The indefinite-delivery, indefinite-quantity contract covers initial missiles, future orders, follow-on production and continued development. That structure allows Lockheed Martin to begin manufacturing while the Army progresses toward potentially larger Increment 2 purchases.
Increment 2 adds a multimode seeker designed to engage moving land and maritime targets, expanding the missile beyond its existing long-range precision-strike role. Technologies developed through Lockheed Martin’s Strigo family of solutions informed parts of the new guidance package.
The approach shows how the company is feeding technologies from a broader missile-development portfolio into an established Army weapon system. It also allows improvements to the missile’s targeting capability to proceed alongside production planning and capacity expansion.
PrSM Increment 2 completed its first flight test in March and a second test in August. During the latest event, the missile launched from a High Mobility Artillery Rocket System, deployed its protective covers, collected flight data and engaged a moving maritime target.
“This award marks an important step in delivering PrSM Increment 2 to the warfighter,” said Dave Griser, vice president, Precision Fires Launchers and Missile, Lockheed Martin. “We’re ready to move from flight testing into production and provide the Army with an expanded long-range precision fires capability.”
Additional Increment 2 flight tests are scheduled for 2027, with production and system maturation continuing in parallel. This allows Lockheed Martin to manufacture the initial missiles while collecting further data needed to refine the system.
The contract forms part of a wider Department of War investment in PrSM. Lockheed Martin is expanding its manufacturing capacity to quadruple production while continuing to work on additional increments of the missile.
Work under the award will be distributed among Lockheed Martin facilities and its wider U.S. industrial base. The company said it is positioned to scale production as the Army advances toward larger Increment 2 procurements.
