US Army Awards Lockheed $1.2B Contract for Maritime-Strike PrSM
The US Army has awarded Lockheed Martin a $1.21-billion indefinite-delivery/indefinite-quantity contract for the Precision Strike Missile (PrSM) Increment 2 Early Operational Capability (EOC).
Unlike the baseline Increment 1, which was designed primarily for land targets, Increment 2 adds a maritime strike capability through a new multi-mode seeker designed to detect, track, and engage moving targets.
The seeker was demonstrated during a 350-kilometer (217-mile) flight test in February, marking a key step toward the missile’s early operational capability. Initial operational capability is expected in 2028.
Work under the EOC contract will continue through 2030, with work locations and funding determined with each order. The contract is expected to produce 120 EOC missiles in 2026-27.
The contract comes after the PrSM’s first operational deployment against Iranian targets in March. The US Army has since awarded Lockheed Martin an $8.4-billion contract modification to expand production capacity. Lockheed Martin announced in December that it was scaling up annual PrSM production to 400 missiles.
Precision Strike Missile
The PrSM replaces the Army Tactical Missile System and has an initial range of more than 400 kilometers (248 miles), extending its reach by at least 100 kilometers (62 miles) over its predecessor.
The missile is compatible with the M142 High Mobility Artillery Rocket System and M270A2 Multiple Launch Rocket System, while its narrower design allows both launchers to carry twice as many missiles.
The PrSM family includes several planned increments with different capabilities. Increment 3 is focused on expanding warhead and payload options, while Increment 4 introduces a ramjet propulsion system alongside a rocket booster. The latter is expected to extend the missile’s range beyond 1,000 kilometers (621 miles), nearly doubling that of earlier PrSM variants.
