Navy Awarded Lockheed Martin Contract Modification
The $208.96 million agreement supports the production of advanced electronic warfare systems for the U.S. Navy.
Updated on Oct. 12, 2026 in Military
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The Naval Sea Systems Command has issued a $208.96 million firm-fixed-price contract modification to Lockheed Martin. This funding facilitates the continued production of AN/SLQ-32(V)6 SEWIP Block 2 electronic warfare systems.
Why it matters
The contract ensures the ongoing development and deployment of critical electronic defense capabilities for naval vessels. If all future options are exercised, the total value of this production effort could reach $1.71 billion.
The award includes $129.5 million in fiscal year 2026 shipbuilding funds, $58.2 million in FY 2026 procurement funds, $20.3 million in FY 2025 funds, and $1 million for research and development. The contract covers the AN/SLQ-32(V)6 SEWIP Block 2 systems.
The players
Naval Sea Systems Command
This is the U.S. Navy command responsible for the design, construction, and maintenance of the fleet and its combat systems.
Lockheed Martin
This is a global aerospace and defense company that provides advanced technology systems and services to the U.S. Department of Defense.
The details
This modification is structured as a firm-fixed-price agreement managed by the Naval Sea Systems Command. The funding is spread across multiple fiscal years to support the assembly and testing of the specified electronic warfare equipment.
Timeline
Fiscal year 2025 funds were allocated for the procurement process.
The U.S. Navy awarded the contract modification on September 30, 2026.
Fiscal year 2026 funds were allocated for the project.
The contract work is expected to be completed by September 2029.
Political Context
Critics of defense spending often argue that large-scale electronic warfare contracts require more rigorous oversight to prevent cost overruns. Advocacy groups frequently emphasize that the prioritization of procurement funds must be balanced against domestic social program needs.
While this contract directs funds toward defense infrastructure, it reflects federal spending priorities that ultimately impact the national budget and taxpayer liabilities. The project timeline indicates that the military plans to maintain these electronic capabilities through at least 2029.
The takeaway
This agreement highlights the ongoing multi-billion dollar investment in maintaining electronic superiority at sea. Taxpayers should note that the project duration is set for completion by 2029, suggesting a long-term commitment to these specific warfare systems.
Further reading
For broader updates on national security, visit the Military section.
Source note: This article includes information reported by Baird Maritime.
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