The Australian Government has invested $2.4 billion to strengthen Australia's air and missile defence capabilities while building a resilient sovereign defence industrial base. As part of this, the government has awarded Lockheed Martin Australia a $1.32 billion contract to advance and sustain Air 6500.
Air 6500 is a sovereign, high-tech joint air battle management system that integrates Australia’s air and missile defence capabilities across all-domains into a single, unified view of the battlespace to detect and counter threats at various ranges.
“Air 6500 is a landmark investment in Australia’s air and missile defence and will help ensure the Australian Defence Force can respond effectively to future threats and deliver on the priorities of both the National Defence Strategy and the Defence Industry Development Strategy," Minister for Defence, Richard Marles, said.
"The project will upgrade the command and control systems needed to strengthen the Australian Defence Force's ability to detect, track and respond to threats in an increasing complex strategic environment."
Delivered as part of the second tranche of Air 6500, this investment is a critical component of the Australian Government’s commitment in the Integrated Investment Program (IIP) of $30 billion over the coming decade to deliver a layered, integrated air and missile defence system.
"The Defence Industry Development Strategy recognises that Australia's security depends not only on the capabilities we acquire, but also on our ability to design, sustain and evolve them here in Australia," Minister for Defence Industry, Pat Conroy, said.
"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 defence expertise in Australia."
This investment will be made over six years, through Defence’s existing strategic partnership with Lockheed Martin Australia.
The foundation of this project is the Joint Air Battle Management System, a system which connects information and capabilities from across the Australian Defence Force (ADF) into a single, effective network.
This $2.4 billion investment will replace the existing system and modernise air surveillance, and aircraft control functions while supporting the coordination of Defence operations in Australia and overseas.
The capability will connect current and future Defence platforms, including Hobart-class destroyers, the F-35A Lightning II aircraft and the accelerated Medium-Range Ground-Based Air Defence system.
This will strengthen Australia's ability to operate as an integrated force and detect, track and respond to increasingly sophisticated air and missile threats.
“This contract confirms the Australian Government’s confidence in Australian Defence Industry’s capacity to deliver world‑class, Australian‑built capabilities that are trusted to protect our nation and its allies," Lockheed Martin Australia and New Zealand’s Chief Executive, Jeremy King, said.
“Lockheed Martin Australia remains firmly committed to continue partnering with primes, small-to-medium enterprises, and academia to source the best‑of‑breed technologies, delivering a sovereign solution that strengthens Australia’s industrial self-reliance and prosperity.
“The next phase of Air 6500 fortifies the core of Australia’s integrated air and missile defence.”
Under Tranche 2B, Lockheed Martin Australia, together with the Department of Defence and Australian industry, will enhance Air 6500’s core architecture with advanced C2 aids, expanded comms, and cyber‑security to maintain resilient, networked sensor and C2 capabilities that can sense and track incoming threats and integrate with the ADF's targeting enterprise, allies and partners.
Over the next six years, a substantial share of the Air 6500 Tranche 2B effort will be delivered by Australian Industry partners.
Independent of the program, Lockheed Martin Australia is investing $85.9 million in a national integrated air and missile defence facility to ensure end‑to‑end system resilience.
“As the strategic partner for Air 6500, Lockheed Martin is proud to continue working with the Department of Defence to rapidly evolve an advanced integrated air and missile defence system that safeguards the Indo‑Pacific region," Lockheed Martin’s president of Rotary and Mission Systems, Stephanie Hill, said.
“Together, we are maturing a significant capability that strengthens Australia’s national security and increases allied interoperability to combat future threats.”
Over the past two years, Lockheed Martin Australia has delivered a series of milestones in Tranche 2A Air 6500, laying the groundwork for the next phase of Air 6500.
These steps include: produced a modular joint air battle management system prototype, two joint tactical operations centres and a single persistent operations node, for testing and evaluation; provided training to the Royal Australian Air Force (RAAF) on delivered elements; completed fit‑out of the Air 6500 integration lab in Adelaide; and developed a 360-strong engineering and technical workforce while partnering with Australian Industry to maximise sovereign content in the system.
“Air 6500 enhances the joint force by bringing all ADF defence assets together on a scalable, resilient, and collaborative platform. It gives us clearer cross‑domain awareness and a more effective way to respond to air and missile threats," King said.