The subject was first discussed in 2024 before being abandoned. The United States is still seeking to acquire new interceptor missiles at a lower cost for the Patriot defense system.
The head of the Capacity Program Executive (CPE) for the US Army confirmed the existence of a highly competitive tender for low-cost interceptor missiles (LCI) and their subsystems at the end of last week, as stated by Major General Frank Lozano on LinkedIn.
The US Army aims to find a solution to the significant costs incurred in the Iranian or Ukrainian theaters, mainly due to the Patriot system. The unit price of each PAC-3 MSE interceptor has reached around $5.3 million, according to the latest budget proposed by the army for the 2027 fiscal year.
The “Low-Cost Interceptor” (LCI), the successor to the “Lower-Tier Future Interceptor” (LTFI) abandoned in 2024, is expected to be more than five times cheaper, with a maximum announced cost of $1 million.
The tender specifies a target unit price of $250,000 for the four necessary component groups: the complete interception ammunition (AUR), the fire control system, the rocket motor and seeker, as well as the flight guidance system.
“Our goal is to generate maximum interest and participation from all stakeholders in the missile technology sector,” explains General Frank Lozano. “This initiative aims to award multiple contracts to develop different effective and affordable missile interceptor solutions.”





