FAA Funds $875 Million AI System to Ease Crowded U.S. Skies

The Federal Aviation Administration has committed $875 million over 12 years to deploy a new AI-powered system meant to reduce air traffic congestion and improve how aircraft move through U.S. skies. The system, called SMART, was assigned to Boston-based Air Space Intelligence as part of a broader modernization effort.

How SMART Fits Into the FAA's Plan#

The SMART system functions as a forecasting layer sitting above a separate data infrastructure. The FAA is also building a Flow Management Data and Services system—which will act as the foundational technology—to replace the agency's current air traffic control tools at its Virginia command center.

Air Space Intelligence already operates a platform called Flyways AI that manages over 40 percent of all U.S. air traffic. That existing system includes a 4D digital model of the national airspace designed to forecast congestion and weather impacts. The new SMART contract suggests the company will expand and enhance these capabilities.

Unanswered Technical Questions#

Exactly which AI approach SMART will rely on remains unclear. The system could use traditional rule-based models that always produce identical outputs, statistical machine-learning approaches that identify patterns in historical data, or some hybrid method. Generative AI systems—like those powering modern chatbots—offer flexibility but risk inconsistency and errors, making them less suitable for safety-critical aviation contexts.

The initial rollout is expected to focus on managing aircraft cruising at 24,000 feet and above, a key high-altitude corridor where traffic flows are most predictable. Observers want clarity on whether the system will later expand to handle lower altitudes where metropolitan airports introduce greater complexity.

The Bigger Infrastructure Challenge#

This AI investment arrives as the FAA undertakes a multi-billion-dollar push to replace decades-old equipment. The agency is beginning to swap out radar systems installed in the 1980s, along with radios, communications cables, and the voice switching gear that connects air traffic controllers to pilots. SMART represents an attempt to modernize how air traffic is managed and predicted, while that parallel effort targets the underlying hardware and communications infrastructure itself.