Stock Markets June 23, 2026 06:03 PM

Boeing Wins $2.003 Billion Contract for MUOS Phase II; Secures Separate Osprey Parts Award

Defense deal covers design, build and on-orbit support for two MUOS satellites through 2035; additional contract supplies structural rings for V-22 aircraft

By Jordan Park
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The U.S. Department of War has awarded Boeing a fixed-price-incentive-firm-target contract worth $2,002,862,607 for the Mobile User Objective System (MUOS) service life extension Phase II. The work includes design, development, manufacturing, launch support and on-orbit test support for two MUOS satellites, with completion expected by Sept. 30, 2035. Separately, Boeing received a $16,224,988 firm-fixed-price contract to supply 25 structural ring assemblies for Marine Corps V-22 Osprey aircraft, with work slated to finish by October 2032.

Boeing Wins $2.003 Billion Contract for MUOS Phase II; Secures Separate Osprey Parts Award
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Key Points

  • Boeing received a $2,002,862,607 fixed-price-incentive-firm-target contract from the U.S. Department of War for MUOS service life extension Phase II, covering two satellites and several lifecycle activities.
  • Work for the MUOS contract will be performed in El Segundo, California, and is scheduled to be completed by Sept. 30, 2035; $204,083,073 in fiscal 2026 RDT&E funds are being obligated at award.
  • Separately, Boeing was awarded a $16,224,988 firm-fixed-price contract for 25 structural ring assemblies for Marine Corps V-22 Osprey aircraft, with work in Sante Fe Springs, California, and Ridley Park, Pennsylvania, expected to finish by October 2032.

The U.S. Department of War announced that Boeing Co. was awarded a fixed-price-incentive-firm-target contract valued at a maximum of $2,002,862,607 for the Mobile User Objective System service life extension Phase II effort.

The contract scope includes the design, development, construction, launch support and on-orbit test support for two MUOS satellites. Work under this award will be performed in El Segundo, California, and the period of performance is scheduled to run through Sept. 30, 2035.

According to the award notice, the MUOS Phase II contract was procured competitively, with two offers received. At the time of award, fiscal 2026 research, development, test and evaluation funds totaling $204,083,073 are being obligated. The contracting activity for this effort is Space Systems Command, Los Angeles Air Force Base, California.

In a separate action the same day, Boeing secured a firm-fixed-price contract worth $16,224,988 for the procurement of 25 structural ring assemblies intended for Marine Corps V-22 Osprey aircraft.

Work on the Osprey structural rings will be carried out in Sante Fe Springs, California, and Ridley Park, Pennsylvania, with an expected completion date in October 2032. The notice specifies that this requirement was awarded as a sole-source procurement, with one offer received. Fiscal 2026 working capital funds in the full contract amount will be obligated at the time of award. The contracting activity for this award is Naval Supply Systems Command Weapon Systems Support, Philadelphia, Pennsylvania.

Both contract announcements provide the contracting authorities, funding details and projected completion dates as reported by the issuing agencies. The MUOS award identifies a substantial multi-year effort to support two satellites through design, launch and on-orbit test phases, while the Osprey award covers the supply of specific structural components for a Marine Corps platform.


Summary of awards

  • The MUOS Phase II contract is a maximum $2,002,862,607 fixed-price-incentive-firm-target award for two satellites, with work in El Segundo, California, and completion expected by Sept. 30, 2035.
  • The Osprey structural ring assemblies award is a $16,224,988 firm-fixed-price contract for 25 parts, with work in Sante Fe Springs, California, and Ridley Park, Pennsylvania, and completion expected by October 2032.

Risks

  • Long duration of performance for the MUOS contract, with completion not expected until Sept. 30, 2035, introduces schedule risk for the satellite program and related aerospace suppliers.
  • The Osprey structural ring contract was awarded as a sole-source requirement with one offer received, indicating limited competition for that procurement.
  • Only $204,083,073 in fiscal 2026 RDT&E funds were obligated at the time of the MUOS award, which implies further funding actions will be required over the multi-year life of the effort.

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