QF-16s are former F-16 fighters that will be fitted with equipment for remote-controlled flight, and used as aerial targets and decoys for testing against air-air missiles, radars, surface-air missiles, etc.
The QF-16 is a follow-on to the QF-4 aerial target drone, which are converted by BAE Systems.
The USAF is running out of F-4 family airframes to convert, and production is set to end in FY 2013. The QF-16s will be their replacements, but the conversion process must still be developed and tested.
The QF-16 programme is expected to reach Milestone C and a low-rate initial production decision by Q3 2013, giving the USAF time to produce enough of them for a full switch by FY 2016. BAE Systems won’t be leading the QF-16 programme, however; Boeing won that contract.
Source: Defense Industry Daily