Canada has taken another step toward acquiring six Saab GlobalEye airborne early warning and control aircraft for the Royal Canadian Air Force, although a firm order has yet to be signed.
Saab said on Friday that it signed a non-binding term-sheet agreement with Canada's Defence Investment Agency, establishing the scope and framework for detailed negotiations over the proposed acquisition.
Under the proposed program, Canada intends to acquire six GlobalEye aircraft together with associated systems, training and support. Negotiations will cover the Canadian configuration, industrial participation, capability development and execution of the program.
The agreement follows Canada's decision in May to select Saab for negotiations over its future Airborne Early Warning and Control (AEW&C) capability. The government has stressed that the process does not yet constitute a commitment to purchase the aircraft.
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Canada currently lacks a sovereign dedicated AEW&C fleet. The program is intended to provide airborne command, control and long-range surveillance, including coverage of the country's northern regions and support for NORAD operations.
Canadian government documents place the expected value of the project above C$5 billion (about US$3.6 billion), although a final cost has not been established.
GlobalEye combines Saab's Erieye Extended Range radar and other sensors with the Bombardier Global 6500 business jet. The underlying aircraft is manufactured in Canada, and Saab has proposed Canadian participation in production, mission-system integration, maintenance and future upgrades.
NATO and European countries turn to GlobalEye
The Canadian negotiations come during a rapid expansion of the GlobalEye program. NATO selected the aircraft in July for negotiations covering up to 10 jets to replace part of its Boeing E-3A AWACS capability, with Canada among the 11 countries participating in the multinational procurement.
Saab also received a SEK 10.1 billion (about US$1.1 billion) firm order in July for two GlobalEye aircraft from an undisclosed Middle Eastern customer, with deliveries scheduled for 2030.
The Netherlands became another prospective customer in September, signing a letter of intent with Sweden for the acquisition of GlobalEye. No Dutch order has yet been placed.
France ordered two GlobalEye aircraft for SEK 12.3 billion (about US$1.3 billion) in December 2025, with deliveries planned between 2029 and 2032 and options for two more. Sweden has three aircraft on order, while the United Arab Emirates operates five.
