment, integrating over 100 computer systems, and building new ATC centers and towers by 2028, driven by recent system failures.
The limited number of bidders was somewhat expected due to the project's complexity, with many larger contractors preferring to work as subcontractors, and a winner is anticipated by the end of October.

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Just two companies are vying for the massive job of upgrading the nation’s aging air traffic control (ATC) system, according to a Reuters report.

FAA Administrator Bryan Bedford confirmed to the news outlet that only two companies are in the running for the role of “prime integrator,” which will manage the multibillion-dollar project and parcel out work to numerous technology, construction, and logistics subcontractors.