Lockheed Martin Finds Way to Halve PAC-3 MSE Missile Cost, but Major Trade-Off Remains

Lockheed Martin has identified a way to reduce the price of a PAC-3 MSE missile by about half, but the savings come with an important trade-off. The proposal could lower costs for customers and make the interceptor more affordable to produce at scale. However, the approach may involve changes to manufacturing, procurement, performance, or delivery requirements. Details of the proposed plan and its limitations will determine whether military buyers consider the reduction worthwhile. Development highlights efforts to control defense costs.