- The Australian government is investing $1.7 billion over six years in the second tranche of AIR 6500
- The investment will strengthen the country’s integrated air and missile defense capabilities
- Lockheed Martin Australia received a $951 million contract under Tranche 2B of the joint air battle management system
The Australian government is investing $1.7 billion over six years to strengthen the country’s air and missile defense capabilities through the second tranche of AIR 6500, a sovereign joint air battle management system designed to provide a unified view of the battlespace and help the Australian Defence Force detect, track and respond to threats at varying ranges.
How Will Australia’s AIR 6500 Investment Strengthen Air and Missile Defense?
As part of the investment, the Australian government has awarded Lockheed Martin Australia a $951 million contract to advance and sustain AIR 6500 Tranche 2B.
Lockheed Martin Australia said the next phase will enhance the system’s core architecture with advanced command-and-control aids, expanded communications and cybersecurity capabilities.
The upgraded capability will modernize existing air surveillance and aircraft-control functions while supporting defense operations in Australia and overseas.
The system will connect current and future ADF platforms, including Hobart-class destroyers, F-35A Lightning II aircraft and the accelerated medium-range ground-based air defense system.
Lockheed Martin President of Rotary and Mission Systems Stephanie Hill said the company is working with Australia’s Department of Defence to evolve an integrated air and missile defense system for the Indo-Pacific region.
Lockheed Martin Australia and New Zealand Chief Executive Jeremy King said the contract reflects Australia’s confidence in its domestic industry to develop and deliver advanced defense capabilities.
“AIR6500 enhances the joint force by bringing all ADF defense assets together on a scalable, resilient, and collaborative platform,” he added.
The latest commitment follows a $500 million Australian government investment announced in April 2024 for the next phase of the joint air battle management system.
What Are Government Leaders Saying?
Australian Deputy Prime Minister Richard Marles said the government is using the program to support skilled Australian employment while strengthening the country’s defense capabilities.
Defence Industry Minister Pat Conroy similarly emphasized the importance of retaining the ability to develop and sustain critical defense capabilities domestically.
“Through AIR 6500, we are delivering a world-class command and control capability while strengthening Australia’s sovereign industrial base, growing a highly skilled workforce and retaining critical integrated air and missile defense expertise in Australia,” Conroy said.
Lockheed Martin Australia currently has a 360-person engineering workforce supporting integrated air and missile defense programs. The company said it plans to expand that workforce to more than 400 employees within 18 months and will continue working with prime contractors, small and medium-sized enterprises and academia as the program advances.
