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

Verified

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 overhaul of the nation's aging air traffic control (ATC) system.
The limited number of bidders was anticipated due to the project's immense complexity, which includes integrating over 100 computer systems and replacing outdated telecommunications links.
The modernization project has secured $12.5 billion, with an additional $19 billion sought for completion by 2028, and involves replacing equipment as well as building new ATC centers and towers.
Recent ATC failures have increased the urgency for this upgrade, with the FAA expecting to pick a winner by the end of October, subject to final approval from the President and Transportation Secretary.

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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.