Raytheon Awarded 1.8 Billion Dollar SPY-6 Radar Contract Extension

Envanter Rapid News

Raytheon won a 1.8 billion dollar U.S. Navy contract extension for SPY-6 radar production and sustainment, potentially rising to 3.3 billion dollars if options are exercised.

At a Glance

Contract: 1.8 billion dollars (up to 3.3 billion with options)
Scope: SPY-6 radar family production and sustainment
2 ships in service, 11 in testing
Planned for more than 50 ships within a decade

RTX’s Raytheon announced on 21 July 2026 that it had won a 1.8 billion dollar U.S. Navy contract extension for hardware production and sustainment of the SPY-6 radar family. The total value could rise to 3.3 billion dollars if options are exercised.

The contract builds on the initial production and sustainment agreement signed in March 2022. So far, two U.S. Navy ships have entered service with SPY-6, and 11 more are in testing.

SPY-6 and Naval Modernization

SPY-6 is a radar family providing advanced sensing and multi-mission readiness, developed over more than a decade of design, testing and operational validation. It is expected to equip more than 50 U.S. Navy ships over the next decade.

Raytheon invested more than 800 million dollars to modernize its manufacturing facilities and plans to double SPY-6 output by 2028. Naval Power president Barbara Borgonovi said the extension ‘reflects the Navy’s confidence’ in the company.

Why Radar Is Critical

Modern naval warfare demands early detection and simultaneous multi-target tracking against growing missile and drone threats. Scalable radars like SPY-6 form the backbone of destroyers’ air and missile defense.

The multi-year structure and the doubling of production capacity reflect the U.S. Navy’s search for magazine depth and sustainment assurance.

Why It Matters

Naval radar modernization defines the maritime leg of air and missile defense. Turkey’s ÇAFRAD and indigenous AESA radar programs target similar capability, making global production tempos worth tracking.