Lockheed Martin Lands $1.2 Billion Army Contract for PrSM Increment 2

The contract covers the initial procurement and subsequent production runs of the Increment 2 variant, which features a multimode seeker capable of tracking moving targets on both land and sea. This capability marks a significant shift for the Army, moving beyond the static target engagement of earlier missile versions. Development and manufacturing will take place across Lockheed Martin’s domestic industrial base as the company works to quadruple its overall PrSM production capacity.

Following successful flight tests in March and August, where the missile launched from a HIMARS platform and demonstrated precise engagement, the program is now entering a maturation phase. Dave Griser, vice president of Precision Fires Launchers and Missile at Lockheed Martin, stated the firm is prepared to scale manufacturing to meet the Army's requirements. While initial production begins, additional flight testing is slated for 2027 to refine the system before broader procurement cycles commence.