The Pentagon is seriously considering terminating or radically reducing the RTX contract (formerly Raytheon) on the development of the next-generation terrestrial GPS control system, known as OCX.
Root causes and current status
Critical delays: The program has been developed for more than 15 years (with 2010 year) and is behind schedule by 10 years.
Increasing value: The initial budget of $3,7 billion increased to $7.6–8 billion.
Technical defects: Despite them, that the US Space Force formally adopted the system in July 2025 year, government tests in 2026 year revealed numerous software errors, which will take much more time to eliminate, than planned.
Contract term: The current version of the contract with RTX is ending 31 March 2026 year, and Pentagon officials are leaning towards it, not to continue it in full.
Alternative plans of the Pentagon
Instead of continuing expensive OCX development, The US Space Force is considering next steps:
Using the legacy system: Transition to an upgraded version of the current AEP system (Architecture Evolution Plan), developed by Lockheed Martin, which has already been adapted to control the new GPS III satellites as a temporary solution.
"Hybrid" approach: Integrating individual successful OCX software components into a more robust AEP platform.
Upcoming launches: OCX's inability to fully operate jeopardizes the deployment and operation of the next generation of GPS IIIF satellites, the launch of which is planned for November 2026 year.
Implications for RTX
The situation with OCX has become one of the most problematic projects in the RTX portfolio. Early 2026 In 2015, the US president also expressed dissatisfaction with the company's pace of production of other weapons (Patriot systems), threatening to stop orders, if performance does not improve.
Source: https://spacenews.com