September 25, 2026 - Ottawa, Ontario - Defence Investment Agency
The Government of Canada is defending Canadians by strengthening the country’s defence capabilities, enhancing interoperability with allies, and supporting economic opportunities for Canadian industry. Today, the government announced that Canada and Saab entered into a non-binding term sheet agreement that establishes the scope and foundation for detailed negotiations toward the potential acquisition of Saab's GlobalEye platform.
On May 27, 2026, the Prime Minister announced that Saab was identified as the preferred supplier for an Airborne Early Warning and Control (AEWC) capability. Once procured, this capability will defend Canadians and enhance Canada’s security by detecting and deterring threats across the Arctic and beyond. Through resilient and reliable partnerships with our European allies, Canada will ensure that the Royal Canadian Air Force (RCAF) is equipped to defend Canadian sovereignty by meeting evolving threats, while creating good jobs and delivering value for Canadians.
While the agreement does not constitute a contract or commitment to procure aircraft, it represents concrete progress toward the acquisition of the GlobalEye platform. It establishes the foundation for detailed negotiations on a Canadian configuration and development program designed to meet Canada's requirements, including industrial participation and schedule, reflecting months of collaboration and negotiations among Saab, the Defence Investment Agency, and the Royal Canadian Air Force. The agreement also advances the objectives of Canada's Defence Industrial Strategy (DIS) by balancing defence capability, economic benefits, and industrial development.
With these negotiations, Canada intends to acquire six GlobalEye aircraft with associated systems and training. The GlobalEye platform would provide the RCAF with an advanced airborne surveillance, command and control capability that can detect, track and prioritize threats at long range, including aircraft, missiles and drones. Operating as an airborne command and control centre, the capability would significantly enhance situational awareness, strengthen Canada's contributions to NORAD modernization and continental defence, and improve operational reach in the Arctic and other remote regions.
The Government of Canada is modernizing defence procurement by establishing the Defence Investment Agency (DIA) and streamlining decision-making, engaging industry earlier, and aligning efforts with key partners. The project also aligns with the DIS and the new “Build-Partner-Buy” framework, which prioritizes the procurement of proven, off-the-shelf solutions from trusted allies.
Through this project, Canada is strengthening its defence capabilities, enhancing interoperability with North Atlantic Treaty Organization (NATO) countries and allied partners, and supporting economic opportunities for Canadian industry. A key objective of this project is to establish Canada as a centre for future missionization and support activities, building on the Canadian-manufactured Bombardier Global 6500 platform. This approach would create opportunities for highly skilled employment, technology integration, Canadian supply chain participation, and future exports of the Canadian-built GlobalEye aircraft to international customers.
Quotes
“Canada’s approach to defence procurement must deliver more than military equipment. It must defend Canadians while strengthening our economy, growing Canadian industrial capacity, and opening new opportunities for Canadian companies to compete globally. The term sheet agreement reflects the principles of the DIS by pursuing partnerships that support Canadian jobs, innovation, and long-term economic growth while ensuring we acquire capabilities from trusted partners when they are needed”.
The Honourable Stephen Fuhr
Secretary of State (Defence Procurement)
“Entering into this agreement is an important and tangible step forward in our ongoing efforts to equip the Royal Canadian Air Force with the modern capabilities it needs to support operations. By engaging early with industry we can tap into their expertise, innovation, and experience, while supporting key pillars of the Defence Industrial Strategy. Together, we are advancing a capability that will strengthen our security and deliver value for Canadians.”
The Honourable David J. McGuinty
Minister of National Defence
“An Airborne Early Warning and Control capability will significantly strengthen Canada’s ability to detect, track, and respond to threats to our territory and approaches. Beyond the capability itself, AEWC is about building the future Air and Space Force that Canada requires in an increasingly complex security environment. It will be a key enabler of integration across our modernized force, connecting platforms, sensors, and decision-makers to provide a more complete operational picture and improve our ability to act with speed and confidence. We value the collaborative work underway with Saab as we continue to examine solutions to help meet Canada’s evolving defence needs and support the future readiness of the RCAF.”
Lieutenant-General Jamie Speiser-Blanchet
Commander, Royal Canadian Air Force
Quick facts
Saab is a globally recognized provider of advanced Airborne Early Warning & Control (AEWC) capabilities, with more than 35 years of experience delivering AEWC systems to their customers around the world. Through multiple generations of operators, Saab has built a proven track record in enhancing situational awareness, early warning and decision superiority.
GlobalEye is an advanced AEWC solution with an array of active and passive sensors that provide long-range detection and identification of objects in different domains. By providing real-time information to military commanders, GlobalEye enhances situational awareness and enables the early detection of potential threats. Built on the Bombardier Global 6500 aircraft, a Canadian-manufactured platform known for its long range, high endurance and reliable performance in a wide range of operating conditions, GlobalEye combines advanced sensors with sophisticated mission systems. The result is a highly capable, cost-effective and domestically supportable solution for modern defence forces.
Saab’s potential collaboration with Bombardier would support Canada’s defence and industrial objectives by strengthening domestic production, creating skilled jobs, enabling participation in global supply chains, and advancing priorities such as interoperability, continental defence, and enhanced monitoring of Canadian airspace, including in the Arctic.
The Government is working with Saab to maximize economic benefits for Canada through the Industrial and Technological Benefits (ITB) Policy, including opportunities related to missionization, in-service support, training, research and development investments, Canadian supplier participation, and future exports of Canadian-built GlobalEye aircraft.
Many allied organizations and nations have selected Saab’s GlobalEye or are intending to do so, including NATO, Sweden, France, the Netherlands and the United Arab Emirates.
Noah Note: Not a contract, and not binding, but still an important step in the current acquisition process. The Term Sheet in itself might seem a bit mundane, of course we don't and likely won't have access to the exact terms initially agreed upon, but it is importsnt when trying to define an aquisition that is inherently complex in nature.
Saab has intent to bring Globaleye production up to six systems a year by 2030, up from some previous four aircraft figures. The current facility in Linköping consists of two seperate hangers with the capacity to work on around eight aircraft at a time in various stages, good, but not enough to deliver on that commitment.
So for the company, another line is needed. While that could be done at Linköping if needed, the company also has a desire to diversify it's supply chain and add resilience to the production line by establishing a second, dedicated facility for production and integration.
Under the current concept as explained to me, Canada would be responsible for the conversion and integration of the 6500 airframes. Often forgotten, but once a 6500 gets to Linköping it is almost immediately torn up for conversion. That conversion work is where a lot of the Industrial package is tied unto, from manufacturing the composite materials to the skilled technicians carrying out the conversion.
The actual Erieye radar, along with additional sensors, would still be shipped in from abroad, at least for now. The demand for another line separate of Gothenburg isn't really there, and with a priciple focus on Erieye, Canada isnt looking at utilizing Saab's ecosystem to setup a domestic radar capacity, at least as far as I know.
If it is in there, I have not heard it. There is also the issue of establishing both the supply chain and manufacturing capacity for a GaN-based radar system. While we certainly are looking at building up (as we should) our donestic Semiconductor and Photonics capacity, we are fsr from being in the place kf being capable of manufacturing such systems.
I would love to see it. I would. It would also require the Federal Government to likely step uo and desicate the appropriate, billions in funding to make the supply chain viable as well as spend the several years it would take to build uo that capacity. While they could if they wanted, no one is stopping them, it isn't something for the near or medium-term.
Though if you were to do it? Now would be the time to get the ball rolling. The other sensors that are advertised with Globaleye, like the Leonardo Seaspray 7500E, are obviously outside Saab's scope at current. You can't offer someone elses product. As such for now, the principle induatrial focus will not be on radars and such. Saab has tied in though R&D opportunities and dedicated investments into areas like AI, emerging technologies, and radar systems (to make note seperately of manufacturing) into their offerings.
We're already seeing parts of that with agreements with both CAE and Cohere, both of which are built not just off of supporting Canadian Globaleye, but supporting our international partners as well. All in all, Saab estimates that a domestic Globaleye line will support upwards of 4000+ jobs both dorect and indirect over the next fifteen years.
That is seperate from ongoing discussions around Gripen as well. I also wanna make note that Saab had previously said they were discussing between six and eight Globaleye with us. I guess they couldn't sell onnthe two others. The final deal is still expected to be signed by the end of the year, I suspect we will get there.
Key to watch now is both timelines and what a final, Canadian configuration is agreed upon. Also to make note on if that final configuration is ehat we get right away, or a final, developmental endgoal. That itself will be very key when discussing timelines and potential risks involved. Right now? We don't know exactly what that is looking like.
That also isn't fully on Saab either, but a much more complex developmental.track that includes Bombardier, specifically when it comes to in-flight refueling. I also suspect that the proposed X-band system Watcheye uses, where we replace the Seaspray radar and add on a rear radar to provide 360⁰ coverage will also be an area the RCAF fights on, and looks to a replacement down the line.
No matter what, this is an importsnt milestone and deserves recognition as such.
Drives me nuts, Airbus does it with new build MRTT. Build and fly a green airframe to immediately disassemble it for conversion. They are literally stripping the airframe down to install structural reinforcement, wiring and other bits and bobs. A lot of time and effort could, be saved a lot if they did it on the FAL.