The US Army has awarded Dynetics a $617 million contract to produce its Indirect Fire Protection Capability (IFPC) Increment 2 air defense systems.
The deal marks a major step toward full-scale production of the system.
The contract includes a wide range of deliverables. These cover launchers, upgraded prototype launchers, all-up-round magazines, and training systems for soldiers. It also includes weight-based training devices, logistics support, spare parts, and engineering services.
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Officials said work locations and funding details will be decided with each order. The project is expected to run through November 30, 2029.
This latest contract builds on a much larger $4.1 billion agreement awarded to Dynetics in 2024. That earlier deal covered low-rate initial production and future full-rate production, along with support services. An initial portion worth up to $204 million funded the production of 18 launchers.
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With this new award, the Army appears to be moving beyond early production and into full-rate manufacturing. The mix of hardware, training, and sustainment support reflects a more mature phase of the program.
The IFPC Increment 2 system is designed to fill a key gap in air defense. It sits between short-range systems and higher-end platforms like the Patriot missile system. While Increment 1 focused on threats like rockets, artillery, and mortars, Increment 2 expands protection to include cruise missiles and unmanned aerial systems.
Each IFPC platoon includes four ground-based launchers. These are connected to the AN/MPQ-64 Sentinel radar through the Integrated Battle Command System. This network enables the system to work alongside other assets, including Patriot and the Lower Tier Air and Missile Defense Sensor, creating a layered defense.
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The system currently uses AIM-9X Sidewinder interceptors. At the same time, the Army is working on a more advanced missile designed to defeat low-flying, supersonic cruise threats.
As threats from drones and cruise missiles continue to grow, the IFPC Increment 2 system is expected to play a key role in protecting key military sites.
