AeroVironment Partners with Mercury Systems for $1.4 Billion SCAR Contract

Mercury Systems has signed a new hardware production agreement with AeroVironment to support the U.S. Space Force's Satellite Communication Augmentation Resource (SCAR) program. The $1.4 billion contract leverages AeroVironment's BADGER system, a multi-band deployable ground communications system, to simplify space mission operations through agile, re-configurable beamforming tiles. Mercury Systems will support the integration and delivery of the first BADGER unit this year.

Mercury Systems, Inc. (MRCY) has signed a new hardware production agreement with AeroVironment, Inc. (AV) to support the U.S. Space Force's Satellite Communication Augmentation Resource (SCAR) program. The $1.4 billion contract leverages AeroVironment's BADGER system, a multi-band deployable ground communications system, to simplify space mission operations through agile, re-configurable beamforming tiles. Mercury Systems will support the integration and delivery of the first BADGER unit this year.

The agreement follows an initial contract awarded in 2023, under which Mercury Systems has been producing hardware for the first four BADGER systems. The new production agreement, signed in April, will support two additional BADGER systems. This extension of the partnership underscores the critical role both companies play in enhancing the nation's satellite command and control capabilities.

Mercury Systems provides a field-programmable gate array (FPGA)-based signal acquisition and digital beamforming solution for BADGER, utilizing its Quartz RFSoC and Navigator® Design Suite commercial product offerings. The company's expertise in mission-critical processing is pivotal in the successful deployment of the BADGER system.

The SCAR program, awarded by the Space Rapid Capabilities Office (RCO) in 2022, aims to transform the U.S. Space Force's satellite communications infrastructure. By delivering the BADGER system, which simplifies space mission operations, the program is poised to significantly improve the nation's strategic advantage in the space domain.

Ken Hermanny, Senior Vice President of Signal Technologies at Mercury Systems, expressed pride in extending the partnership with AeroVironment. "By leveraging a suite of commercial technologies from the Mercury Processing Platform, AV is integrating and producing this game-changing capability at exceptional speed and scale," he said.

Mary Clum, Executive Vice President of AV's Space and Directed Energy Mission Systems group, emphasized the importance of the SCAR program in securing the nation's strategic advantage in space. "To answer the urgent calls for this critical technology and deliver our BADGER systems with speed and scale, AV has focused significant internal investments on supply chain readiness and manufacturing. Mercury has been a key partner in these efforts, leaning forward to accelerate production and support the Space Force’s mission needs," she stated.

This collaboration between Mercury Systems and AeroVironment highlights the industry's commitment to advancing national security through innovative technologies. The successful integration and delivery of the BADGER system will be a significant milestone in enhancing the U.S. Space Force's capabilities.

References:
[1] https://ir.mrcy.com/news-releases/news-release-details/mercury-signs-new-hardware-production-agreement-av-support-us
[2] https://www.marketscreener.com/news/mercury-systems-inc-signs-new-hardware-production-agreement-with-aerovironment-inc-to-support-u-ce7c51ddd88ef121
[3] https://finance.yahoo.com/news/mercury-signs-hardware-production-agreement-110000580.html