Raytheon Gets $379.8 Million U.S. Contract for its On-Going GPS System Control Work

Insider Brief

• Raytheon received a $379.8 million contract modification to extend and support the U.S. military’s GPS Next Generation Operational Control System (OCX), raising the total contract value to over $4.5 billion.
• The updated contract includes extended development, pre-operational acceptance, and interim post-operational support for OCX, which enhances GPS accuracy, security, and integration with military and civil services.
• Work will be conducted in Colorado and California, with a new base completion date of March 2026 and an optional extension to March 2027; no additional funds are being obligated as the contract remains incrementally funded.

Raytheon has secured a $379.8 million contract modification to support the next-generation operational control system for the U.S. military’s Global Positioning System, according to a Department of Defense announcement. The updated agreement brings the total value of the contract to over $4.5 billion.

The funding, awarded under contract FA8807-10-C-0001, covers extended work on the GPS Next Generation Operational Control System (OCX), which is designed to enhance the accuracy, security, and resilience of GPS services. The modification also includes pre-operational acceptance support and an interim support phase following operational acceptance. The option period associated with the modification is valued at $162.6 million.

Work will take place across multiple sites including Raytheon’s facility in Aurora, Colorado, as well as Schriever and Vandenberg Space Force Bases. The base period of the contract is now set to conclude by March 31, 2026, with an optional one-year extension to March 31, 2027.

The OCX program is considered a cornerstone of U.S. military space infrastructure, designed to control GPS III and future GPS satellites, according to the National Coordination Office for Space-Based Positioning, Navigation, and Timing. These systems are expected to provide more precise navigation and timing data and offer improved resistance to jamming and cyber threats. OCX also plays a key role in integrating encrypted military signals and managing civil GPS functions.

This latest contract change definitizes a previously undefinitized change order. The Department of Defense notes that no new funds are being obligated at this time, as the contract continues to be incrementally funded.