Army Secretary Dan Driscoll has announced plans to establish a new program for developing lower-cost interceptors while ensuring the government retains ownership of the underlying intellectual property, or IP, Breaking Defense reported Thursday.
The Army's push for affordable interceptors and modernized air and missile defense systems reflects broader transformation priorities that will be explored at the Potomac Officers Club's 2026 Army Summit on June 18. Register now.
Driscoll, a 2026 Wash100 Award winner, said the Army plans to acquire or lease the IP needed to develop an interceptor from scratch, allowing the service to retain ownership of the IP while using contract manufacturers to produce the system.
Why Is the Army Pursuing a New Interceptor Strategy?
The initiative aims to address a significant cost imbalance in modern missile defense. Driscoll noted that current interceptors, such as the Patriot Advanced Capability-3 Missile Segment Enhancement, cost millions of dollars but are used to engage low-cost threats like the $4,000 Shahed drone.
The effort comes as the Army continues advancing integrated air and missile defense capabilities through programs such as the Integrated Battle Command System, or IBCS, which demonstrated the ability to coordinate multiple sensors and interceptors in contested environments. However, Army leaders have raised concerns about the high cost of current interceptors when used against inexpensive aerial threats.
The Army's goal is to produce a more affordable interceptor by breaking the system into subsegments and sourcing them separately from suppliers with competitive pricing.
How Will Intellectual Property Factor Into the Plan?
According to Driscoll, Army ownership of interceptor IP would allow the service to repair systems independently and potentially produce replacement parts through reverse engineering and 3D printing. This will enable faster repairs in the field. Driscoll said the service intends to engage nontraditional organizations, including academic researchers, to help develop subsystem technologies.
