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FAA Gets $5B Supplemental Funding for Software Upgrades

8/18/2026

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Story summary
  • The Federal Aviation Administration (FAA) received $5 billion supplemental funding for software upgrades.
  • Transportation Secretary Sean Duffy invited Peter Thiel, Palantir chair, to aid the FAA after Elon Musk’s DOGE failed.
  • Palantir lost the $875 million SMART contract to Air Space Intelligence, a Boston startup formed by four ex-Palantir staff.
  • On August 6, Minneapolis Air Route Traffic Control Center lost radar and communications for two hours, affecting over 1,100 flights.