The Air Force is having difficulty reaching a price agreement with Boeing for its E-7 program, which will replace its aging E-3 Sentry airborne warning and control system aircraft fleet. The service plans to buy 26 E-7s by 2032. The first is expected to be fielded in 2027, and a production decision on the rest of the fleet will be made in 2025. The negotiations concern the adaptations needed to meet U.S. specifications, with the required engineering work exceeding initial expectations. The Air Force is narrowing down issues and trying to better understand Boeing’s proposal. While the service would prefer the process to be faster, it acknowledges that Boeing is being cautious as it negotiates. The E-7 program is a significant undertaking.
Andrew Hunter, the Air Force’s assistant secretary for acquisition, technology, and logistics, stated that the discussions are proving difficult due to the unexpected amount of engineering work required. This led to challenges in negotiations with Boeing. The Air Force is working to better understand Boeing’s proposal, narrowing down the issues, but the process is not going as fast as it would like. Hunter also noted that it’s not surprising that Boeing is being cautious in its negotiations on the program, given past experiences.
Stephen Losey provides the information as the air warfare reporter for Defense News. He has previously covered leadership and personnel issues at Air Force Times, and the Pentagon, special operations, and air warfare at Military.com, and has traveled to the Middle East to cover U.S. Air Force operations.