Tensions are reportedly rising at the FAA due to a federal contractor overseeing large swathes of the nation’s air traffic control modernization initiative.
According to a Politico report, the federal contractor Peraton is causing frustration within the FAA.
The contractor “failed to manage subcontractors at a work site and let schedules slip on a project in Alaska,” one industry official told Politico.
The FAA appointed Peraton to help manage the $12.5 billion project to completely overhaul the nation’s existing air traffic control system by the end of 2028.
The project aims to replace aging equipment like copper wires with fiber or wireless options, digitize old analog processes, deploy new systems for tracking aircraft in flight, and much more.
Secretary of Transportation Sean Duffy pitched the ambitious revamp following the fatal mid-air collision over Ronald Reagan National Airport (DCA) in January 2025.
The overhaul is one of the biggest infrastructure initiatives at the FAA in decades, but sources told Politico the project isn’t moving fast enough.
“The big issues here are threefold,” a person familiar with the matter told Politico on condition of anonymity. “Peraton has basically not done any work since they got in.”
The source also said the FAA is also at fault, as the agency has allegedly been blocking Peraton’s efforts to collaborate with counterparts within the FAA.
Peraton told Politico that the firm is “a proud, trusted partner in the FAA’s historic effort to modernize America’s air traffic control system.”
A less than three-year timeline to completely overhaul the U.S. air traffic control system is certainly ambitious, and it could likely prove to be overly optimistic.
“Even if they move at lightning speed, there won't be that much done by 2028,” one former FAA official told Politico in April.
However, the project has made at least some notable progress in less than two years.
The FAA says that as of mid-August 2026, it has replaced 60% of all copper wires, converted 363 radio sites nationwide, installed 96 new Surface Awareness Initiative systems, transitioned 19 towers to electronic flight strips, and installed 151 IP voice switches at control towers.
The agency has also installed Surface Movement Radar Model 4 (SMR-4), which helps better track aircraft and vehicles on the ground to avoid collisions, at five airports, including DCA.
“In just 18 months, we have delivered billions of dollars to air traffic control centers across the country–including $30.5 million right here at Washington Reagan,” Duffy said. “This new radar is our latest reinforcement tool to equip our controllers as they safeguard our air travel. We’re working at the Speed of Trump to deliver the world-class air traffic control system America deserves.”
For the latest travel news, updates and deals, subscribe to the daily TravelPulse newsletter.
Topics From This Article to Explore
