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BAE Systems wins $1.7 billion US Navy contract

Published by Global Banking & Finance Review

Posted on December 10, 2025

1 min read

· Last updated: January 20, 2026

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BAE Systems wins $1.7 billion US Navy contract
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Dec 10 (Reuters) - BAE Systems, Britain's biggest defence company, said on Wednesday that the U.S. Navy had awarded it a five-year contract worth up to $1.7 billion to supply laser-guidance kits that

BAE Systems Secures $1.7 Billion Contract with US Navy

Dec ‌10 (Reuters) - ‍BAE ‌Systems, Britain's biggest ⁠defence ‌company, said on ⁠Wednesday that ​the U.S. Navy ‌had ⁠awarded it a five-year ​contract worth up to $1.7 billion ​to ‍supply ​laser-guidance kits that turn unguided rockets into ⁠precision munitions.

(Reporting by ​Yamini Kalia in Bengaluru; ‌Editing by Anil D'Silva)

Key Takeaways

  • BAE Systems awarded a $1.7 billion contract by the US Navy.
  • The contract spans five years for laser-guidance kits.
  • These kits convert unguided rockets into precision munitions.
  • BAE Systems is the UK's largest defense company.
  • The deal enhances BAE's position in the defense sector.

Frequently Asked Questions

What are precision munitions?
Precision munitions are weapons designed to hit specific targets with high accuracy, reducing collateral damage and increasing effectiveness in military operations.
What is laser-guidance technology?
Laser-guidance technology uses laser beams to direct munitions to their targets, enhancing accuracy and effectiveness in military applications.

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