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Lockheed Martin Unveils PAC‑3 ACE as Lower‑Cost Patriot Interceptor

The company says the missile will stretch stocks, speed deployment through reuse of PAC‑3 fire‑control software, link to Patriot and IBCS, and be developed with U.S. and European partners.

Overview

  • Lockheed Martin announced PAC‑3 ACE on Monday, July 20, 2026, at the Farnborough airshow as a new, lower‑cost interceptor option for Patriot networks.
  • The company claims ACE will cost less than half a PAC‑3 MSE unit; U.S. Army budget documents put PAC‑3 MSE at about $4 million each, which would imply ACE could be below roughly $2 million.
  • ACE is built on proven PAC‑3 fire‑control software and is designed to be fully linked to the Patriot weapon system and the Integrated Battle Command System (IBCS) to shorten development and integration timelines.
  • Lockheed says the interceptor will cover multiple threats — aircraft, cruise missiles, drones, and short‑range and close‑range ballistic missiles — and could reach initial production within 36 months with U.S. and European industry partners.
  • The launch responds to surging demand for interceptors since Russia’s 2022 invasion of Ukraine and growing competition from lower‑cost startups, and it could increase magazine depth for allies while supporting transatlantic industrial cooperation and local production preferences.