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 (partnered with IBM), are bidding for the prime integrator role in the multibillion-dollar upgrade of the U.S. air traffic control system.
The massive project, which involves integrating over 100 computer systems and replacing outdated infrastructure, is expected to cost up to $19 billion and be completed by 2028.
Recent ATC failures have heightened the urgency for this modernization effort, with the FAA aiming to select a winning contractor 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.