- The Air Force has proposed $267.7 billion in FY27 funding, partly to upgrade and enhance its fighter and bomber fleets
- The service is also making investments to build its missile arsenal by funding the development of hypersonic and intercontinental ballistic missiles
- The 2026 Air and Space Summit on July 30 will bring together military and industry leaders to advance the Air Force’s priorities
The U.S. Air Force wants to strengthen its capability to deter and, if needed, win any conflict by accelerating its modernization and procurement of advanced warfighting capabilities. To achieve its vision, the service is requesting $267.7 billion in funding for fiscal year 2027.
The proposed budget, a $53 billion increase compared to the service’s FY 2026 request, supports major programs across air superiority, deterrence and other priorities.
The Potomac Officers Club’s 2026 Air and Space Summit on July 30 will explore the Air Force’s priorities for 2026, 2027 and beyond. Senior government leaders, including Air Force Vice Chief of Staff Gen. John Lamontagne, will deliver keynotes and participate in panel discussions. Get your tickets today!
How Will the Air Force Spend Its FY27 Budget?
Fighter Fleet Expansion
The Air Force is making major investments to upgrade and expand its fighter fleet in FY27, requesting funding boosts to support the development and procurement of multiple advanced platforms.
The service has proposed an additional $3 billion for the development of its first sixth-generation fighter jet, the F-47 Next Generation Air Dominance, according to an April press release.
Made by Boeing, the F-47 is a replacement for the F-22 Raptor. It offers advanced stealth capabilities, a 1,000-nautical-mile range and speed faster than Mach 2, Air and Space Forces Magazine reported. It will fly alongside autonomous drones, such as the Collaborative Combat Aircraft, or CCA.
CCA, dubbed the ‘loyal wingman,’ is a jet-powered aircraft that automates navigation and weapons employment, according to Military Times. The platform is being developed through multiple increments, with Increment 1 focused on air-to-air and strike missions. Later increments will introduce electronic warfare and intelligence, surveillance, and reconnaissance variants.
For FY27, the Air Force is asking for a total of $2.7 billion for the CCA. The Air Force intends to spend $1.37 billion for the continued development of the aircraft and almost $1 billion for the production of Increment 1 CCA.
“We are advancing the F-47 and Collaborative Combat Aircraft to increase combat mass and complicate adversary targeting,” Gen. Ken Wilsbach, chief of staff of the Air Force, told lawmakers during a House Armed Services Committee hearing on May 20.
Additionally, the Air Force is requesting $7.4 billion to acquire 38 F-35 Joint Strike Fighter jets.
Keep B-1B & B-2 Bombers Flying
The Air Force is also allocating nearly $1.7 billion for the modernization of its bomber fleet. The service has requested $342 million to keep its B-1B Lancers flying and an additional $1.35 billion to upgrade its remaining B-2 Spirits.
Retired Col. Mark Gunzinger, former deputy under secretary of defense, told Air and Space Forces Magazine that keeping the old bombers operational “makes perfect sense.”
“The B-2 is the only fully operational stealth bomber that we have, and frankly, long-range penetrating strike capability is one of the most significant shortfalls in our military,” the former B-52 pilot added.
The Air Force has also requested $7 billion for the continued development of the B-21 Raider, which can deliver conventional and nuclear munitions. The next-generation strike stealth bomber is in low-rate initial production and undergoing flight testing, Forbes said.
Acquire Affordable Munitions
Munitions make up a chunk of the Air Force’s budget request in FY27, with the service planning to invest $14.9 billion to stock up its arsenal.
In defense budget documents, the Air Force laid out its $12.6 billion plan to purchase nearly 28,000 units of the Family of Affordable Mass Munitions, or FAMM, over the next five years, Breaking Defense reported. For FY27, the Air Force is requesting $355 million to buy 1,000 FAMM units.
FAMM comes in two variants: one palletized and one in a lugged configuration. Details about the weapon are scarce, but an official from Anduril Industries previously told reporters that FAMM is based on the Enterprise Test Vehicle.
The Air Force also recently released a request for information on a Beyond Adversary’s Reach variant of FAMM. Dubbed the FAMM BAR, the weapon is expected to have a range of 1,000 nautical miles and defeat slow-moving maritime targets, according to the RFI published on SAM.gov in April.
Grow the US Hypersonic Weapons Arsenal
The Air Force also plans to build its inventory of hypersonic weapons in FY27, requesting $346 million in base funding for the AGM-183A Air-Launched Rapid Response Weapon, or ARRW, and the new Air-Launched Ballistic Missile, also known as the ALBM.
If the budget request is approved, ARRW Increment 2 will get $296 million, while the ALBM will receive nearly $50 million for design activities, DefenseScoop reported.
Developed by Lockheed Martin, ARRW is a boost-glide missile launched from a bomber aircraft. It is equipped with a solid rocket motor booster, a glider protective shroud and vehicle, and a kinetic energy projectile designed to strike targets on the ground.
Lockheed Martin is a gold sponsor of the Potomac Officers Club’s 2026 Air and Space Summit on July 30. The event convenes the leading players in the defense industrial base to explore the advanced technologies that the Air Force needs to maintain an advantage against adversaries in the air and space domains. Register here to secure your seat!
Increment 2 will have unspecified enhancements to the baseline missile, according to budget documents.
The Air Force’s ALBM, a long-range weapon, is still in its early stages. Not much is known about the program, but a service spokesperson shared with DefenseScoop that the missile will have “unique trajectory profiles to address distinct target sets.”
The Air Force is also allocating $452 million to purchase ARRW baseline missiles and $404 million to acquire Hypersonic Attack Cruise Missiles.
Advance the Development of the Sentinel ICBM
The Air Force is injecting $6 billion to accelerate the development of the next-generation ground-based nuclear deterrent, the LGM-35A Sentinel intercontinental ballistic missile. The Sentinel is a multi-year program said to be the largest construction project undertaken by the Air Force. It is designed to replace the aging Minuteman III ICBM and its decades-old infrastructure.
Northrop Grumman, which is working with the Air Force on the program, is developing the missile and upgrading existing launch silos and supporting architecture.
The $6 billion funding, if approved, will “aggressively advance” the development of the weapon system, including the maturation of its design and supply chain, and support the construction of critical facilities.
Northrop said the Sentinel is on track to conduct its first flight in 2027 and achieve initial capability in the early 2030s.
Other Air Force FY27 Budget Request Highlights
According to a budget overview issued by the Office of the Under Secretary of War (Comptroller), the proposed Air Force FY27 budget includes investments of:
- $3.9 billion to purchase 15 KC-46A tankers
- $2.2 billion to buy Advanced Medium-Range Air-to-Air Missiles
- $738 million to acquire Long Range Anti-Ship Missiles
- $1.5 billion to transition the Long-Range Standoff Weapon from development to production
In addition, The War Zone noted in its April report that the Air Force is alloting $16.6 million for the operational assessment and capability enhancements of the Unmanned Long-endurance Tactical Reconnaissance Aircraft, also known as ULTRA.
Why Should GovCons Attend the 2026 Air and Space Summit?
The 2026 Air and Space Summit on July 30 will serve as a critical forum that connects government and industry leaders to address the Air Force’s and the Space Force’s operational challenges and next-generation technology needs. At the summit, attendees will get the opportunity to:
- Hear defense leaders share insights into the Air and Space Forces’ initiatives.
- Join panels on artificial intelligence and machine learning, space architectures, military networks, defense technologies, and more!
- Network with the defense industry executives shaping the future of the air and space domains.
- Explore how industry can support evolving Air Force and Space Force mission requirements.
Do not miss out on this rare chance to position your organization at the forefront of the nation’s defense enterprise. Register for the 2026 Air and Space Summit today!
