Lockheed Martin won a US Army contract worth up to US$1.2 billion for production of the Increment 2 configuration of the PrSM, or Precision Strike Missile. The contract announced on 21 September 2026 supports the Army’s effort to succeed the legacy Army Tactical Missile System. PrSM is a surface-to-surface precision missile launched from the M142 High Mobility Artillery Rocket System and the tracked M270 Multiple Launch Rocket System.
Its more compact size will enable the two launch pods to carry two PrSM rounds per pod as opposed to one ATACMS missile, which could expand the number of precision weapons available to a firing battery. The missile family is being fielded in subsets (increments) to allow the Army to incrementally add improved systems without replacing the entire missile.
Increment 2 targets increasing the PrSM’s targeting ability, which is necessary to address the US military’s need to engage mobile maritime and land-based threats. This is obviously related to the countries’ operations in the Indo-Pacific, where ground forces are expected to engage enemy ships, air-defence facilities, and command and control facilities at extended distances. Some technical details remain classified.
The award further indicates that the US Army aims to move from limited early production toward establishing a larger manufacturing base. Increased production capacity has become a top priority as recent conflicts have highlighted how rapidly precision-missile stockpiles can be depleted in prolonged campaigns.
