RTX Corporation
| File:RTX Corporation logo.svg Logo since 2023 rebranding | |
| Company type | Public |
|---|---|
| Industry | Aerospace, defense, intelligence services |
| Predecessor | United Technologies Corporation, Raytheon Company |
| Founded | 2020 |
| Headquarters | Arlington, Virginia , United States |
Area served | Worldwide |
Key people | Gregory J. Hayes (Chairman and CEO) |
| Products | Aircraft engines, avionics systems, aerostructures, cybersecurity products, guided missiles, air defense solutions, satellites, unmanned aerial vehicles |
| Website | www |
RTX Corporation, previously known as Raytheon Technologies Corporation, is a leading American global aerospace and defense conglomerate based in Arlington, Virginia. It stands among the top aerospace and defense manufacturers worldwide in terms of both revenue and market value, and it plays a significant role in delivering intelligence services. In 2023, RTX secured the 79th position on the Forbes Global 2000 list. Its core divisions—Collins Aerospace, Pratt & Whitney, and Raytheon—manufacture aircraft engines, avionics systems, aerostructures, cybersecurity products, guided missiles, air defense solutions, satellites, and unmanned aerial vehicles. A substantial portion of its income is derived from military contracts with the U.S. government.
The corporation was established in 2020 following an equal merger between the aerospace segments of United Technologies Corporation (UTC) and the Raytheon Company. This formation occurred after UTC separated its non-aerospace businesses, Otis Worldwide and Carrier Global. Initially, the combined company adopted the Raytheon name as Raytheon Technologies Corporation and relocated its headquarters to Waltham, Massachusetts. Gregory J. Hayes, who previously served as UTC’s CEO and chairman, now leads RTX as chairman and CEO. In July 2023, the company underwent a rebranding from Raytheon Technologies Corporation to RTX.
Raytheon
Founded in 1922 in Cambridge, Massachusetts by Laurence K. Marshall, Vannevar Bush, and Charles G. Smith under the name American Appliance Company, Raytheon initially concentrated on refrigeration technology before shifting focus to electronics. Its inaugural product was a gaseous (helium) rectifier developed from Charles Smith’s astronomical studies. The brand name Raytheon—meaning "light from the gods"—was assigned to an electron tube that powered battery eliminators, which converted household alternating current into direct current for radios, thereby removing the need for expensive batteries.
By 1925, the firm was renamed Raytheon Manufacturing Company and began marketing its rectifier under the Raytheon brand. During the 1930s, it grew into one of the largest vacuum tube producers globally. In 1933, Raytheon expanded its product range by acquiring Acme-Delta Company, a manufacturer of transformers and electronic automotive components.
Throughout World War II, Raytheon produced magnetron tubes on a massive scale for microwave radar technology, supplying nearly 80% of all magnetrons used. The company also developed shipboard radar systems for detecting submarines and ranked 71st among U.S. corporations in terms of wartime military production contracts. In 1945, Percy Spencer of Raytheon invented the microwave oven utilizing magnetron technology; by 1947, the Radarange microwave oven was commercially demonstrated.
Following the war, Raytheon advanced missile guidance technologies and began producing guided missiles such as the SAM-N-2 Lark, AIM-7 Sparrow, and MIM-23 Hawk. The company acquired marine electronics manufacturer Apelco Applied Electronics in 1959 and adopted the name Raytheon Company.
During the 1950s and 1960s, Raytheon broadened its scope to include radio and television transmitters as well as transistor manufacturing with products aimed at hobbyists like the CK722 transistor. Under Thomas L. Phillips’ leadership starting in 1965, Raytheon purchased Amana Refrigeration and leveraged its distribution channels to introduce the first countertop household microwave oven in 1967, securing a leading position in that market segment.
The Patriot missile system developed by Raytheon gained worldwide prominence during the 1991 Persian Gulf War for successfully intercepting Iraqi Scud missiles, which significantly increased international sales. By 2006, global revenues from Patriot systems reached $283.9 million.
To enhance its defense electronics capabilities, Raytheon acquired Dallas-based E-Systems in 1995; Chrysler’s defense electronics and aircraft modification operations; and Texas Instruments’ Defense Systems & Electronics Group in 1997—investing a total of $5.25 billion across these deals. Also in 1997, it purchased aerospace and defense units from Hughes Aircraft Company (part of Hughes Electronics under General Motors), including former General Dynamics missile operations and Magnavox Electronic Systems. During the 1990s, Raytheon divested non-defense assets such as Amana Refrigeration.
In November 2007, Raytheon acquired robotics firm Sarcos; followed by BBN Technologies in October 2009; and Applied Signal Technology for $490 million in December 2010.
In October 2014, Raytheon secured a $1 billion contract from the US Air Force to develop the next-generation long-range radar system (3DELRR), designed for tracking aircraft, missiles, and drones. Despite challenges from competitors and contract delays, Raytheon retained this contract again in 2017.
In May 2015, Raytheon purchased cybersecurity company Websense from Vista Equity Partners for $1.9 billion and merged it with its IIS division to create Raytheon|Websense. The unit expanded further by acquiring Foreground Security for $62 million in October 2015 and firewall provider Stonesoft from Intel Security in January 2016; it was subsequently rebranded as Forcepoint.
In July 2016, Poland planned a $5.6 billion upgrade agreement with Raytheon for its Patriot missile defense system. Saudi Arabia signed multi-billion-dollar arms contracts with U.S. firms including Raytheon in 2017.
By February 2020, Raytheon completed fabrication of the first radar antenna array for the US Army’s Lower Tier Air and Missile Defense Sensor (LTAMDS), intended to replace sensors currently used on Patriot missile systems.
United Technologies Corporation
In 1929, the formation of the United Aircraft and Transport Corporation united William Boeing's Boeing Airplane & Transport Corporation with Frederick Rentschler's Pratt & Whitney, creating a vertically integrated enterprise that combined aircraft engine and airframe production alongside airline operations, serving both military and civilian aviation sectors. Following the 1934 Air Mail scandal, antitrust regulations mandated a division of the company, resulting in the establishment of United Aircraft Corporation, which comprised manufacturing assets east of the Mississippi River, headquartered in Hartford under Rentschler’s leadership.
United Aircraft was included in the Dow Jones Industrial Average beginning in 1939 and maintained its position until August 2020, when it was supplanted by Honeywell International after the creation of Raytheon Technologies.
During World War II, United Aircraft ranked sixth among U.S. firms for wartime production contracts. In the postwar era, the company expanded its portfolio into jet engines and helicopters through its subsidiaries Pratt & Whitney and Sikorsky. The 1950s and 1960s marked significant advancements with the development of prominent jet engines such as the Pratt & Whitney J57 and JT9D, which powered the Boeing 747.
Under CEO Harry Jack Gray in 1974, the company adopted a diversification strategy beyond aerospace, prompting a rebranding to United Technologies Corporation (UTC) in 1975 to better represent its broader focus on high-technology industries. UTC pursued an assertive acquisition strategy, purchasing Otis Elevator in 1976 and Carrier Refrigeration in 1979 to offset fluctuations in military contracts with more stable civilian markets. Nevertheless, some financial analysts expressed skepticism regarding UTC’s aggressive mergers and acquisitions during this timeframe.
Among notable acquisitions were Sundstrand Corporation in 1999 (leading to the formation of Hamilton Sundstrand), Chubb Security in 2003, Schweizer Aircraft in 2004 under Sikorsky's umbrella, Kidde in 2005, Boeing’s Rocketdyne division (which was integrated into Pratt & Whitney Rocketdyne), and Carrier’s acquisition of NORESCO, an energy services firm, in 2008.
UTC’s most substantial purchase came in 2010 with General Electric’s security equipment business for $1.8 billion, enhancing its Fire & Security segment. In 2011, UTC acquired aircraft components manufacturer Goodrich Corporation for $18.4 billion (including debt), merging it with Hamilton Sundstrand to create UTC Aerospace Systems.
In November 2018, UTC completed a $23 billion acquisition of Rockwell Collins ($30 billion including debt). Following this transaction, Pratt & Whitney and the newly formed Collins Aerospace remained within UTC, while Otis Elevator and UTC Climate, Controls & Security (Carrier) were spun off as independent entities—a process finalized by March 2020.
Raytheon Technologies
In June 2019, United Technologies announced its merger with Raytheon Company, forming a combined enterprise valued at over $100 billion after planned spin-offs. This positioned the new entity as the world’s second-largest aerospace and defense company by revenue, trailing only Boeing. Although UTC remained the legal surviving entity, the merged company adopted the Raytheon Technologies name and established its headquarters at Raytheon’s former campus in Waltham, Massachusetts, with the merger completing in April 2020. Raytheon Technologies began trading on the NYSE under the ticker RTX at an initial price of $51 per share.
In July 2020, Raytheon Technologies announced workforce reductions exceeding 8,000 positions within its commercial aviation division due to reduced air travel amid the COVID-19 pandemic. Later that year, in December 2020, the Board approved a $5 billion stock repurchase initiative.
Amid heightened defense expenditures triggered by Russia’s invasion of Ukraine in 2022, Raytheon Technologies along with other major defense contractors reported significant interim increases in sales and profits.
By June 2022, Raytheon Technologies declared its relocation of global headquarters to Arlington, Virginia, completing this transition by July.
In January 2023, a corporate restructuring combined its missiles and defense segment with its intelligence and space segment into a unified business unit effective July 1. This reorganization resulted in three principal divisions: Collins Aerospace, Pratt & Whitney, and Raytheon. This restructuring followed a corporate rebranding to RTX implemented in June 2023.
RTX
In July 2023, Raytheon Technologies Corporation underwent a rebranding, adopting the name RTX Corporation.
RTX's provision of weaponry to Israel triggered demonstrations amid the Gaza war. On December 14, 2023, protestors obstructed the entrance to an RTX facility located in Arizona. Early in 2024, fifteen individuals were detained after blocking access to RTX and BAE Systems sites in Louisville, Kentucky as a protest against arms sales to Israel.
In December 2023, RTX revealed that CEO Greg Hayes would resign in May 2024, with company president Christopher Calio set to assume the role.
August 2024 saw RTX incur a $200 million penalty for violations of the International Traffic in Arms Regulations, involving unauthorized sharing of data and products with restricted nations such as China.
On October 16, 2024, RTX consented to disburse over $950 million to settle federal probes into bribery, breaches of government contracting rules, and export control infractions. The settlement addressed allegations of bribing a Qatari official connected to the royal family and defrauding the U.S. Defense Department through procurement contracts. The SEC determined that Raytheon employed fictitious subcontracts to channel nearly $2 million in bribes to Qatari military personnel and paid more than $30 million to a Qatari agent lacking defense contracting credentials. Separately, RTX reached a $574 million settlement with the DOJ over accusations of excessive billing on federal contracts involving defense products such as Patriot missile and radar systems. This agreement also includes a $124 million fine payable to the SEC. RTX has acknowledged responsibility for misconduct primarily occurring prior to 2020 and is implementing corrective measures.
Business units
Following the 2020 merger, Raytheon Technologies Corporation managed four primary business segments:
- Pratt & Whitney: Specializes in designing and producing aircraft engines and gas turbines.
- Collins Aerospace: Supplies aerospace systems for commercial, regional, corporate, and military aircraft; serves as a key contributor to international space initiatives. It also offers industrial solutions for hydrocarbon processing, chemical production, food processing, construction, and mining industries. This division was created after United Technologies Corporation acquired Rockwell Collins in 2018 and merged it with UTC Aerospace Systems, itself formed by the 2012 combination of Hamilton Sundstrand and the Goodrich Corporation.
- Raytheon Intelligence & Space (RIS): Established through the merger of Raytheon Intelligence, Information and Services (IIS) with Raytheon Space and Airborne Systems (SAS).
- Raytheon Missiles & Defense (RMD): Created by uniting Raytheon Integrated Defense Systems (IDS) and Raytheon Missile Systems (RMS).
In 2023, alongside its transition to RTX Corporation, the company restructured into three business divisions:
- Pratt & Whitney
- Collins Aerospace: Expanded to incorporate multi-domain command-and-control and air traffic management product lines previously managed under RIS and RMD.
- Raytheon: Combines government-focused operations from RIS and RMD along with the ISR (Intelligence, Surveillance, and Reconnaissance) segment formerly part of Collins Aerospace.