The US Missile Defense Agency (MDA) has awarded Lockheed Martin a Terminal High Altitude Area Defense (THAAD) development contract with a ceiling of $2.81 billion.
It continues the efforts of the previous Advanced Capability Development contract with development, integration, and testing of hardware and software upgrades and initial fielding.
The contract’s period is February 1, 2025, through January 31, 2035, with work to be performed in multiple locations, primarily Sunnyvale, California, and Dallas, Texas.
An initial task order of $12.7 million has been issued with the award for system test and evaluation, out of which $200,000 will be issued for fiscal 2025.
THAAD is designed to intercept short, medium, and intermediate-range ballistic missiles in their terminal or re-entry phase.
It employs hit-to-kill technology for interception and has a range of about 200 kilometers or 120 miles.
THAAD System Build 6.0
According to MDA’s fiscal year 2025 research, development, test, and evaluation budget, the indefinite-delivery indefinite-quantity contract supports continued development for THAAD 6.0.
THAAD’s latest iteration provides enhanced capability against maneuvering air targets and has a greater threat engagement area.
“TH 6.0 includes capability enhancements to the THAAD interceptor, increased integration with Patriot MSE (Missile Segment Enhancement), and improvements to the cybersecurity risk posture and program protection,” MDA Director Lieutenant General Heath A. Collins explained.
“Additionally, THAAD will begin initial systems engineering in FY 2025 to support the Army’s Integrated Air and Missile Defense Battle Command System (IBCS) integration of THAAD.”
The variant’s operational availability has been advanced to 2027 from 2032, according to Collins.
Meanwhile, the IBCS-THAAD integration effort was cancelled by lawmakers last month.
It was preceded by the scrapping of the Lower-Tier Future Interceptor, which was meant to replace the Patriot-3 MSE missile system.
THAAD 4.0
The US Army is expected to upgrade all its THAAD batteries with 4.0 capabilities by the end of 2025.
The 4.0 enables remote launch and the integration of Army Patriot MSE launchers and missiles into the THAAD battery.
It allows the Patriot MSE interceptor to leverage THAAD AN/TPY-2 radar data, enhancing its defended area and engagement chances.
THAAD 5.0
The 5.0 includes hardware upgrades to address obsolescence and enhancement of cybersecurity and mission assurance.
Also included is safety enhancement and engagement refinements for improved results against assessed threats, with operational availability from July 2026.
“THAAD System Build 5.0 is in development and is the largest hardware refresh to-date,” Collins added.
