Following attending UCLA, Peterson enlisted as a naval aviation cadet and was commissioned a second lieutenant in the U.S. Marine Corps in 1954. He was released from active duty three years later. Upon receiving his bachelor's degree from Cal Poly, Peterson joined NASA in August 1960 as an engineer at the Dryden Flight Research Center. After graduating from the U.S. Air Force Test Pilot School (Class 62C) at Edwards Air Force Base, California, and transferring to flight operations in 1962, he was assigned as one of the project pilots on the Rogallo paraglider research vehicle (Paresev) program. He made his first Paresev research flight on March 14, 1962. He was injured when the craft crashed from a height of about 10 feet (3 m) during a ground tow flight. Always the consummate engineer, his first question after impact was, "What happened to the lateral stick forces?"
As a NASA research pilot, he flew a wide variety of airplanes, including the F5D-1, F-100, F-104, F-111A, B-52, NT-33A Variable Stability Trainer, the wingless lifting bodies and numerous general aviation aircraft as well as several types of helicopters and sailplanes.
On May 10, 1967, during the sixteenth glide flight of a lifting body Northrop M2-F2, a landing accident severely damaged the vehicle and seriously injured Peterson. After an extensive hospitalization, he recovered from his injuries but lost sight in one eye due to a secondary infection while in the hospital.
He also made 17 NASA M2-F1, 2 other M2-F2 and 1 Northrop HL-10lifting body flights.
Portions of M2-F2 footage including Peterson's spectacular crash landing were used for the 1973 TV movie and subsequent series, The Six Million Dollar Man during the opening credits of every episode.[1] Peterson complained he disliked having his accident repeatedly replayed on television so often.
Despite his injuries, Peterson continued to fly NASA support missions, occasional research flights and continued his Marine Reserve flying duties until 1971. During his flying career, Peterson logged more than 6,000 flight hours in nearly 70 types of aircraft.
Peterson continued at Dryden as a research project engineer on the F-8 Digital Fly-By-Wire program of the late 1960s and early 1970s. He later assumed responsibility for safety and quality assurance for Dryden until his retirement in 1981.