Overview
- Lockheed announced the PAC-3 ACE on Monday, July 20, 2026, as a lower-cost member of the PAC-3 family intended to supplement existing Patriot interceptors.
- The company says PAC-3 ACE will cost less than half per unit of the PAC-3 MSE, which U.S. budget documents put at roughly $4 million each, but Lockheed has not released a precise target price.
- PAC-3 ACE is built on the PAC-3 fire-control system and is designed to link directly with Patriot batteries and the Integrated Battle Command System (IBCS) so it can be fielded faster and use existing logistics and training.
- Lockheed says the interceptor uses hit-to-kill technology to destroy aircraft, drones, cruise missiles, and short-range ballistic threats by direct impact, and that initial production could begin in about 36 months with U.S. and European industry partners.
- The announcement responds to strained stocks from high operational use in Ukraine and regional conflicts, and it raises near-term questions about exactly how Lockheed cut costs, the final per-unit price, and how allied procurement and verification will proceed.