General Electric Co. and Kratos Defense & Security Solutions have been awarded a $12.4 million contract by the U.S. Air Force to develop the GEK1500 engine for the service branch's next-generation Collaborative Combat Aircraft program. The engine is designed to deliver 1,500 pounds of thrust while meeting strict cost parameters outlined by the Department of Defense.
The GEK1500 represents GE's technological contribution to the Air Force's initiative to develop unmanned aerial systems capable of coordinating with manned fighter aircraft in complex operational scenarios. The collaborative development approach with Kratos Defense, a recognized defense contractor specializing in autonomous systems and advanced technologies, positions both companies to support the military's modernization objectives.
Despite the contract award, GE's stock price declined 1.23% on the day of the announcement, reflecting broader equity market headwinds that overshadowed the positive defense sector development. The contract represents a component of the Air Force's broader investment in next-generation aviation technologies.