The U.S. military has dramatically expanded a key defense communications program, boosting the Raytheon satellite terminal contract by more than $2 billion to strengthen secure battlefield communications.

According to a Pentagon announcement Friday, the U.S. Air Force approved a $2.01 billion contract modification for Raytheon, significantly increasing the value of a program that connects aircraft, command centers and military platforms to one of the Pentagon’s most secure satellite networks.

Contract Value Nearly Triples

The modification pushes the total value of the Raytheon satellite terminal contract to $2.97 billion, up sharply from the $960 million originally awarded in 2021.

The agreement operates under contract number FA8735-21-D-0001, which was initially established with a ceiling structure allowing for future funding increases.

Under the expanded contract, Raytheon will produce and sustain Advanced Extremely High Frequency (AEHF) terminals, which enable highly secure satellite communications for military operations.

Secure Satellite Links for Military Operations

The Advanced Extremely High Frequency network represents one of the most protected communications systems used by the U.S. military.

These terminals allow aircraft, ground units and command posts to maintain encrypted communications even in contested environments where traditional networks may fail.

In essence, the system functions as a digital lifeline for commanders and frontline forces, ensuring mission-critical data and orders can move securely across vast distances.

Work Spanning Multiple Facilities

Raytheon will carry out work under the updated Raytheon satellite terminal contract at several company facilities.

Production and support operations are scheduled to take place in Marlborough and Largo, where the company maintains advanced defense manufacturing capabilities.

Officials said the contract runs through Aug. 9, 2031, providing nearly a decade of development, production and sustainment for the communications systems.

No Immediate Funding Obligated

Despite the substantial increase in the contract’s overall value, the Pentagon stated that no funds are being obligated at the time of the modification award.

The contracting authority overseeing the program is the Air Force Nuclear Weapons Center, specifically its Strategic Communications Division based in Bedford.

Strengthening the Military’s Digital Backbone

The expanded Raytheon satellite terminal contract highlights the growing importance of resilient communications in modern warfare.

As military operations increasingly rely on real-time intelligence, satellite networks function like the nervous system of the battlefield—carrying signals between command centers, aircraft and deployed units.

With the upgraded AEHF terminals, the U.S. Air Force aims to ensure that even under the most challenging conditions, its forces remain connected, coordinated and capable.