Defence equipment manufacturer Raytheon has received a $1.8 billion contract extension from the US Navy for SPY-6 radars, building upon a hardware production and sustainment agreement initially awarded in March 2022. The updated contract includes options that, if fully exercised, would bring the cumulative value to $3.3 billion.
Barbara Borgonovi, President of Naval Power at Raytheon noted that ongoing investments to increase production will support fleet readiness against evolving operational threats.
The SPY-6 radar is currently deployed aboard two commissioned US Navy ships and installed on 11 additional vessels undergoing testing. According to the company, the radar system is expected to be deployed on more than 50 US Navy ships over the next decade.
To support the programme, Raytheon highlighted that it has invested more than $800 million to modernise its radar manufacturing facilities and expand production capacity. These upgrades position the manufacturer to double SPY-6 output by 2028, which it says ensures long-term availability and reduces costs for the US Navy.