NGC2’s $3.78 Billion Request: 76% Procurement, and That’s Where the House Cut

October 16, 2026
Army vehicles fitted with Next Generation Command and Control systems operate as an on-the-move command post during a 4th Infantry Division demonstration at Fort Carson, Colorado, May 5, 2026.
Soldiers with the 4th Infantry Division demonstrate Next Generation Command and Control (NGC2) on-the-move command post capabilities at Fort Carson, Colorado, May 5, 2026, during Ivy Mass. The prototype systems are integrated into Joint Light Tactical Vehicles, Abrams tanks and Strykers. Photo: Capability Program Executive Command and Control Information Network / Kathryn Bailey, via DVIDS | The appearance of U.S. Department of War (DoW) visual information does not imply or constitute DoW endorsement.

The Army’s largest command-and-control request for fiscal 2027 is mostly a procurement bill. Of the $3.78 billion sought for Next Generation Command and Control (NGC2) in the Pentagon’s budget request, briefed April 21, 2026, $2.88 billion is procurement money for transport and computing equipment and its integration, much of it tied to a 30-month push to retire legacy networks. That procurement money is where both House defense committees aimed their cuts.

$3.78BFY2027 request across six new budget lines
76%procurement: transport and computing gear
−$820MHouse-passed NDAA cut, all from procurement
Dec. 11stopgap ends; the new lines had no FY2026 appropriation

What the $3.78 billion buys

The request sits in six budget lines that did not exist in fiscal 2026, according to the Army’s procurement and RDT&E justification books. Two are in Other Procurement, Army (OPA) and four are in research, development, test and evaluation (RDT&E). The Army describes the new structure as a consolidation that maps money to NGC2’s four layers: transport, infrastructure, data and applications.

LayerBudget lineFY2027 request ($M)Share of total
TransportOPA 1996B11500, C2 Transport1,581.941.9%
InfrastructureOPA 1992B11400, C2 Infrastructure1,293.234.2%
ApplicationsRDT&E PE 0605331A, C2 Applications488.412.9%
DataRDT&E PE 0605332A, C2 Data306.08.1%
InfrastructureRDT&E PE 0605333A, C2 Infrastructure64.81.7%
TransportRDT&E PE 0605330A, C2 Transport45.41.2%
TotalSix lines3,779.7100%
Source: Army FY2027 justification books, OPA Vol. 2 and RDT&E Vol. 3d (April 2026).

Procurement makes up 76.1% of the request. Counting their RDT&E lines, the transport and infrastructure layers take 79%. Applications and data together get $794.4 million. Inside the data line, a dedicated AI and machine-learning project (C2F) receives $58.5 million, or 1.5% of the NGC2 total.

A large part of the procurement money serves Command and Control Network Optimized for Warfighting, or C2NOW. The Army’s procurement justification (p. 2-2) describes it as a 30-month effort, set to begin in the fourth quarter of fiscal 2026, to divest legacy tactical server hardware and replace it with NGC2-capable equipment. In the transport line, $514.0 million is labeled C2NOW-Transport, meant to pull Warfighter Information Network-Tactical (WIN-T) equipment out of units.

The infrastructure line buys 2,043 Tactical Edge Compute servers at about $284,000 each: 900 for three NGC2 divisions and 1,143 for C2NOW. A separate $303.7 million covers integration, including vehicle platforms and A-kits. The transport line also funds three NGC2 division equivalents of radios, terminals and networking gear. The books do not total C2NOW across all six lines, so its exact share of the request cannot be stated.

Two soldiers of the 124th Division Signal Battalion, 4th Infantry Division, establish network connections with Next Generation Command and Control equipment during Ivy Sting IV at Fort Carson, Colorado, Jan. 30, 2026.
File photo: Spc. Noah Fath and Cpl. Javier Gutierrez of C Company, 124th Division Signal Battalion, 4th Infantry Division, establish network connections using Next Generation Command and Control technology during Ivy Sting IV at Fort Carson, Colorado, Jan. 30, 2026. U.S. Army photo by Sgt. William Rogers, via DVIDS | The appearance of U.S. Department of War (DoW) visual information does not imply or constitute DoW endorsement.

FY2027 is the peak, not the baseline

The same budget books carry NGC2 through fiscal 2031, and fiscal 2027 is the high-water mark. Spending drops to $2.94 billion in fiscal 2028 and stays near $3 billion a year after that, for $15.74 billion over the five years.

Fiscal yearNGC2 total ($B)Procurement shareApplications + data share
FY20273.7876%21%
FY20282.9465%31%
FY20292.9564%33%
FY20302.9960%37%
FY20313.0860%36%
Source: Army FY2027 justification books, future-years columns of the six NGC2 lines.

Procurement falls by a third in fiscal 2028, from $2.88 billion to $1.92 billion. The books do not explain the drop, but it lines up with the C2NOW schedule, which the department told GAO runs from fiscal 2026 to 2029. The applications line moves the other way, from $488 million in fiscal 2027 to $789 million in fiscal 2031. By the end of the plan, software layers take more than a third of the budget.

Fiscal 2026 offers a rough reference point. GAO counted $3.308 billion requested for NGC2’s four layers in the Army’s fiscal 2026 exhibits, with applications at $215 million and data at $140 million, about 11% of the total. That was a request, and it was built on the old line structure.

A clean year-over-year comparison isn’t possible. The six fiscal 2027 lines absorb pieces of more than two dozen older budget lines and RDT&E projects, some only in part. The Pentagon’s budget overview describes the Army’s consolidation differently, as $4.2 billion moved from 16 budget lines to 8, with NGC2 as its primary focus. House appropriators wrote that cross-walking prior efforts to the fiscal 2027 lines “makes oversight more cumbersome and less transparent.” That is one reason published growth figures for NGC2 differ.

The Army said on July 29, 2026, at the end of Project Convergence-Capstone 6 at Fort Irwin, California, that NGC2 is “ready to scale” across the force, beginning with I Corps headquarters later this year.

Where Congress cut

Three defense committees acted on NGC2 by late June. The two House panels went after procurement, while Senate authorizers left the request untouched.

Committee documentDateNGC2 change ($M)What changed
House-passed NDAA, H.R. 8800 (as reported in H. Rept. 119-698)Reported June 15, 2026; passed July 22, 2026−820.0C2 Infrastructure −360.0; C2 Transport −460.0; both listed only as “program decrease”
HAC report, H. Rept. 119-715June 26, 2026−598.3C2NOW servers and integration −303.1; C2NOW transport −133.9; warfighting applications −88.1; program management, RAP-TR hardware and protected SATCOM −73.3
SASC report, S. Rept. 119-127June 15, 20260All six lines authorized at the requested level

The House Armed Services Committee cut deeper as the bill moved. The chairman’s mark proposed −$350 million for C2 Infrastructure and −$410 million for C2 Transport, a total of $760 million. The committee-reported bill raised that to $820 million, and the House-passed text kept it. That is a 21.7% cut to NGC2, all from procurement, and more than the bill’s net $745 million reduction to Other Procurement, Army. The committee report also lists both NGC2 cuts in its savings table.

The committee’s report (p. 20) explains part of its thinking. It says the Army “has not prioritized data transport” within NGC2 and plans to rely on legacy radios, private networks and satellite communications. It points to secured commercial cellular networks as a way to lower costs and increase resiliency, and directs the Army to report on the transport layer by Dec. 1, 2026. The request already includes $192.8 million for cellular and wireless transport.

House appropriators cut $598.3 million, or 15.8%. They also split the two consolidated procurement lines back into six sub-lines “for proper budget execution.” Of their cuts, $437 million is explicitly tagged C2NOW, using the labels “early to need” and “excess to need.” NGC2 procurement reductions account for 61% of the committee’s net $830.5 million cut to Other Procurement, Army.

No committee touched the C2 Data line. The Senate report (p. 348) adds one NGC2-related tasking: the Army’s chief data officer must brief both armed services committees by March 15, 2027, on its Operational Data Teams, including their integration with NGC2.

None of this is law. A cloture vote to begin Senate debate on S. 4784 failed 50-46 on July 14, 2026. Motions to proceed to the bill were made again on July 20, 23 and 27, but the Senate’s action record shows no further votes. The House defense appropriations bill, H.R. 9495, cleared committee 34-27 on June 24, 2026, but CRS’s appropriations status table, last updated Oct. 9, 2026, shows no House floor vote and no Senate action on it.

Congress has fenced NGC2 money before. The fiscal 2026 NDAA, signed Dec. 18, 2025, held back half of the year’s NGC2 funds until the Army submitted a report on funding plans, interoperability, and plans to finish developmental testing and formal operational test and evaluation before fielding.

The cost estimate GAO wants and the budget books don’t show

The Government Accountability Office reported on Aug. 20, 2026, that the Army had no life-cycle cost estimate for NGC2. The Army’s tentative goal is to field the full stack to 11 divisions and four corps by the end of fiscal 2032. Army officials told GAO the estimate for the 4th Infantry Division’s full stack alone is more than $1 billion in hardware, software and licenses.

GAO recommended an initial life-cycle estimate with the fiscal 2028 budget request. The department concurred. In a response signed July 1, 2026, it said NGC2 costs through the future-years plan, projected out to fiscal 2032, are identified in the fiscal 2027 budget submission. It added that the estimate was still being validated by the Army’s cost and economics office. It also said the fiscal 2027 submission is intended to resource fielding NGC2 to 11 divisions and four corps through the future-years plan.

The two justification books stop at fiscal 2031. They show $15.74 billion across fiscal 2027 to 2031, but no fiscal 2032 figure and no life-cycle total.

The schedules also disagree. GAO cited Army documentation that projected the software programs’ move into the execution phase before the end of fiscal 2026. The RDT&E books, dated April 2026, start the execution phase for the applications and data layers in the second quarter of fiscal 2027, which runs January through March 2027. GAO notes that programs on the software acquisition pathway are typically required to have a cost estimate before entering execution.

What the stopgap law means for six new lines

The Pentagon has been running on a continuing resolution since Oct. 1. The Continuing Appropriations and Extensions Act, 2027, signed Sept. 2, 2026, funds the government at fiscal 2026 rates through Dec. 11, 2026.

Section 102(a)(3) of the act bars defense funds from going to any project, activity, or P-1 or R-1 budget line item that had no appropriation in fiscal 2026. Every NGC2 line in the fiscal 2027 request shows no fiscal 2026 funding, because each was created this year. The Army describes the lines as consolidations: four of the six justifications call them not a “new start,” and the two infrastructure lines say they do not “constitute a new program or effort.” The act makes exceptions for Navy shipbuilding, defense-wide national security systems and one Army and Navy construction project, but none for Army command and control, nor for Golden Dome.

The budget books planned several NGC2 contract awards for October through December 2026, overlapping the stopgap period:

  • October 2026: Tactical Edge Compute servers, cellular transport, TRILOS line-of-sight radios and TROPO-M beyond-line-of-sight terminals
  • November 2026: line-of-sight backhaul radios, broadband kits and coalition communications equipment
  • December 2026: $463.0 million for the warfighting applications CI/CD pipeline, with no day given, so the award may fall after Dec. 11

The largest C2NOW transport buy, $514.0 million for kits, was planned for February 2027, after the stopgap expires.

The budget documents do not say how the Army will handle the gap. If the new lines count as items without fiscal 2026 appropriations, NGC2 spending until a full-year bill would have to run through the old fiscal 2026 lines at fiscal 2026 rates. Whether the Army and the Office of Management and Budget read the consolidation that way has not been made public.

What to watch

No later than Nov. 2, 2026
Pentagon comptroller and service financial managers brief the House and Senate defense appropriations subcommittees on further line-item consolidation (House appropriations report)Tests whether appropriators accept NGC2’s six-line structure for fiscal 2028
No later than Dec. 1, 2026
Army report to the defense committees on the NGC2 transport layer (House Armed Services report)First look at whether secure commercial cellular gets a bigger role
Dec. 11, 2026
Continuing resolution expiresFull-year funding, another stopgap or an anomaly decides when the new lines can be used
Jan.–March 2027
Planned start of the execution phase for NGC2 applications and data (Q2 FY2027)Software pathway programs typically need a cost estimate first
No later than March 15, 2027
Army chief data officer briefs the armed services committees (Senate Armed Services report)First congressional readout on data teams working with NGC2
FY2028 budget request
GAO’s recommended initial life-cycle cost estimateWould put a life-cycle total on the 11-division, four-corps fielding the department says its budget plan already resources

The three deadlines come from committee report language on bills not yet enacted.

A nearer question comes before any of those dates. The budget books planned awards for Tactical Edge Compute servers and transport equipment in October and November, inside the stopgap period, on lines that had no fiscal 2026 appropriation. Whether those awards go ahead, and under which lines, will show how the Army reads its own consolidation.


Sources

Primary and official documents

Giovanni de Briganti

Editor of Defense-Aerospace.com, a news aggregator covering all aspects of the aerospace and defense industries, principally focused on primary sources (governments, industry, international organizations, think tanks, etc) and selected international media as well as original opinion and analysis articles.

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