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Home » Raytheon Wins $34.4M V-22 Tactical Software Sustainment Contract
Defense Contracts

Raytheon Wins $34.4M V-22 Tactical Software Sustainment Contract

Daniel Mercer / Defense & Aerospace Analyst
Last updated: September 22, 2026 4:36 am
Daniel Mercer / Defense & Aerospace Analyst
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V-22 Tactical Software Suite
A V-22 Osprey, with VMM-365, flies over New York City while transporting Marines to conduct a simulated raid at Eisenhower park
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Raytheon has received a $34.36 million U.S. government order to provide engineering, management, technical and acquisition support for the V-22 Tactical Software Suite, extending software sustainment work for the V-22 fleet through August 2028.

Contents
Takeaways1. $34.4 Million V-22 Software Order2. Support Extends Through August 2028Scope of the V-22 Tactical Software Suite ContractV-22 Osprey Technical and Operational ContextOperational Impact on U.S. Air Force, Marine Corps and Navy V-22 FleetContract Breakdown: Raytheon V-22 Award DetailsContract ValueContractorContract TypeWork LocationsPerformance PeriodFundingOptions Or Follow-On WorkRaytheon Defense Industrial Base and Acquisition ImpactProgram Milestones and Next Steps

According to the Department of War contract announcement, the $34,364,909 cost-plus-fixed-fee order was issued by Naval Air Systems Command, or NAVAIR, under previously established basic ordering agreement N0001925G0009. The order supports the operational readiness of V-22 aircraft operated by the U.S. Air Force, Marine Corps and Navy.

Takeaways

Key facts from the contract announcement

1. $34.4 Million V-22 Software Order

Raytheon received a $34,364,909 cost-plus-fixed-fee order from Naval Air Systems Command for engineering, technical, management and acquisition support for the V-22 Tactical Software Suite.

2. Support Extends Through August 2028

The work will be performed in Indianapolis, Indiana, with completion expected in August 2028. The effort supports V-22 operational readiness across the Air Force, Marine Corps and Navy.

Raytheon will perform the work in Indianapolis, Indiana. The order was not competitively procured, according to the announcement.

Scope of the V-22 Tactical Software Suite Contract

The order covers engineering, management, technical and acquisition support for sustaining the V-22 Tactical Software Suite. The announcement does not disclose individual software modifications, specific software releases, aircraft quantities, or particular capability upgrades funded by the order.

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The focus on software sustainment is significant because software is an integral part of modern aircraft operation. NAVAIR has previously described V-22 software activities involving flight control, mission systems, testing, integration and fleet updates. Historical NAVAIR material shows that software changes have been used to modify V-22 aircraft behavior and improve operational capabilities.

A separate NAVAIR procurement notice for V-22 software sustainment described work involving software product updates, resolution of V-22 problem reports, qualification testing, integration into the aircraft, airworthiness substantiation and flight testing for MV-22, CMV-22 and CV-22 aircraft. That earlier requirement provides useful context for the type of engineering and fleet integration activities associated with V-22 software sustainment, although the current contract announcement does not specify which of those activities are included in this particular order.

V-22 Osprey Technical and Operational Context

The V-22 is a tiltrotor aircraft family that combines vertical takeoff and landing characteristics with airplane-mode flight. Its U.S. military variants include the Marine Corps MV-22B, Navy CMV-22B and Air Force CV-22B.

The aircraft’s software architecture is closely connected to its avionics and flight systems. NAVAIR has previously documented V-22 testing involving flight control software and mission computer software. The program has also used software changes to alter aircraft operating characteristics without requiring a major physical redesign.

The current award should therefore be viewed primarily as sustainment and engineering support rather than as a disclosed new aircraft development program. The announcement provides no evidence that the $34.36 million order represents a new V-22 variant or a major hardware modernization effort.

NAVAIR has also described the V-22 program as a joint enterprise involving all three U.S. military services that operate the aircraft. In 2022, the program office said its industry partners included Raytheon and other major V-22 suppliers and that the program was focused on sustaining the aircraft for decades of service.

Operational Impact on U.S. Air Force, Marine Corps and Navy V-22 Fleet

The immediate operational objective identified by the contract announcement is maintaining V-22 fleet readiness.

For the Marine Corps, the MV-22 is a core aviation platform for assault support missions. The Navy’s CMV-22B supports carrier logistics requirements, while the Air Force operates the CV-22 for special operations missions.

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Maintaining the software baseline across these variants can require continued engineering, testing and configuration management as aircraft systems, requirements and components change. The current announcement, however, does not identify a specific readiness target, mission-capable rate or operational performance improvement.

NAVAIR’s historical V-22 work illustrates why software sustainment remains a continuing requirement. Earlier program activities included testing updated mission software, flight control software and avionics changes before fleet implementation.

Contract Breakdown: Raytheon V-22 Award Details

Contract Value

The order is valued at $34,364,909 and uses a cost-plus-fixed-fee contract structure. The stated order value should not be confused with a contract ceiling or the value of the underlying basic ordering agreement.

Contractor

Raytheon Co., Indianapolis, Indiana, is the award recipient.

Contract Type

The action is order N0001926F1166, issued against basic ordering agreement N0001925G0009. The order is cost-plus-fixed-fee and was not competitively procured.

Work Locations

All work identified in the announcement will be performed in Indianapolis, Indiana.

Performance Period

Work is expected to be completed in August 2028.

Funding

The announcement identifies funding from several fiscal years and appropriation accounts.

Fiscal 2025 funding includes:

  • $309,895 in Air Force aircraft procurement funds
  • $294,947 in Defense-Wide procurement funds

Fiscal 2026 funding includes:

  • $8,230,418 in Air Force aircraft procurement
  • $2,090,824 in Defense-Wide procurement
  • $6,109,935 in Navy aircraft procurement
  • $4,818,482 in Air Force operations and maintenance
  • $6,541,169 in Navy research, development, test and evaluation
  • $5,969,238 in Navy operations and maintenance

The listed obligations total $34,364,908, which is $1 below the stated $34,364,909 order value. This one-dollar discrepancy appears in the published figures and is not explained in the announcement. The contract notice states that these funds will be obligated at the time of award.

Options Or Follow-On Work

The announcement does not identify options, additional quantities or a separately funded follow-on order.

The underlying basic ordering agreement provides a contracting framework under which individual orders can be issued. The current action is therefore an order under that existing agreement, rather than a new standalone basic ordering agreement.

Raytheon Defense Industrial Base and Acquisition Impact

The award illustrates the continuing role of software sustainment in the defense industrial base. Aircraft readiness increasingly depends not only on airframes, engines and other physical components, but also on maintaining software, integrating updates and supporting the engineering processes needed to qualify changes.

For the V-22 program, this work spans multiple military services and aircraft variants. NAVAIR has previously described the joint V-22 program office as working with government and industry organizations across the fleet, including Raytheon.

The noncompetitive nature of the current order is also relevant to the acquisition picture. The announcement does not provide the specific justification for the procurement decision, so the reason for limiting competition should not be inferred beyond the fact that the action was not competitively procured.

Program Milestones and Next Steps

Raytheon’s current performance period is expected to continue through August 2028. The announcement does not provide a detailed schedule for individual software releases, testing events, aircraft integrations or fleet deployments.

The earlier V-22 software sustainment requirement identified a process involving software updates, problem-report resolution, qualification testing, aircraft integration, airworthiness work and flight testing. Those activities provide historical context for the broader sustainment process, but the current award notice does not confirm which individual activities will be performed under order N0001926F1166.

TAGGED:NAVAIRRaytheonV-22 Osprey
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ByDaniel Mercer / Defense & Aerospace Analyst
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Daniel Mercer is a defense and aerospace analyst at TheDefenseWatch.com covering military aviation, aerospace technology, unmanned systems, air warfare, and defense procurement. His reporting uses official documents, government and military statements, company announcements, and other public sources.
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