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The new generation of U.S. fighter jets may be downsized due to budget constraints.

TraderKnows
TraderKnows
07-22

Recent reports reveal that the next-generation fighter jet of the U.S. Air Force may face reductions and delays due to budget pressures and competition.

The U.S. Air Force's next-generation fighter jet program was initially envisioned as a revolutionary technological leap. However, due to budget pressures, competing priorities, and shifting goals, this ambitious plan may become less grand, according to defense officials and industry executives.

Originally conceived as a "family of systems" centered around a sixth-generation fighter, the Next Generation Air Dominance (NGAD) program aims to replace the F-22 Raptor and ensure that the United States maintains the most powerful air weaponry through the mid-21st century.

When the plan was first proposed, expectations were high, including unparalleled stealth capabilities that would keep it invisible to even the most advanced radars, as well as laser weapons and onboard artificial intelligence to handle vast amounts of data from the latest sensing technologies.

However, sources have revealed that the current development budget of $28.5 billion over five years (until 2029) may be spread out over a longer period or reduced, as the Pentagon seeks a cost-effective solution.

Sources familiar with the Air Force's internal budget deliberations indicate that the NGAD budget for fiscal year 2026 is expected to be $3.1 billion. However, this budget will be cut due to funding reductions, with one source adding that the reduction in funds may extend the development timeline by two years.

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