FAA taps AI startup to overhaul U.S. airspace, using Alaska Airlines pilot

The FAA awarded Air Space Intelligence an $875 million contract to develop an AI-driven system that could modernize the nation’s air traffic management, building on the Flyways tool already used by Alaska Airlines.

Alaska Airlines’ dispatch team, based near Seattle-Tacoma International Airport, uses the Flyways AI platform to process real-time traffic, weather and wind information, allowing dispatchers to test route options and improve efficiency. Since its rollout in 2021, the system has reportedly saved tens of thousands of flight hours and about a million gallons of fuel annually. The tool was built by Air Space Intelligence, which now also serves Delta, United, and the U.S. military.

The Federal Aviation Administration has signed an $875 million deal with the same firm to create the SMART system, a predictive analytics suite intended to give controllers a unified view of the national airspace. FAA head Bryan Bedford described the current system as “woefully unorganized” and sees AI as a way to prevent congestion before it occurs. While regulators stress that the technology will support, not replace, human controllers, skeptics wonder if a solution that assists airline dispatchers can handle the complexity of the entire U.S. airspace.