Home DEFENSE Kratos Awarded Phase 1 for AN/SPY-1 Organic Sustainment Capability for the US Navy

Kratos Awarded Phase 1 for AN/SPY-1 Organic Sustainment Capability for the US Navy

by Jesmitha

Kratos Defense & Security Solutions has been awarded Phase 1 of a contract, known internally as Project Anaconda, to develop the U.S. Navy’s first organic sustainment capability for the critical AN/SPY-1 radar system. This single-award agreement has a total projected ceiling of $175 million across multiple phases and is designed to support the radar fleet, which is expected to remain in service through 2065.

The AN/SPY-1 radar is a foundational asset for Aegis-equipped cruisers and destroyers, providing ballistic missile defense, integrated air and missile warfare, and persistent maritime domain awareness. The Navy’s priority is to establish a long-term, organic sustainment and depot-level support capacity to ensure uninterrupted fleet readiness.

Central to Kratos’ solution is the new, company-owned Indiana Radar Integration Complex (IRIC). This 155,000-square-foot, state-of-the-art facility is strategically located near Naval Surface Warfare Center (NSWC) Crane and is expected to be operational by 2027. It will serve as a dedicated infrastructure for AN/SPY-1 sustainment and modernization.

Under Phase 1, Kratos will lead a cross-industry team to establish the foundation for the IRIC, developing initial organic repair, overhaul, and modernization processes for key radar subsystems like the transmitter and antenna. The work will also advance digital engineering and artificial intelligence–enabled data management. The team will coordinate closely with NSWC Crane, Program Executive Office Integrated Warfare Systems, and Navy fleet stakeholders to ensure alignment with sustainment priorities.

Company leadership stated this award validates their strategy of making significant internal investments in national security infrastructure. The multi-phase, milestone-driven approach allows the Navy and Kratos to mitigate risk, accelerate key capabilities, and scale sustainment infrastructure to meet long-term fleet requirements, generating multi-decade value.

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