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Cleared to Roll: How Autonomous Taxiing and Smart Avionics Are Shaping Aircraft Values

Global Avionics Round-Up from Aircraft Value News (AVN)

The aircraft of the future won’t just fly itself…it will taxi itself, too. Autonomous taxiing technology is no longer a science project confined to testbeds and prototypes. It’s now a rapidly advancing reality, and avionics are at the center of the transformation.

As airports develop smarter ground systems and aircraft come equipped with more intelligent control suites, the interoperability between the two is defining new frontiers in fleet value, lease pricing, and operational planning.

For aircraft lessors and appraisers, the question is no longer whether autonomous taxiing is coming. The question is how fast, and how much it matters to the bottom line.

Why Taxiing Automation Is Gaining Ground

Aircraft engines weren’t designed to be ground vehicles. Using them to taxi burns fuel inefficiently, accelerates wear on components, and increases emissions.

A narrowbody aircraft like the A320 burns roughly 500 to 1,000 pounds of fuel during an average 15-minute taxi, depending on conditions. Multiply that by dozens of daily departures across a fleet, and the costs mount quickly.

Autonomous taxiing offers an elegant solution. By equipping aircraft with advanced avionics systems that integrate GPS, LIDAR, obstacle detection, and smart braking, manufacturers are making it possible for planes to taxi themselves without pilot input, or at least with far less. Some systems even allow electric motors embedded in the landing gear to handle taxiing, reducing reliance on the main engines entirely.

What started as an emissions reduction tool is now gaining attention as a driver of cost savings, airport efficiency, and aircraft value enhancement.

Smart Airports, Smarter Avionics

Autonomous taxiing doesn’t work in isolation. It requires a two-way conversation between the aircraft and airport ground systems. That means avionics have to be capable of communicating with surface movement guidance systems, runway lighting grids, and even AI-powered traffic control algorithms.

In some test environments, such as Toulouse, Frankfurt, and Singapore, autonomous aircraft are now receiving digital taxi instructions from ground systems, navigating with centimeter-level accuracy, and automatically braking for hazards without human involvement. The onboard avionics interpret taxiway maps, monitor proximity to other vehicles, and respond dynamically to updated clearance routes.

To do this, aircraft must be fitted with avionics suites that are not just GPS-capable but compatible with ground-based digital messaging standards. These avionics systems need to handle rapid data exchange, obstacle detection integration, and precise localization.

Leasing Implications: The Value of Smart Taxiing

Aircraft that support autonomous taxiing are being seen in a new light by lessors and operators focused on cost reduction, sustainability targets, and slot utilization. Ground time is expensive. So is fuel. And in congested airports, every extra minute of taxi time eats into profit margins.

Avionics that enable autonomous taxiing are now considered value-adding. Aircraft equipped with these systems are commanding higher lease rates in regions where smart airport infrastructure is already in place or under construction. Even where full autonomy isn’t available yet, aircraft with modular, upgradable avionics systems are seen as future-proof, making them more attractive in secondary markets.

Preliminary data from leasing benchmarks shows a 2% to 3.5% base value boost for aircraft equipped with autonomous taxi-capable avionics in relevant operational theaters, particularly in Europe and Asia. Operators flying into next-gen airports that support these systems are achieving shorter turnaround times, which in turn raises aircraft utilization rates, a key metric for lessors.

Retrofitting: A Cost with Return

While new-production aircraft can be ordered with autonomous-ready avionics, retrofitting is the path forward for much of the existing fleet. This includes installing enhanced sensor packages, integrating digital surface maps, and modifying flight control software to handle low-speed maneuvering under computer guidance.

The retrofit cost varies widely depending on aircraft type and age, but the payback period is shrinking. Reduced fuel burn during taxi, fewer tug operations, and shorter turnarounds create real savings. For lessors, aircraft that have undergone this upgrade are increasingly seen as differentiated assets, particularly when offered with full airport certification for smart ground movement systems.

Some MRO shops now offer bundled avionics and certification packages, targeting operators and lessors looking to position their fleets for long-term viability in a smart-airport world. As adoption grows, appraisers are expected to treat autonomous taxiing capability as a separate value line item, similar to how ETOPS or RNAV capabilities are modeled today.

Ground Infrastructure: The Other Half of the Equation

The aircraft can’t taxi smartly without help from the ground. That’s why airports are upgrading their own infrastructure, adding digital signage, sensor arrays, and edge computing systems capable of directing and verifying autonomous aircraft movements.

These improvements come with new data-sharing protocols that avionics must support, such as A-SMGCS (Advanced Surface Movement Guidance and Control System) and D-Taxi (data-linked taxi clearance systems).

Airport-aircraft interoperability is becoming a key point in lease planning. Aircraft that can plug into these upgraded systems can operate more efficiently. In some cases, these aircraft can even avoid delays tied to legacy infrastructure. In places such as Munich and Incheon, airports are beginning to favor airlines with compatible fleets when assigning slots and gates, further incentivizing investment in smart avionics.

Lessors are increasingly factoring in some aircraft’s “airport compatibility index,” informally speaking. A narrowbody that can be cleared to taxi by datalink in five major hubs is more appealing than one that can’t, even if it’s mechanically identical.

Operational Benefits Beyond the Cockpit

There’s also a safety argument to be made. Autonomous taxiing reduces the likelihood of ground collisions and runway incursions, especially in low-visibility conditions. Systems designed to automatically stop an aircraft short of an active runway or misaligned taxiway aren’t just smart; they’re also insurance against disaster.

Flight crews benefit too. Rather than relying on visual cues, they receive digitally mapped routes and real-time feedback from onboard systems. These innovations reduce pilot workload and increase situational awareness, which in turn lowers the risk of costly errors.

For cargo operators, the benefits are even greater. Precision taxiing means tighter scheduling and less idle time on the ground, both of which translate directly into better ROI on each flight cycle.

This article originally appeared in Aircraft Value News.

John Persinos is the editor-in-chief of Aircraft Value News.

The post Cleared to Roll: How Autonomous Taxiing and Smart Avionics Are Shaping Aircraft Values appeared first on Avionics International.

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Avionics in Sync: Why Standardization at Multimodal Hubs Is Lifting Aircraft Values

Global Avionics Round-Up from Aircraft Value News (AVN)

(Photo: Qatar Airways Cargo)

As global cities grow into dense logistics ecosystems, the line between air travel, rail, sea, and road transportation continues to blur. This fusion is most visible at next-generation multimodal hubs, i.e. those high-capacity, high-tech centers where aircraft, autonomous trucks, urban rail, and even drones intersect.

However, seamless transfers between modes of transport don’t just happen on the ground. In the cockpit, too, avionics are being rethought for compatibility with an increasingly interconnected infrastructure.

Aircraft avionics are being adapted for a world where coordination between modes isn’t optional—it’s essential. That shift is pushing forward a new wave of standardization efforts. For lessors, appraisers, and operators, these changes bring opportunities to boost asset values and extend fleet relevance, but only for those ready to embrace the interface revolution.

Multimodal Hubs: A New Kind of Airport

Multimodal transportation hubs are being designed to do more than move people from point A to B. In cities like Singapore, Dubai, and Frankfurt, airports are becoming digitally integrated logistics centers. They coordinate aircraft arrivals with last-mile electric vehicle fleets, link rail freight to belly cargo in widebodies, and even manage drone deliveries from central control towers.

For aircraft avionics, this means new demands. Ground infrastructure now requires aircraft to transmit and receive far more data, and to do so in standardized formats that mesh with logistics software, real-time security systems, and intermodal scheduling platforms. The aircraft is no longer an isolated unit. It is a node in a massive digital grid.

The Role of Avionics in Intermodal Coordination

The traditional avionics stack, comprised of flight management systems, communication radios, and navigation units, was built primarily for air-to-ground and air-to-air functions. But modern hubs are now asking for something more: avionics that can interface with port systems, customs infrastructure, automated passenger flows, and ground mobility services.

Consider gate scheduling. Standardized avionics can relay exact arrival times, turnaround metrics, and even deplaning progress to airport systems. That helps optimize baggage transfers, coordinate connecting ground transport, and even improve passenger wayfinding inside terminals.

Cargo aircraft are an even bigger beneficiary. If avionics can align directly with warehouse and distribution software, ground crews can pre-stage cargo based on real-time aircraft telemetry and arrival precision. That speeds up cargo flow, improves slot usage, and reduces idle time, all while adding value to the aircraft providing that level of service.

Enter the Standardization Push

To support this vision, manufacturers and regulatory bodies are racing to define a new baseline for avionics interoperability. The goal is to create open or semi-open interfaces that allow aircraft to communicate fluidly with both airport systems and non-aviation digital ecosystems.

Organizations like ARINC and EUROCAE are leading efforts to write the standards for cross-platform data formats and avionics interfaces. Meanwhile, OEMs like Thales, Collins Aerospace, and Garmin are rolling out modular avionics suites built around common communication protocols.

The key is plug-and-play adaptability. Avionics must be able to integrate with whatever digital environment the airport or hub uses, whether it’s proprietary logistics software or standardized APIs driving urban mobility platforms.

What It Means for Aircraft Values

Aircraft that can interface with these digital hubs are becoming more valuable, especially for operators in high-density regions where airport time is precious and ground coordination is critical. For widebody freighters, standardized avionics capable of feeding directly into cargo management platforms have proven to boost utilization and cut ground time, translating into better margins and, in turn, higher lease rates.

Passenger aircraft also benefit. Narrowbodies servicing short-haul, high-frequency routes through smart airports can deliver better on-time performance if their avionics are interoperable with scheduling and gate management systems. That performance edge is now reflected in how appraisers model asset value, particularly in Asia and Europe where smart airport infrastructure is furthest along.

According to several aviation consultancy studies, aircraft with open-standard avionics interfaces see value uplifts of 2% to 4% compared to similarly aged peers with legacy closed-loop systems. In leasing markets, such aircraft command stronger demand and more favorable lease terms, especially with operators aiming to future-proof their fleets against tightening airport integration requirements.

The Retrofit Dilemma

Much like the 5G upgrade wave, standardizing avionics for multimodal compatibility often requires retrofits. While newer aircraft from Airbus and Boeing come increasingly equipped with interface-ready avionics, older jets lag behind. These legacy systems were never designed to communicate beyond the aircraft’s own internal network or the most basic ATC links.

For lessors, this creates a segmentation of the fleet. High-capability aircraft with open-standard avionics are easier to place and maintain value better. Older aircraft lacking that flexibility are starting to slip in value, particularly in leasing markets tied to smart airport corridors.

The retrofit process can be challenging. Updating avionics to support standardized interfaces may involve swapping out multiple LRUs (line replaceable units), adding new data buses, and re-certifying systems under strict avionics regulations. But some manufacturers are now offering retrofit kits with pre-certified, drop-in compatible modules aimed at streamlining this process and keeping older aircraft in play.

How Lease Language Is Changing

Lessors are beginning to include interface-related clauses in lease agreements. In addition to traditional performance metrics, contracts now sometimes reference “hub compatibility” or require tenants to maintain avionics configurations that remain interoperable with designated airports or logistics platforms.

There’s also an emerging market for “interface maintenance packages,” where MRO providers update aircraft software and data layers periodically to keep systems aligned with evolving hub standards. These packages are not just operationally helpful; they’re becoming a value retention tool for lessors and financiers.

This article originally appeared in Aircraft Value News.

John Persinos is the editor-in-chief of Aircraft Value News.

The post Avionics in Sync: Why Standardization at Multimodal Hubs Is Lifting Aircraft Values appeared first on Avionics International.

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Flying at 5G Speed: How Next-Gen Connectivity Is Affecting Aircraft Avionics and Values

Global Avionics Round-Up from Aircraft Value News (AVN)

The global aviation sector is in the midst of a seismic technological shift as aircraft manufacturers, regulators, and service providers move to integrate fifth generation (5G) connectivity into onboard avionics systems.

First, let’s look at what “5G” means. The previous standard of 4G accelerated the smartphone boom by allowing a single device to handle a multitude of functions. But the standard that’s increasingly replacing 4G, the fifth iteration, provides a speed and reach that extends far beyond phones.

5G facilitates the Internet of Things by allowing several interconnected electronic devices and machines to communicate with each other instantaneously at ultra-fast speeds. Depending on specific network conditions, 5G’s speed is exponentially greater than 4G.

What was once the domain of smartphones and smart cities is now rapidly becoming essential to how aircraft communicate, navigate, and even maintain themselves in flight. But this transition isn’t just about better Wi-Fi for passengers. It is poised to influence aircraft valuations, alter lease rates, and reframe the economics of fleets worldwide.

Why 5G Is More Than Just Speed

At its core, 5G is about reduced latency, higher bandwidth, and more reliable connectivity. But for avionics, it’s also about enabling real-time data transmission that enhances safety, performance, and operational efficiency.

With 5G onboard, aircraft can offload telemetry, receive maintenance updates, and communicate with ground infrastructure at unprecedented speeds. This leap forward is particularly crucial for modern jets that rely heavily on digital systems and continuous data feedback.

For example, real-time health monitoring of avionics components becomes far more effective when high-speed, low-latency data transmission is available. Maintenance teams on the ground can receive live updates on system wear, performance metrics, and possible malfunctions. This shift allows operators to embrace predictive maintenance strategies more fully, reducing costly downtime and unplanned repairs.

A Global Standard in the Making

The race is now on to create a single global 5G avionics standard. Historically, differences in spectrum allocation and regulatory regimes have fragmented connectivity infrastructure across regions. Airlines flying from Europe to Asia or from North America to South America often switch between incompatible communication systems mid-flight.

A unified 5G standard would eliminate those inefficiencies, allowing aircraft to maintain seamless connectivity regardless of region. Major players like Airbus, Boeing, and Honeywell are working with international regulatory bodies to develop avionics systems that are “5G ready” in both hardware and software. These efforts also involve retrofitting existing aircraft, which introduces both opportunity and risk into the secondary aircraft market.

Impact on Aircraft Values and Lease Rates

Aircraft equipped with advanced 5G-compatible avionics are already being appraised at a premium. Lessors are beginning to differentiate between aircraft that are 5G-upgraded and those that are not, especially for narrowbodies expected to operate in high-traffic regions with dense data environments. While the exact value uplift varies by model and configuration, early indicators suggest a 3% to 5% bump in base values for aircraft retrofitted with modular 5G avionics.

On the lease side, the story is similar. Newer aircraft with integrated 5G fetch higher monthly lease rates, driven by their enhanced connectivity capabilities. Operators recognize the operational savings and safety improvements 5G enables, and they’re willing to pay a premium to avoid the compliance and upgrade headaches down the road.

For legacy aircraft that are not easily upgradeable, values are beginning to soften, especially in regions like Europe and parts of Asia where regulators are pressing ahead with ground infrastructure designed around 5G capabilities. These aircraft may still find homes in less regulated markets, but the pricing power of such placements is waning.

Challenges and Bottlenecks

Integration is not without its hurdles. Spectrum allocation remains uneven globally, and regulatory harmonization is slow. There are also lingering cybersecurity concerns. The more connected an aircraft becomes, the more it must be protected against intrusion.

This means avionics suppliers must incorporate layers of security, from encrypted transmission protocols to onboard firewalls. These added requirements increase development and installation costs, impacting ROI calculations for operators and lessors alike.

Moreover, while new aircraft can be delivered 5G-ready, retrofitting older fleets is a costly and time-consuming process. Avionics bays are tightly packed, and power budgets are carefully managed. Replacing legacy communication modules with new 5G units often requires significant rewiring and recalibration, which in turn grounds aircraft for extended periods.

Still, these costs are increasingly seen as a necessary investment. Airlines and lessors alike are reluctant to be left holding the bag on outdated technology that will soon limit routing flexibility or fail to meet regulatory standards.

What’s Ahead

The next two years are critical. As more countries roll out 5G-compatible airport infrastructure, pressure will mount on operators to ensure their fleets can interface with the new digital ground environment. The ICAO and other global regulators are expected to release more guidance on 5G integration protocols, which could prompt a wave of upgrades and retrofits across the commercial fleet.

Fleet planners are already baking 5G-readiness into asset selection decisions. Narrowbodies flying short, high-frequency routes are top candidates for early adoption, since these routes stand to benefit most from real-time maintenance and operational data streaming. Widebodies operating long-haul services will follow, especially for operators serving high-traffic hubs where 5G coverage is expected to be densest.

Lessors, meanwhile, are adjusting lease language to account for 5G capabilities. Some lease agreements now stipulate requirements for maintaining 5G readiness throughout the term of the lease, much like traditional clauses for ETOPS certification or cabin configuration.

This article originally appeared in Aircraft Value News.

John Persinos is the editor-in-chief of Aircraft Value News.

The post Flying at 5G Speed: How Next-Gen Connectivity Is Affecting Aircraft Avionics and Values appeared first on Avionics International.

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Senate Appropriators Back Army ATI Cuts But Knock ‘Disjointed Rollout,’ Rebuke Plan To End T901 Engine

Sikorsky receives the first two GE Aerospace T901 engines at its West Palm Beach, Florida facility for integration on a UH-60M Black Hawk helicopter. (Photo: Sikorsky)

Sikorsky receives the first two GE Aerospace T901 engines at its West Palm Beach, Florida facility for integration on a UH-60M Black Hawk helicopter. (Photo: Sikorsky)

Sikorsky receives the first two GE Aerospace T901 engines at its West Palm Beach, Florida facility for integration on a UH-60M Black Hawk helicopter. (Photo: Sikorsky)

The Senate Appropriations Committee has backed most of the Army’s divestments as part of its new transformation initiative, while its defense spending bill rebukes a plan to end development of the new T901 helicopter engine and adds funds to upgrade more AH-64D Apaches to the newer E-model. 

The bill also directs the Army to provide regular briefings on its transformation plan, citing concern with the “disjointed rollout” and stating the committee has yet to receive “sufficient details regarding the analysis behind, and the purpose of, specific ATI decisions despite several months of attempted dialogue.”

“The committee is a willing partner to the Army, as demonstrated in its recommendations in this bill for certain budget line item consolidation and divestment of certain systems. However, the Department of the Army’s disjointed rollout of the Army Transformation Initiative (ATI), lack of transparency and delay of formal budget documentation and analytic briefings, make it difficult for the committee to make fully informed decisions on implementing and resourcing all of the Army’s requested initiatives,” the panel writes in the report accompanying its bill. 

The Senate Appropriations Committee on July 31 voted 26-3 to advance its $852.5 billion fiscal year 2026 defense spending bill, approving a $21.7 billion topline increase that boosts funds for shipbuilding, munitions and Ukraine aid.

As part of the new ATI plan, the Army has detailed an intent to cut “obsolete” programs including the Joint Light Tactical Vehicle (JLTV), Humvee, AH-64D Apache, Gray Eagle UAS and the M10 Booker and potentially ending development of the T901 engine out of the Improved Turbine Engine Program (ITEP), the Future Tactical UAS (FTUAS) and the Robotic Combat Vehicle (RCV).

“By and large, we are allowing the Army to move forward with canceling some of these programs,” a senior Senate GOP aide told reporters. 

The Army has said its “invest to divest” strategy leading ATI accounted for shedding $4.9 billion of older and “ineffective” equipment in its FY ‘26 budget request, while looking to spend $8.9 billion on higher-priority efforts such as buying more drones and accelerating development of the Future Long Range Assault Aircraft and the new M1E3 Abrams tank.

“Some of these proposals have merit and should be pursued, such as greater integration of unmanned aerial systems and counter-unmanned aerial systems into lower level units. Others raise concerns, like the abrupt cancellation of other programs, some of which the Army identified as top priorities only months prior. Such actions have created unpredictability for the other military services that were jointly invested in them, public and private industry and international partners,” Senate appropriators wrote in their bill report. 

Senate appropriators’ bill restores $175 million in funding for the ITEP program, after the Army targeted it for a cut, with the senior Senate GOP aide citing it as a “critical program to increase power and efficiency” on Army helicopters.

GE Aerospace, which developed the T901 as the future engine for the Army’s UH-60 Black Hawk and AH-64 Apache helicopters, has said the fate of the ITEP program is dependent on how FY ‘26 funding shapes out.

While the Army included Boeing’s AH-64D Apache among its planned divestments, Senate appropriators added $360 million to remanufacture 12 of the aircraft into the E-model configuration.

Gen. James Mingus, the Army vice chief of staff, previously said the Army wasn’t planning to upgrade any more AH-64Ds into newer E-models.

Outside of those two program increases, Senate appropriators’ defense bill appears to support the Army’s cuts for JLTV, Humvee, the M10 Booker, Gray Eagle, FTUAS and RCV. 

“We’re not forcing the Army to buy any Humvees, but we are investing in some anti-lock brake retrofit kits since the existing Humvee fleet is going to be with the Army for many decades to come,” a senior Senate GOP aide said, with the bill including a $25 million add for the kits. 

The Senate Appropriations Committee’s bill directs Army senior leaders to begin quarterly briefings to the congressional defense committees within 30 days of the legislation’s passage that would detail the service’s “harmonized operational and investment strategy” for ATI.

The briefings are expected to cover threat assessments that informed proposed changes, force structure impacts, acquisition strategy and investment timelines, defense industrial base impacts and implications for the Joint Force.

The House Appropriations Committee backed the Army’s M10 Booker cancellation while rebuking its JLTV, Gray Eagle, ITEP and FTUAS cuts.

Both the House and Senate Armed Services Committees’ respective versions of the National Defense Authorization Act support many of the Army’s planned ATI-related changes, while also calling on the service leaders to provide more details.

A version of this story originally appeared in affiliate publication Defense Daily.

The post Senate Appropriators Back Army ATI Cuts But Knock ‘Disjointed Rollout,’ Rebuke Plan To End T901 Engine appeared first on Avionics International.

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Red Cat Expects LRIP Order Soon For Army’s SRR Small Drone, ‘Aggressive’ Ramp Up In FY ‘26

Red Cat's Black Widow sUAS. (Photo Red Cat)

Red Cat's Black Widow sUAS. (Photo Red Cat)

Red Cat’s Black Widow sUAS. (Photo Red Cat)

Red Cat Holdings has said it’s expecting a low-rate production order “very soon” for the Army’s Short Range Reconnaissance (SRR) small drone program, noting the service’s plan for a “significant” fielding ramp up next fiscal year.

Jeff Thompson, CEO of Red Cat, told sister publication Defense Daily the forthcoming order for its Black Widow small UAS is expected to be followed by a full-rate production award in early FY ‘26 that could total around $220 million to support scaling up the SRR effort.

“The fielding schedules are pretty darn aggressive,” Thompson said. 

After participating in the competitive SRR Tranche 2 prototyping effort, the Army announced in November 2024 it had selected Red Cat’s Black Widow sUAS for fielding over Skydio’s X10D small drone offering. Red Cat said at the time that procurement for the SRR program of record could cover nearly 6,000 systems/

The Army has said SRR is intended to provide platoons with small drones that offer real-time reconnaissance, security, and target acquisition capabilities.

Red Cat has previously noted the Black Widow sUAS’ capabilities include AI-aided target identification, tracking and classification software, forward-looking obstacle avoidance, a stealth mode to execute missions with radios off, a quiet acoustic signature and modularity to allow for “seamless” secondary payload integration.

The imminent LRIP order, which the Army calls TD-3, is expected before the end of the current fiscal year on Sept. 30 and that deliveries would occur within 90 days of award. Thompson said that prior budget documents stated the deal may cover about 250 systems, with a system consisting of two drones and one controller. 

As the Army then looks to scale up SRR in FY ‘26, Thompson said budget documents outlined plans for a full-rate production contract worth around $220 million, split between around $148 million for drones and $70 million for spares, repairs and training. 

Thompson noted that since last fall’s selection for the SRR program of record the Army has awarded it a pair deals, TD-1 and TD-2, worth around $2.8 million covering work to add features ahead of of LRIP and to advance compatibility with the Army-developed Universal Controller (UVC) toolkit.

“[The Army] will only buy drones that use UVC. We’re the first company to ever deploy it successfully. We’ve done some recent tests in front of large groups for the Army, all different branches across the Army, all different divisions,” Thompson said. “They wanted to make sure we could [use] the universal controller before we [went into] LRIP.”

The UVC toolkit, utilizing the Army’s UAS Tool software, was integrated on Red Cat’s own controller for the Black Widow drone.

Thompson said Red Cat is capable of building more than 500 Black Widow sUAS a month, with a capacity to expand as needed. 

“If they gave us an order for 5,000 [drones] a month, we could get there in two months. If they gave us an order for 10,000 a month, same thing,” Thompson said. “Our supply chain is great. Our production capabilities are great. We’ve expanded our facility.”

Defense Secretary Pete Hegseth recently signed a memo directing the military services to more aggressively purchase small drones with a goal to widely field these systems by the end of 2026, while Thompson said there was no “Hegseth effect” for SRR as the Army’s plans have been in place for over a year.

The Army has laid out its own goal to deliver thousands of small drones over the next year, with an interest in systems that each cost less than $2,000, building off a previous “Purpose-Built Attritable Systems” (PBAS) notice that asked industry for information on small, first person view (FPV) drones that are “production-ready.”

Thompson said FPV drones, which have been used extensively by Ukraine, “are great…but they’re not very capable,” citing their lack of visual navigation or electronic warfare-resistant capabilities. 

“They’re capable for one thing, mostly, and that’s just kamikaze [use]…In the U.S., we can’t make FPV drones like they make them over there [in Ukraine]. They’d have to be standardized. They’d have to have safety capabilities,” Thompson said. “All the stuff that’s being made in all these other countries are being made with Chinese parts. They’d have to [be made] with U.S. parts. And, frankly, by the time you made a U.S. FPV drone it’s going to be a lot more expensive than the $1,000 per drone like in Ukraine.”

“This is going to sound completely selfish and self-serving, why not just build way more ISR drones,” Thompson added.

Thompson noted Black Widow is the “first scaled platform” to utilize Palantir’s visual navigation capability.

“And their visual navigation is the best on the planet. No one’s going to compete with it,” Thompson said. “The way they do visual navigation is different than everybody else. It’s three different buckets of technology to basically make it as locked in as a GPS without a GPS. Red Cat’s looking to just rip the GPS out of our drones going forward because of [Palantir’s] visual navigation.”

Red Cat announced its partnership with Palantir this past December, noting the company VNav visual navigation software “accelerates the ability to deploy electronic-warfare resistant sUAS without GPS” and is enabled by satellite imagery integration, Alternative PNT source capabilities and Palantir’s Edge Runtime system to run visual navigation algorithms onboard while fully offline.

A Defense Innovation Unit-led event in Alaska in June tested drone systems’ radio communication technologies against electromagnetic interference to assess current challenges.

Cal Biesecker contributed to this article.

A version of this story originally appeared in affiliate publication Defense Daily.

The post Red Cat Expects LRIP Order Soon For Army’s SRR Small Drone, ‘Aggressive’ Ramp Up In FY ‘26 appeared first on Avionics International.

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Cleared for Modernization: The Top Avionics Upgrade for Fixing America’s Broken ATC

As commercial air traffic surges back to pre-pandemic levels—and in many regions, surpasses them—aviation’s longstanding Achilles’ heel has returned to center stage: a strained, outdated Air Traffic Control (ATC) system ill-equipped to handle modern traffic volumes.

From chronic delays and inefficiencies to rising fuel costs and CO₂ emissions, the consequences are piling up. But a long-planned, urgently needed avionics upgrade is finally moving from paper to cockpit: ADS-B In.

If ADS-B Out was the foundation, ADS-B In is the future.

While most aircraft flying today are already equipped with ADS-B Out—which broadcasts an aircraft’s position, velocity, and other data to ground stations and nearby aircraft—ADS-B In allows aircraft to receive and act on that same data. It effectively enables a real-time traffic picture in the cockpit, enabling pilots to “see” what ATC sees, often more precisely and sooner.

And in the current ATC crisis, that matters.

The ATC bottleneck…

The U.S. and much of Europe are operating ATC systems that haven’t fundamentally changed since the 1960s. Radar-based tracking is limited in range and accuracy. Controllers juggle dozens of aircraft with incomplete information and minimal automation. The result? Chronic congestion, especially in terminal areas, and an inability to flexibly reroute aircraft during weather events or sudden demand spikes.

Even the FAA’s ambitious NextGen modernization program, launched in 2007, has been slowed by politics, budget constraints, and the enormous technical lift of replacing decades-old infrastructure. But within this broader effort, ADS-B (Automatic Dependent Surveillance–Broadcast) is one area where progress is not only visible—it’s finally airborne.

ADS-B Out has already transformed surveillance by shifting from radar to satellite-based positioning. But its benefits are mostly to the system, providing ATC with more precise data. ADS-B In brings those benefits directly into the cockpit. Aircraft equipped with it can receive:

  • Traffic Information Service–Broadcast (TIS-B): Real-time data about nearby aircraft, including non-ADS-B equipped planes tracked by radar.
  • Flight Information Service–Broadcast (FIS-B): Weather updates, NOTAMs, and other situational awareness tools.
  • Direct-to-aircraft data sharing: Letting pilots maintain optimal spacing and sequencing in terminal areas without waiting for ATC instructions.

ADS-B In enables airborne self-separation, in-trail spacing, and real-time rerouting, all vital in congested airspace.

Several airlines, including Delta and American, are actively retrofitting their fleets with ADS-B In capability. Airbus and Boeing are offering it as a line-fit option on new jets, especially for aircraft expected to operate in saturated airspaces like the U.S. East Coast, Western Europe, or over oceanic corridors where radar isn’t available.

The FAA has also begun testing Interval Management (IM) procedures, which use ADS-B In to allow aircraft to safely fly closer together, improving runway throughput and en-route capacity. Early trials at Dallas–Fort Worth and Atlanta show time savings of up to 10% during peak operations.

Avionics vendors step up…

Avionics giants like Honeywell, Collins Aerospace, Garmin, and Thales are racing to roll out certified ADS-B In packages that integrate with existing FMS and EFIS displays. These upgrades are being marketed not just as compliance tools but as fuel-saving, time-saving operational enhancements with immediate ROI.

The cost to retrofit a single narrowbody aircraft can range from $80,000 to $150,000 depending on configuration, but with rising fuel prices and stricter emissions targets, airlines are starting to see these upgrades not as expenses, but as essential investments.

The post Cleared for Modernization: The Top Avionics Upgrade for Fixing America’s Broken ATC appeared first on Avionics International.

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$31.5 Billion Price Tag Revealed for ATC Overhaul

U.S. Transportation Secretary Sean Duffy told Congress on July 23 that it will cost $31.5 billion to fully modernize the nation’s air traffic control (ATC) system, a sweeping upgrade the Department of Transportation (DOT) hopes to complete by 2028. It’s the first time a specific price has been publicly tied to the project.

Speaking before the House Transportation and Infrastructure Committee, Duffy emphasized the urgency. “We’re talking about $31.5 billion to finish the job,” he said. “We’ll need more money, and my hope is that we’ll continue this conversation. Time is of the essence.”

The plan, first announced in May, outlines a full-scale transformation of the current system. That includes installing over 25,000 new radios, 475 voice switches, and replacing 618 radars…if Congress agrees to fund it. A $12.5 billion initial investment, secured through President Trump’s recently passed infrastructure bill, gives the project its starting boost.

Lawmakers pressed Duffy on whether the timeline is realistic, especially for the digital backbone of the system. He acknowledged that the new software, which he called “the heart” of ATC modernization, has yet to be selected. “Imagine using Microsoft 95 when the world has moved on,” Duffy said. “That’s where we are.”

He estimated the process of selecting a vendor for the software would take six to eight months, followed by another six to ten months of debugging and testing before rollout.

One possible player in the mix: Elon Musk’s Starlink. Duffy confirmed the satellite company could potentially bid on aspects of the new system requiring space-based communications, despite earlier concerns about conflicts of interest.

Those concerns were raised by Rep. Julia Brownley (D-Calif.), who referenced a March letter to the FAA flagging issues with SpaceX employees acting as consultants to the agency, while Musk was still a member of the Department of Government Efficiency (DOGE). According to Brownley, the FAA admitted on July 15 that waivers were granted despite conflicts.

Duffy responded by stressing boundaries were in place. “They were specifically walled off from anything space-related,” he said. “They focused strictly on the air traffic control side. They met with controllers and our tech teams to understand the system’s limitations.”

Still, Brownley questioned whether SpaceX should be allowed to participate in the modernization effort. Duffy left the door open, saying Starlink could bid on future projects that involve satellite connectivity.

The pilot training rule…

Outside of system upgrades, the hearing also touched on a separate safety issue: the 1,500-hour pilot training rule. The regulation, introduced after the 2009 crash of Continental Connection Flight 3407, mandates that airline pilots log at least 1,500 flight hours before flying for commercial carriers. That crash killed 50 people and was blamed on pilot error.

New FAA Administrator Bryan Bedford, formerly the CEO of Republic Airways, has not committed to upholding the rule, prompting concern on Capitol Hill. Duffy, however, signaled no intention to back away from the requirement.

“I have no plans to change it,” he said. “But if there’s data showing that advanced simulators can offer training pilots can’t get in small planes—training that truly prepares them for emergencies—then of course I’d be open to that discussion. We all want pilots who are genuinely ready.”

The upshot: Sweeping change is coming to U.S. airspace, but it won’t come cheap…and it won’t come fast.

The modernization of America’s air traffic control system is a massive, multi-decade effort that will require billions in funding, bold political will, and sustained coordination across government and industry.

From satellite-based navigation to AI-assisted routing and upgraded communications infrastructure, the overhaul promises to boost safety, cut delays, and handle the surge in both commercial and unmanned aircraft. But the price tag is steep, and the timeline stretches well into the next decade, meaning travelers and taxpayers alike will need to buckle up for the long haul.

The post $31.5 Billion Price Tag Revealed for ATC Overhaul appeared first on Avionics International.

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Europe’s Air Traffic System Could Soon Face Chaos of Its Own

Europe’s fragmented air traffic control (ATC) system has long been a source of inefficiency, delays, and frustration.

Unlike the U.S., which operates under a unified FAA-controlled airspace, Europe remains a patchwork of national ATC systems, each with its own regulations, procedures, and technology.

However, as 2025 unfolds, the situation in Europe is about to deteriorate even further, thanks to geopolitical instability, the next phase of Brexit-related disruptions, and a Trump-driven shake-up at the U.S. Federal Aviation Administration (FAA).

America faces its own ATC crisis and the problem is poised to spread overseas.

European nations insist on maintaining control over their airspace, leading to inefficiencies, duplicated efforts, and conflicting rules. Many European ATC systems are still relying on decades-old radar and communication protocols.

Europe’s ATC lacks uniformity in flight routes, altitude assignments, and airspace classifications, making coordination a nightmare.

Rising tensions among the European Union (EU), Russia, and China will further complicate cross-border flight routes.

If President Trump follows through on his promise to radically overhaul the FAA, including potentially pulling the U.S. out of international ATC agreements, air traffic coordination between North America and Europe could become chaotic.

A disjointed system means more vulnerabilities to cyberattacks, particularly from nation-state actors.

What this means for avionics…

For avionics manufacturers and airlines, these growing inefficiencies mean that pilots and airlines will be forced to make last-minute reroutes to navigate shifting regulations.

The lack of standardization increases the chances of near misses and miscommunications. Airlines will need to invest in more advanced avionics to adapt to a rapidly changing regulatory landscape.

The only solution? Many analysts argue for a true Single European Sky (SES) initiative.

The SES is designed to overhaul Europe’s ATC system by replacing national boundaries in the sky with a streamlined, continent-wide network that operates under a single, unified structure. First proposed in the early 2000s, the SES framework aims to centralize airspace management, reduce congestion, and introduce more advanced technology to optimize flight paths.

While some progress has been made, particularly with initiatives like the Functional Airspace Blocks (FABs), which encourage cross-border cooperation, full implementation has been hindered by bureaucratic inertia, national sovereignty concerns, and resistance from some controllers who fear job losses or diminished influence.

The potential benefits of a true SES are enormous. Estimates suggest that full implementation could cut air traffic management costs by as much as 50%, reduce flight times and fuel burn by optimizing routes, and significantly lower CO₂ emissions.

The European Commission has argued that a fully realized SES would enable Europe’s aviation sector to meet its sustainability goals while enhancing capacity to handle growing air traffic demand.

However, political challenges remain. Some nations see control over their airspace as a matter of national security and are reluctant to cede authority to a centralized European system. Others, particularly countries with strong ATC unions, fear that increased automation and cross-border consolidation could lead to job losses.]

Yet, with the mounting pressures of climate change, rising fuel prices, and increasing demand for air travel, the case for a truly unified airspace is stronger than ever.

Ultimately, without a genuine SES, European aviation risks being left behind in an increasingly competitive global industry. As air traffic volumes continue to rise, inefficiencies will become even more pronounced, making reform not just desirable, but necessary. The question is no longer whether Europe needs a Single European Sky—it’s whether political will can finally push it forward.

The post Europe’s Air Traffic System Could Soon Face Chaos of Its Own appeared first on Avionics International.

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VIDEO: The Shocking Truth Behind America’s ATC Crisis

In this video presentation, I examine the crisis bedeviling the U.S. Air Traffic Control (ATC) system. Click here to view my video: https://shorturl.at/2bHSD

Below is an edited transcript of my presentation.

If you’re waiting for the U.S. government to fix the ATC crisis, pack a lunch and bring a sleeping bag. It might be a long while. Fortunately, while politicians fumble and bureaucrats bloviate, a few savvy companies are quietly stepping in to drag America’s skies into the 21st century.

Yes, the nation’s aviation infrastructure is a shambles. But there’s a source of hope: Private sector avionics firms are stepping into the breach. They’re building smarter solutions, better situational awareness tools, and resilient backup systems designed to function even when government infrastructure fails.

In the meantime, the U.S. ATC system is collapsing in slow motion, and no one in Washington seems particularly interested in pulling the nose up.

The fatal mid-air collision in January over the Potomac, when a Black Hawk helicopter collided with a commercial airliner in Washington, DC airspace, was a long-dreaded ATC failure that experts say was inevitable. Antiquated radar, overwhelmed controllers, and a broken chain of command combined to deliver a preventable catastrophe. This wasn’t just a tragedy. It was a warning.

Antiquated technology…

The root of the problem lies with the Federal Aviation Administration (FAA), an agency so chronically underfunded and mismanaged it might as well be running on vacuum tubes. Much of the equipment in use dates back to the 1970s. The radar screens look like Cold War relics because they are Cold War relics. Staffing levels are so low that controllers routinely pull double and even triple shifts. Burnout isn’t a risk—it’s a given.

The FAA’s problems predate the second Trump administration (and even the first), but severe budget slashes under Trump 2.0 are exacerbating the mess. Essential roles in ATC are being left vacant. The FAA is overwhelmed, under-equipped, and paralyzed.

When the Department of Transportation (DoT) handed the keys to Sean Duffy—a former reality TV personality with zero aviation experience—hopes for reform became little more than punchlines. The only thing soaring right now is public anxiety.

Just ask travelers at Newark Liberty International Airport, one of the busiest hubs in the nation, where delays have turned into full-blown meltdowns. Taxi times stretch into hours. Gate changes occur mid-taxi. Departures stall because there’s no one available to guide takeoff traffic. Travelers are now making efforts to avoid the airport altogether.

What’s happening in Newark isn’t a one-off glitch. It’s a preview of the future unless serious technological upgrades are made, and fast.

According to recent polling, about 65% of Americans say they are more nervous about flying due to ATC issues. That’s not just a public relations problem. It’s a commercial aviation crisis.

Carriers can’t schedule reliably if ATC is in disarray. Crew timing rules clash with delayed departures, stranding aircraft and creating a cascade of cancellations. Every delay costs money and passengers. Some are now opting for trains, buses, or not traveling at all. The system is bleeding confidence.

And while Sean Duffy insists all is well from his perch atop the DoT—when he’s not reprising his old soundbites from “Real World: Boston”—industry insiders know better. The FAA is a bureaucracy adrift.

The controller shortage is now critical, with some regional towers staffed at just 60% of operational need. Upgrades to essential software have been delayed by years. The system is one lightning strike or ransomware attack away from collapse.

Unless the government makes an aggressive and well-funded effort to fix the ATC system, aviation will be plagued by safety risks and economic headwinds for years to come.

In successive articles and video presentations within this e-letter, I will examine what’s being done to mitigate the crisis.

The post VIDEO: The Shocking Truth Behind America’s ATC Crisis appeared first on Avionics International.

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America’s ATC Meltdown: Why The Skies Are Short-Staffed and The Remedies That Are Needed

For over a decade, the U.S. has been facing a persistent and growing shortage of air traffic controllers. The problem has ballooned into a full-blown crisis, straining airport operations, triggering flight delays, and testing the limits of the Federal Aviation Administration’s (FAA) training pipeline.

Despite efforts to address it, the gap between the number of certified controllers and the number required to safely manage America’s airspace keeps widening.

As of early 2025, only about 10,800 certified professional controllers are actively working, far below the 14,600 needed to keep air traffic flowing smoothly and safely. Nearly 280 of the country’s 300 air traffic control facilities are now operating below proper staffing levels. Even minor disruptions like a government shutdown can bring controller training to a standstill and further delay the pipeline.

And that pipeline is fragile. When the federal government shutters—even briefly—students at the FAA’s Oklahoma City training academy are sent home. This happened in 2013 and again during later political impasses. Add the pandemic to the mix, and controller hiring practically froze for two years. FAA officials estimate they need to hire at least 3,000 new controllers just to bring staffing up to sustainable levels.

The effects of the shortage are already showing. In New York, one of the most congested airspaces in the country, the FAA has been forced to cap the number of flights. United Airlines claims that delays occur daily, regardless of weather, because there simply aren’t enough controllers on duty. In fact, the airline says 68% of its 2024 delays on clear-weather days were due to ATC staffing limitations.

Fatigue is also a growing concern. Testimony before Congress revealed that some controllers have been working six days a week, 10 hours a day, for years on end. Larger airports bear the brunt of the staffing crisis, with some airlines now diverting routes to smaller airports just to cope.

While the U.S. has the most acute shortage, it’s far from alone. Europe is short roughly 700 to 1,000 controllers. Canada’s NAV CANADA has struggled to hire, and even Australia is seeing staffing shortfalls that are delaying flights. But no other country faces the same combination of bottlenecks and regulatory constraints as the U.S.

Is hiring too selective?

One of the biggest issues is not attracting interest but converting that interest into qualified hires. The FAA’s hiring process is notoriously selective. Only about 10% of applicants make it through the initial screening, and even fewer complete the multi-year training process.

Applicants must be U.S. citizens under the age of 31. They must pass strict medical and security clearances and demonstrate near-perfect vision. Bifocal contacts aren’t allowed, and colorblind applicants are automatically disqualified. Add in academic or work requirements, and most hopefuls are screened out before they ever step into a simulator.

Even once someone is hired, it can take two to three years before they’re certified to work independently. And just as the FAA is strict on who gets in, it’s equally strict on when they must leave: mandatory retirement hits at age 56, even though many federal employees work until at least 65. While the FAA allows rare waivers up to age 60, the majority of controllers are forced out early, even if they’re still sharp and healthy.

The rationale is that controllers must maintain peak cognitive and physical performance, and the FAA argues that the early retirement is a safety measure. On the plus side, ATC pensions are generous: controllers can retire at age 50 with 20 years of service, or at any age with 25 years in. But the flip side is that this creates a steady outflow of talent that the FAA has been unable to replace fast enough.

To turn the tide, the Transportation Department has announced a plan to boost starting salaries by 30% and streamline the hiring timeline. The FAA has also launched its Enhanced Air Traffic Collegiate Training Initiative (CTI), allowing a handful of approved colleges to deliver equivalent training programs outside the federal academy.

Still, the challenges remain steep. Controller work is grueling, mentally taxing, and increasingly overloaded. About 41% of current controllers are logging 60-hour weeks. That pressure drives burnout and attrition, just as the system needs experience more than ever.

Meanwhile, political decisions are stirring new fears. The recently formed Government Efficiency Department (DOGE) has implemented sweeping federal workforce cuts. Though air traffic controllers haven’t been laid off, around 400 FAA staffers lost their jobs in early 2025, raising alarms about support systems critical to safety and training. A key FAA report even briefly disappeared from the agency’s website before being recovered via an internet archive.

DOGE has called for retired controllers to return to duty, but that’s a long shot given the legal retirement cap. And critics note that DOGE, despite its influence, lacks any real aviation expertise.

There are some signs of hope. FAA trainees in Oklahoma recently received a $5-per-hour raise, signaling a willingness to invest in the future workforce. But with skies only getting busier and new technologies like 5G and urban air mobility on the horizon, the need for more qualified controllers has never been more urgent.

Unless hiring accelerates and structural reforms are made, travelers can expect more delays, more cancellations, and more pressure on the few controllers keeping the system afloat.

The post America’s ATC Meltdown: Why The Skies Are Short-Staffed and The Remedies That Are Needed appeared first on Avionics International.

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