US Transportation Secretary Unveils $12B AI Plan to Modernize Air Traffic Control System

The United States is moving forward with a $12 billion initiative to integrate artificial intelligence (AI) into its air traffic control system, aiming to reduce delays and improve efficiency. The announcement comes as the Trump administration seeks to modernize aviation infrastructure using private-sector AI solutions.

AI Software SMART to Transform Air Traffic Management

At a recent Semafor event, US Department of Transportation Secretary Sean Duffy confirmed the government’s plans to deploy AI software called Strategic Management of Airspace Routing Trajectories (SMART). The software is being developed by three competing companies: Palantir, Thales SA, and Air Space Intelligence.

Palantir has publicly acknowledged its role, stating in an investor notice that it has been contracted by the Federal Aviation Administration (FAA) to provide a data analytics tool to support aviation safety modernization.

How SMART Will Work

Speaking to CBS News on Tuesday, Duffy explained that SMART will enable air traffic controllers to schedule flights up to 45 days in advance, adjusting departure times by as little as five to ten minutes to prevent delays. He described the system’s capabilities:

“This software will say, ‘well, listen, we can see this 45 days out. Let’s move some of those flights a little bit later, or five, seven, 10 minutes earlier, and we can resolve the issue. And so then you are not delayed.’”

The transportation secretary emphasized that the AI will not replace human controllers but will assist in managing airspace more efficiently.

Concerns Over AI Reliability in Critical Systems

Despite the administration’s optimism, critics raise concerns about the reliability of AI in high-stakes environments. Recent examples highlight AI’s vulnerabilities, including failures in staffing schedules, traffic safety predictions, and even managing a vending machine.

“If some of the best available AI on the market today can’t run an office snack machine without breaking down into a de facto cartel, good luck when you put it in charge of scheduling the country’s flights,” the article notes.

FAA Modernization Efforts Continue

This initiative is part of broader efforts by the FAA to upgrade its systems. Earlier this year, the agency faced significant disruptions, including an incident at El Paso International Airport, where a military operation temporarily shut down operations. The details remain undisclosed.

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