The FAA awarded to ITT in August an 18-year, $1.8 billion contract to provide nationwide automatic dependent surveillance- broadcast (ADS-B) service through- out the National Airspace System. ITT will design, build, install, operate and maintain that critical element of the FAA’s NextGen infrastructure, with the agency’s involvement limited to certification and operational oversight.
Phase one is a $207 million, six-year contract to install 749 ADS-B ground stations across the U.S. by 2013. The first three years will cover equipment development, production and installation of 300 stations by 2010 at priority locations covering the Gulf of Mexico; Louisville, Ky.; Philadelphia; and Alaska. After FAA certification (forecast for 2010), the production and installation of the remainder of the systems is scheduled by 2013. Once certification is achieved, the FAA will pay ITT an annual “subscription fee” of around $100 million.