Kristen Smith 
BAE Systems has secured a $62 million contract from the U.S. Navy to establish a new depot-level maintenance capability for the E-2D Advanced Hawkeye’s identification friend or foe system, a move aimed at improving aircraft readiness and reducing sustainment timelines.
The effort will be executed at Fleet Readiness Center Southwest in California, BAE Systems said Thursday, with work covering the development of a dedicated depot test station to perform module-level diagnostics and repairs for the E-2D’s AN/APX-122A IFF interrogator system.
Why Is the Hawkeye IFF System Critical to Operations?
The AN/APX-122A, manufactured at BAE Systems’ New York and Virginia facilities, enables operators to distinguish friendly forces from potential threats in contested environments, supporting faster decision-making during command-and-control operations. It is designed specifically for the E-2D platform, which performs missile defense, border security, and search and rescue missions. BAE Systems delivered the integrator system to the Navy under a $26 million contract awarded in 2021.
How Does the Award Fit BAE Systems’ IFF Portfolio?
The company has supported Navy efforts to upgrade and sustain IFF capabilities across various platforms. In 2025, the Navy awarded BAE Systems a contract to modernize the AN/APX-123A common transponder, introducing enhanced encryption compatibility and open-system architecture to support future upgrades.
