Lockheed Martin Wins $694 Million Contract to Put ARRW Hypersonic Missile Into Production
Lockheed Martin has been awarded a $694 million US Air Force contract to produce and field the AGM-183A Air-Launched Rapid Response Weapon, or ARRW, moving the hypersonic missile out of prototyping and flight testing. The Air Force announced the award on October 26, 2026, saying the contract was granted in late September.
The deal runs through the Defense Department’s Enterprise-Wide Agile Acquisition Contract. The Air Force has not disclosed how many missiles it is buying or when they will be delivered, citing operational security.
Lockheed Martin ARRW Production Contract
| Item | Detail |
|---|---|
| Customer | US Air Force |
| Contractor | Lockheed Martin |
| Value | $694 million |
| Vehicle | Enterprise-Wide Agile Acquisition Contract |
| Scope | Production and fielding of the AGM-183A ARRW |
| Quantities and deliveries | Not disclosed (operational security) |
| Contract granted | Late September 2026 |
| Announced | October 26, 2026 |
Air Force Secretary Troy Meink called the move a “turning point in our advanced weapons roadmap.” Chief of Staff Gen. Ken Wilsbach said fielding ARRW “enhances our ability to hold targets at risk anywhere around the world.”
The award shifts the weapon from a test article to a production item. For Lockheed Martin, it also closes a chapter in which the programme looked close to cancellation.
How the ARRW Boost-Glide Missile Works
ARRW is a boost-glide weapon. A solid-fuel rocket booster accelerates it past Mach 5, after which it releases a hypersonic glide vehicle that travels to the target. The Air Force describes it as a way to strike heavily defended targets from standoff range in a time-sensitive manner.
The service has not published range, warhead or unit-cost figures for the production version, and none are included in the award announcement.
From Near Cancellation to Production
ARRW’s path has not been smooth. After prototyping ended in 2023 and following unsuccessful tests, the Air Force moved to halt the purchase and turned its attention to the Hypersonic Attack Cruise Missile, or HACM.
| Year | Event |
|---|---|
| 2023 | Prototyping ends; after unsuccessful tests the Air Force moves to halt ARRW procurement and favours HACM |
| 2025 | Then-Chief of Staff Gen. David Allen tells Congress the service intends to revive ARRW with fiscal 2026 funding |
| FY2026 | About $387 million requested for procurement |
| FY2027 | About $452 million requested for procurement |
| Late September 2026 | $694 million production contract granted to Lockheed Martin |
| October 26, 2026 | Air Force announces the award |
ARRW and HACM, Two Hypersonic Paths
The Air Force is not choosing one weapon over the other on the evidence made public so far. The two missiles use different approaches to high-speed flight, and the production award for ARRW does not by itself say how HACM plans will change.
| Feature | ARRW | HACM |
|---|---|---|
| Approach | Rocket boost, then hypersonic glide vehicle | Hypersonic attack cruise missile |
| Latest public status | Production and fielding contract, $694 million | Air Force’s stated focus after the 2023 ARRW halt |
| Quantities | Not disclosed | Not covered in this announcement |
Lockheed Martin Company Profile
| Item | Detail |
|---|---|
| Headquarters | Bethesda, Maryland |
| Founded | 1995 (merger of Lockheed and Martin Marietta) |
| CEO | James Taiclet |
| Employees | About 123,000 (2025) |
| Revenue | About $75.05 billion (2025) |
| Segments | Aeronautics, Missiles and Fire Control, Rotary and Mission Systems, Space |
| Known programmes | F-35, F-22, C-130J, GMLRS, Black Hawk |
Where the Money Comes From
Funding for ARRW has come in pieces. The Air Force asked for about $387 million in fiscal 2026 procurement and about $452 million for fiscal 2027, according to its budget documents. The $694 million contract sits alongside those requests rather than replacing them, though the Air Force has not said how the pieces fit together.
Lockheed Martin’s recent hypersonic and precision-fires work has also featured on this site, including its GMLRS in-flight retargeting test.
ARRW Hypersonic Missile FAQ
What is ARRW?
The AGM-183A Air-Launched Rapid Response Weapon is a boost-glide hypersonic missile built by Lockheed Martin for the US Air Force.
How much is the Lockheed Martin ARRW contract worth?
$694 million, awarded under the Enterprise-Wide Agile Acquisition Contract.
When was the contract announced?
The Air Force announced it on October 26, 2026. It said the contract was granted in late September.
How many ARRW missiles is the Air Force buying?
That has not been disclosed. The Air Force cited operational security.
Was ARRW cancelled before?
In 2023 the Air Force moved to halt procurement after unsuccessful tests and shifted focus to HACM. In 2025 it told Congress it intended to revive ARRW with fiscal 2026 funding.
- Defense News – “US Air Force awards Lockheed Martin $694M hypersonic missile production contract” (October 27, 2026): defensenews.com
- US Air Force budget documents for fiscal 2026 and 2027, as cited by Defense News
- Wikipedia – Lockheed Martin (company data); AGM-183 ARRW
