The U.S. Department of Defense has reportedly decided to cancel the Boeing E-7A Wedgetail program, a significant airborne surveillance aircraft project that was set to replace the aging E-3 Sentry fleet. According to multiple defense officials cited by FlightGlobal, the fiscal year 2026 budget proposal will not include funding for the E-7's development due to delays, rising costs, and concerns about its survivability in contested environments.
The Pentagon is now considering a shift towards a space-based alternative while potentially relying on additional E-2D Advanced Hawkeyes in the interim. This decision marks a reversal for what was once anticipated as a cornerstone of next-generation airborne command and control. If confirmed, this would be another major setback for Boeing’s defense division.
Senior defense officials have stated that factors leading to the cancellation include an increase in cost from $588 million to $724 million per aircraft and doubts about the aircraft's effectiveness in high-threat environments. The Wedgetail, based on Boeing's 737-700, was initially selected to provide modern airborne early warning and control capabilities for the US Air Force.