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 (bidding with IBM), are competing to be the "prime integrator" for the massive, multibillion-dollar project to upgrade the nation's aging air traffic control (ATC) system.
The extensive modernization effort involves integrating over 100 computer systems and replacing outdated telecommunications links, with a target completion by 2028.
Congress has secured $12.5 billion for the overhaul, with up to $19 billion sought due to the urgent need highlighted by recent ATC failures.
The FAA expects to select the winning company by the end of October, with President Trump and Transportation Secretary Sean Duffy having the final approval.

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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.