# Navy Awards $1.7B APKWS Contract

The U.S. Navy has awarded BAE Systems a recent, multi-year IDIQ contract valued at $1.7 billion for APKWS laser-guidance kits. BAE says the kits are being integrated across U.S. and allied aircraft, unmanned systems, and ground launchers for counter-UAS and other missions, and reports production capacity of at least 25,000 kits annually. The signal provides no contract number, exact award date, solicitation details, or procurement contact, so it describes an awarded program rather than an identified open bid opportunity.

- The IDIQ and stated production capacity indicate a substantial, multi-year demand signal for guided-weapon kits and related manufacturing inputs.
- Defense suppliers can assess whether their components or production capabilities fit the APKWS supply and integration ecosystem; the signal does not identify specific subcontracting openings.
- The reported use across multiple platforms and allied forces points to broader demand beyond a single aircraft or service, including counter-UAS missions.

**Jurisdictions:** federal
**Industries:** Defense & Military
**Topics:** Contracting Vehicles
**Published:** October 13, 2026

### Government Entities
- U.S. Navy (USN)
- U.S. Air Force (USAF)
- Royal Air Force (RAF)
- United Kingdom Ministry of Defence (UK MOD)

### Vendors
- BAE Systems (awardee)

### Sources
- [Precision at scale: APKWS counters the threat - Breaking Defense](https://breakingdefense.com/2026/10/precision-at-scale-apkws-counters-the-threat) - Breaking Defense