The US Air Force’s Cruise Missile Buying Spree
Today’s top story is a blockbuster: the U.S. Air Force plans to triple its production of JASSM and LRASM cruise missiles over the next five to seven years. With orders spanning JASSM Lots 27-33 and LRASM Lots 13-19, this $11.2 billion contract underscores an extraordinary demand for advanced weaponry that has been building momentum over the past month.
Is This a New Phenomenon?
No. In fact, this deal is merely the latest in a series of massive procurement announcements we’ve seen recently. Over the last 30 days, Scout has tracked $75 billion worth of defense contracts, with cruise missiles, drones, and autonomous systems featuring prominently. Today alone, stories revealed contracts totaling $12.8 billion.
Europe’s Precision Strike Pivot
This global arms race isn’t confined to the US. Europe is experiencing its own surge in demand for advanced weaponry, particularly long-range precision strike capabilities. Here are a few key developments:
Ukraine: In addition to licensing Aster 30 anti-missile interceptors, Ukraine has also been rapidly adopting uncrewed systems like drone boats and ground robots. France: French President Emmanuel Macron announced that France would share military technology with African countries to boost their defense capabilities. Germany & Sweden: Both nations have been actively beefing up their defense spending and acquiring advanced weaponry, with Germany set to buy ground-launched Tomahawk missiles.
The Tech Trends Driving Demand
Drones, artificial intelligence, autonomous systems, and anti-ballistic interceptors have featured prominently in recent weeks. Today alone, these technologies appeared in 14 stories. Here’s a snapshot:
Drones: With 26 mentions over the past month, drones continue to dominate headlines, from kamikaze drone boats used by the US for the first time to world-first deployments of armed robots via drone boats in Ukraine. AI & Autonomous Systems: AI and autonomous systems have featured prominently, with Shield AI’s Hivemind technology guiding Ukraine’s strikes into Russia.
What Else Moved Today?
Kongsberg Defence & Aerospace reported a record-high order backlog of NOK 158 billion ($17.2 billion) and secured new orders valued at NOK 17 billion ($1.9 billion) in Q2. Huntington Ingalls Industries (HII) christened the guided missile destroyer George M. Neal (DDG 131) and announced it will host its second quarter earnings conference call on August 4. Russia may share intelligence, not satellites, with North Korea, according to a recent analysis by The Diplomat.
Forward Look
As geopolitical tensions continue to simmer, we expect this global arms race to persist. With the US Air Force tripling its cruise missile production and Europe stepping up its precision strike capabilities, watch for further announcements in these areas. Additionally, keep an eye on trends in AI, drones, and autonomous systems – today’s technologies shaping tomorrow’s battlespace.