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A Ukrainian drone sergeant who volunteered for the infantry held a frontline position for six months, ArmyInform reported. He saved three soldiers in that time, and in one fight he stopped a Russian advance after contact with command was lost. The agency did not say where or when.
Senior Sergeant Dmytro, call sign Berezen “March”, spent 20 years as a television director before the invasion. In the 152nd Separate Jaeger Brigade, he served as chief sergeant of a drone platoon, worked with three crews, and trained soldiers. When the need arose to reinforce the infantry, he volunteered to switch. ArmyInform did not say what created that need.
“I didn’t come here to a sanatorium. I’m in my third year of fighting, I know what this is. It was my choice,” Dmytro said
One comrade was hit by a mine and lost a leg. As Dmytro treated him, Russian troops began moving toward the position. Another wounded soldier was trying to reach them, and contact with command was lost. He killed two Russian soldiers and halted their advance, ArmyInform reported. He said he barely thought about himself, because a breakthrough could have hurt the soldiers holding positions behind him.
Not everyone could be saved. One wounded comrade was about 200 meters away. Dmytro heard his voice on the radio but could not leave his position mid-fight. Over the six months, he saved three soldiers. Two left the position with him, and the third was evacuated wounded. No money, he said, is worth blood.

Ukraine has loosened its reliance on Washington but still depends on the United States in three military areas that let US President Donald Trump keep pressuring Kyiv, The Telegraph wrote on 12 October. That pressure now centers on the energy ceasefire Trump declared on 11 October, with US officials reportedly warning Kyiv not to hit Russian energy during the truce. Kyiv backs a mutual truce, but Moscow has not confirmed it, and Russian strikes on Ukraine’s grid have continued.
The paper named three such ties: satellite intelligence, Patriot interceptors, and American weapons bought with European money. A pause in any of them would hit just as Russia’s winter campaign begins. Ukraine says an intercepted document reportedly lays out up to 1,000 Russian missiles, drones, and bombs for 60 critical sites this winter, so any pause in US intelligence, interceptors, or PURL deliveries would land as that campaign gets under way.
The Central Intelligence Agency (CIA) and other US services still pass precise satellite data that help Ukrainian forces hit targets inside Russia, by the paper’s estimate. Trump briefly suspended that flow in March 2025 to pressure Zelenskyy. A Ukrainian official told Axios that Trump envoys Steve Witkoff and Jared Kushner threatened during 9 October talks in Miami to cut off US intelligence.
The Telegraph called interceptor missiles the second and probably sharpest dependency. Only American Patriot systems can down Russia’s most powerful missiles, which strike Ukrainian cities daily, the paper wrote. Kyiv’s PAC-3 stocks ran dry mainly because US reserves were diverted to the Middle East after America’s war against Iran, the paper added. Kyiv had warned in March that a long Middle East war would squeeze its PAC-3 supply.
Five European defense firms—Destinus, MBDA Deutschland, Safran, Airbus, and Thales—signed a letter of intent in July to develop a joint interceptor, but a testable prototype is not expected before next year, the paper wrote. Ukraine is also building its own interceptor with European allies under the FREYJA program.
The third is buying American arms with European money through the Prioritized Ukraine Requirements List (PURL), a NATO-run purchasing scheme. US officials have reportedly warned Europe that Trump may halt those supplies if Ukraine keeps striking Russian oil refineries.

Lockheed Martin has unveiled the PAC-3 Edge, a new interceptor that would represent the top tier of the U.S. Army’s Patriot air defense missile family. The missile is being developed to deliver greater performance against advanced threats than the current PAC-3 Missile Segment Enhancement (MSE), as the Army advances a competition for its next-generation interceptor.

The company says PAC-3 Edge will offer improved performance against increasingly challenging aerial threats, including advanced ballistic and hypersonic missiles. The design builds on the PAC-3 MSE’s existing technology while incorporating a new seeker, an upgraded control system, and a more advanced solid rocket motor developed with Northrop Grumman.
In terms of appearance, PAC-3 Edge differs significantly from the PAC-3 MSE. It does away entirely with the mid-body strakes. The missile body also lacks the distinctive tapered section that separates the narrower forward section from the broader rear section on the MSE version.

Lockheed announced on October 9 that it had been selected to advance to the next phase of the Army’s Future Interceptor program. Company officials said testing is expected to begin in 2027, with initial deployment targeted for 2031.
The Army’s selection of Lockheed and another unnamed competitor marks a significant development in the service’s effort to improve the Patriot system’s ability to deal with more sophisticated threats. The Army previously abandoned its Lower-Tier Future Interceptor (LTFI) program in 2024, citing cost concerns, and instead emphasized incremental improvements to the existing PAC-3 MSE. The subsequent emergence of the Future Interceptor competition points to renewed interest in a more substantial leap in capability.

PAC-3 Edge is intended to preserve the advantages of the existing PAC-3 family while improving the missile’s ability to engage targets at longer ranges and higher altitudes.
One of the central changes is a new seeker being developed by Lockheed Martin’s Strigo Product Center. The company says the technology will improve target detection and tracking, helping the interceptor deal with more demanding threats. The company has not disclosed the seeker’s technical details, but one possibility is a dual-mode or multimode configuration, combining different sensing methods to improve target acquisition and tracking in challenging conditions. Such an approach could help an interceptor maintain a reliable track against maneuvering targets and better distinguish real threats from decoys or other countermeasures.
Tim Cahill, president of Missiles and Fire Control (MFC) for Lockheed Martin, told TWZ that the same seeker technology that will be used in PAC-3 Edge will also find its way into future offensive and defensive systems going into the future. “So it isn’t just a one single seeker solution, but it will be a family of seekers that will operate across a number of regimes,” Cahill explained. “Frankly, I’d like to not tell everybody exactly what we’re doing, but it is clearly different from what is out there right now,” Cahill said, adding that hardware assemblies and components are now being tested in the lab, and that seekers have been flown on aircraft testbeds.
The missile will also use a three-pulse (as opposed to two-pulse) solid rocket motor designed by Northrop Grumman. Unlike a conventional motor that provides most of its thrust in a single sustained burn, a multi-pulse design can deliver thrust at different points during flight. That can help preserve energy for the terminal engagement, when an interceptor may need to maneuver aggressively to reach a target.
Lockheed says the combination of the new seeker, propulsion system, and control system improvements will provide greater maneuverability and improve performance at extended ranges and higher altitudes. To ensure greater agility, Jason Reynolds, vice president and general manager of Integrated Air and Missile Defense (IAMD) at Lockheed Martin, explained that the new missile adds a greater number of more capable attitude control motors (ACMs), compared to the PAC-3 MSE. These small thrusters ring the missile’s forward body.
The new characteristics could be particularly important against maneuvering ballistic missile warheads and hypersonic weapons, which can pose difficult interception problems because of their speed, altitude and dynamic flight profiles. However, the company has yet to demonstrate PAC-3 Edge’s performance in flight testing.
The extent to which PAC-3 Edge could overlap with, or potentially augment, the capabilities of the Army’s Terminal High Altitude Area Defense (THAAD) system also remains unclear. THAAD is designed to intercept ballistic missiles at higher altitudes and longer ranges than Patriot, where midcourse window bleeds into the terminal intercept window. If PAC-3 Edge delivers a substantial improvement in engagement range and altitude over PAC-3 MSE, it could potentially provide at least some backfill for THAAD.
The announcement did not provide detailed performance figures for the new interceptor, including its maximum engagement range, speed, or specific target set. It also did not establish how much better the missile will perform than the PAC-3 MSE in operational conditions.
The Army has a pressing need to improve its air and missile defense capabilities while expanding the number of interceptors available to its forces.
TWZ has been reporting on the strain facing the Patriot force and its interceptor supply for years. In July 2025, we reported on the Army’s plan to expand its Patriot air defense force by roughly a quarter, adding four battalions as the service sought to meet growing operational demands. More recently, we have detailed the challenges of replenishing interceptors after intensive combat operations, including the scale of U.S. missile and drone engagements in the Middle East, as well as transfers to Ukraine.
Related to this, the push for a more capable Patriot interceptor comes as the system faces increasingly sophisticated threats and adversaries that have learned from years of combat. Russia has improved its ballistic missile tactics to pierce the Patriot’s protective umbrella, while Iran has demonstrated ways to exploit gaps in layered missile defenses, including introducing extremely high-speed ballistic missiles and cluster warheads that open at high altitude.

PAC-3 MSE is currently the most advanced operational member of the PAC-3 family. It is designed primarily as a hit-to-kill interceptor, destroying targets through the force of direct impact, but it also incorporates a small explosive charge known as a “lethality enhancer,” as TWZ has previously detailed.
PAC-3 Edge is intended to push those capabilities further still. Lockheed says the new missile is being designed to work within the Army’s existing and future integrated air and missile defense architecture, including the Integrated Battle Command System (IBCS) and the M903 Patriot launcher. The company has also identified containerized launchers and HIMARS Flex among the systems with which it intends to integrate the interceptor.

Such compatibility could allow the service to retain much of its existing infrastructure while improving the performance of the weapons used within it.
The precise extent of that compatibility, however, will depend on development, testing, and integration work that remains ahead.
Lockheed is developing PAC-3 Edge as the company and the Pentagon work to expand production of the existing PAC-3 MSE.
In January, Lockheed Martin announced a seven-year agreement with the Pentagon to more than triple annual PAC-3 MSE production capacity, initially targeting an increase from roughly 600 interceptors to 2,000 a year. The effort subsequently received a major funding boost in July, when the U.S. government awarded Lockheed a contract modification worth up to $53.86 billion, bringing the total multiyear contract value to $58.62 billion. Lockheed says the effort is intended to more than triple production by the end of 2030, while expanding its workforce and investing in manufacturing infrastructure and its supply chain.
Those efforts could provide a foundation for producing PAC-3 Edge if the missile completes development and enters service. Lockheed has said the new interceptor will be manufactured on its existing PAC-3 production line in Camden, Arkansas, with factory modernization expected to support the eventual transition.

The company has also highlighted substantial internal investment in the new missile and its seeker technology. That investment could reduce development risk and give Lockheed greater control over critical components, although the program’s final cost and production schedule remain important unknowns.
The broader challenge is not simply developing an interceptor with better performance. Advanced missiles can be expensive, and air defense forces must balance the capabilities of individual weapons against the number they can afford to procure and keep available. Sustained combat operations can rapidly consume interceptor inventories, making production rates and replacement costs central considerations.
Cahill says the company has also identified the opportunity to mix and match components between PAC-3 Edge and other missile offerings from Lockheed Martin. “We are getting increasingly modular, and increasingly we’re mixing and matching pieces and parts,” he said.
Ultimately, if it chooses PAC-3 Edge, the U.S. government will decide exactly how to handle production of the PAC-3 MSE and the new missiles. “We would expect the typical thing is you’ll feather them, so you would expect that over time MSEs would come down,” Cahill continued. “We’re still talking, seven, eight, nine, 10 years away. You would expect that the Edge production would go up, but there’s plenty of capacity in the factory to manage whatever surges are going to be needed there.”
At the same time, it should be noted that Lockheed Martin is also working on a lower-cost PAC-3 development, the PAC-3 Adapted Capability Effector (ACE). The company says that this interceptor will cost less than half as much as the PAC-3 MSE, meaning it would have a price tag of around $2.5 million. The company says that the PAC-3 ACE will preserve two-thirds of the capability the PAC-3 MSE had, and it has already generated considerable international interest.

Lockheed has confirmed that it is one of two companies selected to continue in the Army’s Future Interceptor competition. The identity of the other competitor has not yet been disclosed, and the Army has not publicly provided a complete account of the competition’s requirements.
The effort follows the cancellation of the earlier Lower-Tier Future Interceptor (LTFI) program, which had involved Lockheed Martin and Raytheon. At the time, the Army opted to focus on upgrades to the PAC-3 MSE and on better integration of its existing air and missile defense systems.
— Colby Badhwar (@ColbyBadhwar) October 15, 2024
Gen Lozano, PEO Missiles & Space, tells @JenJudson that they have cancelled the Lower Tier Future Interceptor program, which would have succeeded the PAC-3 MSE. Instead they will upgrade MSE, and want to move forward with THAAD integration into IBCS. #AUSA2024 pic.twitter.com/NZMPgDH4KP
The renewed competition suggests that incremental upgrades alone may not be sufficient to address the Army’s longer-term requirements. The development of faster, more maneuverable missiles and other advanced aerial threats is driving demand for interceptors capable of operating across a wider engagement envelope.
For PAC-3 Edge, which is designed to address emerging threat requirements, the planned 2027 testing start and 2031 deployment target leave substantial development work to complete, including demonstrating the seeker’s performance, validating the propulsion system, and proving the missile’s ability to engage representative targets.
For now, the unveiling establishes the direction Lockheed wants to take the Patriot interceptor family. Whether PAC-3 Edge can deliver the promised increase in performance, while meeting the Army’s cost and production requirements, will become clearer as the program progresses. Regardless, from what is being experienced on the battlefield, a more capable, higher-reaching Patriot would be a very welcome addition to the Army’s Patriot family.
Contact the author: thomas@thewarzone.com
The post PAC-3 Edge Will Be The Most Capable Patriot Interceptor Ever appeared first on TWZ.

Raytheon is developing a new iteration of its Coyote Block 2 counter-drone interceptor powered by a solid rocket motor rather than a small jet engine. This pushes the Block 2C+RM version, which also comes with a new seeker and warhead, into the surface-to-air missile side of the interceptor spectrum. With a significant boost in speed, range, and terminal intercept performance, it is designed to address evolving one-way-attack drone threats. The Coyote Block 2 series is already a combat-proven system, with more than 600 kills in the course of operational U.S. military deployments to date.
The unveiling of the Coyote Block 2C+RM came today around the start of the Association of the U.S. Army’s (AUSA) main annual convention, at which TWZ is in attendance. The rocket-powered version has been in the works for some 15 months now, and three successful live test launches have been conducted. That followed static test fires of the new rocket motor, which an unnamed subcontractor is supplying, and other testing.

The Pentagon and the U.S. Army have been engaged with Raytheon (now formally RTX) on the development of the Block 2C+RM, but whether there are formal U.S. military contracts to buy this version now is unclear. The U.S. Army is the largest known operator of Coyote Block 2-series interceptors now, with previously stated plans to buy at least 6,000 of them between Fiscal Years 2025 and 2029. We will come back to this later on.
As mentioned, existing versions of Coyote Block 2 are powered by a turbojet engine. A small rocket booster is also used to launch these interceptors, but does not propel them through the entire course of their flight.

With the rocket motor, “you get upgraded propulsion for faster launch and higher velocity flight,” Tom Laliberty, President of Land & Air Defense Systems at Raytheon, told TWZ and other outlets during a press call last week ahead of today’s announcement. “In terms of range and so forth, I can’t really get into any specifics about that, for obvious reasons.”
“What I would just say is it’s significant in terms of the range difference, and in the [sic] what I call end-game capabilities of the missile, where velocity might come into play,” he added. “Then with the seeker [and] warhead [upgrades], it really gets after the sort of more cutting-edge drone capabilities that we’re seeing from the adversary.”
Laliberty also did not elaborate on the specific improvements to the seeker or warhead. Existing Block 2-series Coyotes use on-board radio frequency seekers to find their targets in the terminal phase of flight after first being cued via radars and other sensors on the ground. They also carry blast-fragmentation warheads.
During last week’s call, Laliberty was asked about whether new faster-flying jet-powered one-way-attack drones, like Iran’s Shahed 238 and Russia’s Geran-4 and -5 derivatives, had prompted Block 2C+RM’s development. He was also queried about Block 2C+RM’s ability to defeat traditional cruise missiles.

“Unfortunately, I can’t get into the specific threats, but I can tell you the intention is to have this cover all types of Class 3 drones,” he said in response. “If you think about the Class 3 drone kind of ‘spectrum,’ there’s a pretty good overlap there with the capabilities of cruise missiles, as well, right? So it all depends on the specific[s] of the cruise missile.”
The U.S. military defines Group 3 drones, whether they are weaponized or not, as designs that weigh anywhere from 56 to 1,320 pounds, are able to fly up to an altitude of 18,000 feet, and reach a top speed of no more than 250 knots. The Shahed 238’s combustion engine-powered predecessor, the Shahed 236, is a prime example of a Group 3 kamikaze drone. The claimed top speeds of the jet-powered derivatives (approximately 270 to 320 knots) actually push the upper boundaries of this broad middle-tier category. TWZ regularly highlights the additional challenges that jet-powered kamikaze drones like the Shahed 238 and Geran-4/5 present. We also routinely note how the line between longer-range one-way-attack drones and cruise missiles has become increasingly blurry. The Block 2C+RM itself also further blurs the definition between a drone-like counter-drone interceptor and a more traditional surface-to-air missile.
RFE/RL takes apart a Russian Geran-4 drone to uncover what makes the jet-powered unmanned aerial vehicle (UAV) faster, harder to intercept, and capable of operating deep inside Ukraine — from its turbojet engine and advanced camera to foreign-made communications and navigation… pic.twitter.com/WGNdlpS9w1
— Radio Free Europe/Radio Liberty (@RFERL) September 25, 2026
The conflict with Iran, as well as other crises in the Middle East in recent years and the ongoing war in Ukraine, make clear that even slower-flying Group 3 kamikaze drones present real dangers now. Those threats are magnified when these one-way attacks are employed in large volumes and/or in complex attacks mixed in with ballistic and cruise missiles.
As noted, Raytheon has highlighted how Coyote Block 2C+RM also has a faster overall response time compared to its predecessors, offering additional flexibility for engaging incoming waves of drones. The new version also works with all existing four- and eight-cell launchers, which can be variously mounted on vehicles and static positions on the ground, as well as on ships.
As mentioned earlier, the U.S. Army is the primary operator of Coyote Block 2s today, with the interceptors being used in both vehicle-based and palletized versions of its Low, Slow, Unmanned Aircraft Integrated Defeat System (LIDS). The U.S. Air Force has also been at least involved in the operation of fixed-site versions of LIDS at forward-deployed locations. The U.S. Navy has integrated launchers for Coyote Block 2s on several Arleigh Burke class destroyers, as well.


It’s also worth noting here that Coyote is generally described as a lower-cost interceptor, with a unit cost reported in the past to be around $100,000. How the new rocket-powered version will compare to existing types price-wise is unclear, but this is an increasingly important factor for the U.S. military and others, especially when considering the cost curve against the expected target set. As an example, the estimated cost of a Shahed 236 is in the $50,000 range.
To be clear, Coyote Block 2C+RM is still in development, and when it might start to enter operational service with any user remains to be seen.
“We’ve got additional tests scheduled into the first half of next year, and we’re working with the Department of War,” Raytheon’s Laliberty said last week. “We’ve got an ongoing investment from Raytheon, but now essentially received some government sponsorship as it kind of transitions into the program of record, and that’s still kind of ongoing with the Department of War in terms of how all of that is going to be structured. Certainly, in follow-on contracts for Coyote, this can be cut in.”
Raytheon has no plans to stop producing jet-powered Block 2 versions, either, at least for now. Beyond the U.S. military, there are now contractors to supply these interceptors to Qatar and Jordan.

The Block 2 series is just one part of the larger and still growing Coyote family of drones. A separate series of Coyote Block 3 drones, which evolved from the original electric motor-driven pusher propeller Block 1 design, is also steadily expanding. This includes versions configured as loitering munitions and as counter-drone interceptors carrying still unidentified “non-kinetic” payloads. The U.S. Army is already in the process of acquiring Block 3 types in addition to Block 2 interceptors.

As an aside, the U.S.-based subsidiary of Germany’s Rheinmetall is currently competing in the Army’s XM30 Mechanized Infantry Combat Vehicle (MICV) competition with a design that will be capable of employing Coyote Block 3. The launchers on American Rheinmetall’s Lynx-based XM30 offering will also be able to fire anti-tank guided missiles like the TOW and Javelin. You can read more about the XM30 competition and the other design in the running, General Dynamics Land Systems’ Wolf, here.
More broadly speaking, Coyote Block 2C+RM will be entering a hugely expanding market space for lower-tier and lower-cost counter-drone interceptors globally. The U.S. Army alone is already pursuing several new lower-tier anti-air interceptors to expand its capabilities against Group 3 drones, as well as other types of uncrewed threats and cruise missiles.
If nothing else, the newly unveiled Coyote Block 2C+RM reflects continued high demand, broadly speaking, for new interceptors, and more of them, to address ever-more capable longer-range kamikaze drones.
Contact the author: joe@twz.com
The post New Coyote Anti-Drone Interceptor Swaps Jet Engine For Rocket Power appeared first on TWZ.

Anduril has unveiled Steelfin, a family of surface-to-air interceptor missiles designed to share a common architecture and manufacturing process while being configured for different air and missile defense missions. The company says this approach will enable high-volume production at significantly lower cost than existing weapons, though it has not disclosed prices or detailed performance specifications.
The announcement comes as the U.S. military seeks to expand air defense inventories against an increasingly diverse range of threats, from inexpensive drones to cruise missiles, ballistic missiles, and advanced maneuvering weapons, including hypersonic ones. Recent experiences from Ukraine and the Middle East make it abundantly clear that the challenge is not simply developing interceptors capable of defeating those targets but producing enough of them to sustain operations without exhausting stocks of more expensive weapons.

Using high-end interceptors against comparatively inexpensive threats can rapidly consume limited inventories, as it has in the Middle East, especially, even when engagements are necessary to protect personnel and critical infrastructure. A broader range of defensive weapons, matched to different threats and engagement requirements, could help ease that burden.
Anduril’s answer is a family of missiles built around a common two-stage design. The first stage consists of a booster, while the second is a terminal interceptor intended to share a baseline airframe, avionics, software, flight control system, and interfaces across variants. Different boosters and terminal-stage components would allow the company to tailor individual configurations to specific missions without developing an entirely new missile for each requirement. Both hit-to-kill and blast-fragmentation terminal-stage interceptors will be offered, Anduril says.
“It is an open system, so the ability to fly it with different rocket motors, different seekers, to be able to swap these components out, to be able to reconfigure the system for a range of different threats is a feature that we built into this,” explained Christian Brose, who serves as the president and chief strategy officer at Anduril. He was speaking to members of the media, including TWZ, ahead of the official unveiling of Steelfin.

The company says the family is intended to cover missions ranging from point defense and lower-tier integrated air and missile defense to upper-tier ballistic missile defense. It also identifies cruise, ballistic, and hypersonic missiles among the threats the broader family is designed to address. Overall, it is an extremely ambitious goal, and something that has not been attempted previously to this degree.
The announcement does not specify which variants would address individual threats or provide engagement envelopes and performance figures with which to assess those claims.
Brose did clarify that the different ranges that the various Steelfin variants will achieve will be based on the booster sizing. “Right now, we’re looking at integrating on 10-inch, 18-inch, and 21-inch boosters, but we’re also looking at quad pack and dual pack for the Mk 41 Vertical Launch System as well for different installations, which imply different range and altitudes.”

Anduril’s emphasis on commonality is also intended to address the industrial challenges associated with conventional interceptor production. Different missile programs traditionally require specialized tooling, manufacturing processes, suppliers, and facilities, limiting opportunities to shift production rapidly as operational requirements change.
Steelfin variants are intended to use shared production lines and equipment, with mission-specific boosters and terminal-stage components incorporated during final assembly. Anduril says this would allow manufacturing capacity to be redirected toward whichever variant is in greatest demand. The company is planning near-term production on the order of several thousand missiles annually, with capacity designed to expand or shift according to requirements.
That remains a production ambition, and Anduril has not provided a detailed production schedule or contracted quantities demonstrating how quickly it could reach that scale.
The company also says Steelfin is designed to be compatible with existing land- and sea-based launch infrastructure, including the M903A2 launcher used by newer PAC-3 series interceptors, the Mk 41 Vertical Launch System, and Typhon, as well as emerging containerized launchers. It cites compatibility with established fire-control systems, including AEGIS and the Army’s Integrated Battle Command System (IBCS).

When it comes to cost, Steve Milano, the lead for Air Dominance & Strike at Anduril, suggested that the “more exquisite version” of the Steelfin would sit somewhere above the PAC-3 MSE and below THAAD, but would accomplish “100 percent of the THAAD mission at a fraction of the cost.” In a different configuration, tailored for the PAC-3-type mission, Steelfin would accomplish 80 percent of that mission at less than 50 percent of the cost, Milano added.
While THAAD is aimed at taking out short, medium, and intermediate-range ballistic missiles in the terminal phase of flight, PAC-3 provides high-altitude, hit-to-kill air and missile defense against tactical ballistic missiles, cruise missiles, and aircraft.
Milano continued: “Looking at the lower end of the spectrum, as far as low-cost interceptors are concerned, I just saw an article on the [aircraft carrier USS Abraham] Lincoln coming back with all of the Shahed markings on the side, and I was contemplating the number of SM-2s that were fired against those assets. When I think of that cost exchange, the Steelfin enters into that market and provides greater than 80 percent of the capability of an SM-2 for a third of the cost.”
For reference, a single THAAD interceptor costs around $15.5 million. The unit price of each PAC-3 MSE interceptor now stands at approximately $5.3 million, according to the Army’s latest proposed budget for the 2027 Fiscal Year. Meanwhile, the price of a single SM-2 Block IIIC interceptor, the most advanced version of that missile currently in service, is around $2.5 million.

Steelfin is entering a market in which the U.S. military is already pursuing several approaches to expanding its low-cost interceptor inventory.
In May, the U.S. Army sought industry proposals for a Patriot-compatible interceptor with a target unit cost below $1 million. The effort reflects the service’s desire for a less expensive weapon for appropriate engagements, preserving higher-end interceptors for targets that warrant their cost and capabilities. The Army’s solicitation also emphasizes component-level cost targets and competition among suppliers, including for rocket motors, seekers, and guidance systems.
Lockheed Martin has offered a separate industry response with its PAC-3 Adapted Capability Effector (ACE), a lower-cost interceptor intended to operate within the Patriot ecosystem. Unveiled in July, the weapon is intended to cost less than half as much as the PAC-3 Missile Segment Enhancement (MSE), according to the company. The MSE’s unit price is approximately $5.3 million in the Army’s fiscal 2027 budget request, putting the ACE’s implied price at around $2.5 million if Lockheed’s comparison holds.

Its projected price would still be well above the Army’s separate sub-$1 million target, reflecting the different objectives and requirements behind the two efforts.
The Navy, meanwhile, is pursuing a potentially broader shift toward modular interceptor architectures. Its Naval Modular Missile initiative envisions a family of surface-to-air weapons built around a common Terminal Stage Interceptor, with different boosters and canisters producing configurations for different missions and platforms. The plans include variants intended to fit multiple missiles within a Mk 41 launcher cell, as well as a version designed for launch from Virginia class submarines equipped with the Virginia Payload Module.
The Navy’s longer-term vision is to replace its existing Standard Missile family with modular variants, although the effort remains in development. The concept highlights potential operational benefits beyond manufacturing: smaller interceptors could increase the number of weapons carried aboard ships, while other configurations could preserve longer-range capabilities. The Navy has also outlined an ambition to reach production of 1,000 missiles annually within five years of a contract award.
Both the Navy’s modular missile initiative and Steelfin reflect a push toward common architectures that can support multiple interceptor configurations without requiring an entirely new missile for every mission. Steelfin’s stated scope is particularly broad, with Anduril pitching the family for missions spanning point defense through lower-tier air and missile defense to upper-tier ballistic missile defense. That would cover much of the air and missile defense spectrum, although it does not extend to exoatmospheric midcourse interception. Whether the family can deliver that breadth of capability at the promised cost and scale remains to be demonstrated.

Anduril says it has been developing Steelfin for several years with investment from multiple customers and has completed ballistic testing using representative air vehicles. Flight testing of Steelfin variants is planned for 2027.
Already, Anduril says it is working closely with “a number of different customers to get into the field.” Brose continued: “We feel like this is going to be a critical component of the U.S. and allied inventories to complement the range of exquisite capabilities that all of us are familiar with and know by name.”
Steelfin underscores what is now a broader trend toward lower-cost interceptors that can be manufactured at scale, and plugged into existing ecosystems, often with at least a degree of modularity to tackle new and emerging target sets. Steelfin adds to Anduril’s proposal to combine that modularity with a common production system designed to support thousands of weapons annually.
Anduril has yet to develop or produce a surface-to-air missile, although its Roadrunner system gives it experience in the related field of countering aerial threats, including loitering munitions. The company’s ambitions for Steelfin are significant, and modular architectures are certainly attractive. After all, a common baseline should simplify production, reduce costs, and allow interceptors to be tailored to different missions. In practice, however, realizing those benefits has historically proved difficult, and fraught with compromises. Whether Anduril can avoid those pitfalls while delivering the promised combination of capability, affordability, and production scale remains an open question. If it can, Steelfin could put the company in a strong position in the future surface-to-air missile market.
Contact the author: thomas@thewarzone.com
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