U.S. Navy Approves Full-Rate Production of BQM-177A Aerial Targets in $61M Kratos Contract.

The US Department of Defense on February 3, 2026, awarded Kratos Unmanned Aerial Systems Inc a 61 million dollar contract modification to produce BQM 177A surface-launched aerial targets for the US Navy. The award strengthens fleet training and weapons testing capacity as demand grows for realistic threat simulation.

The US Department of Defense announced that Kratos Unmanned Aerial Systems Inc of Sacramento, California, has received a 61 million dollar firm fixed price contract modification from Naval Air Systems Command in Patuxent River Maryland to support US Navy training and test activities. The modification authorizes full rate production of Lot Seven BQM 177A surface-launched aerial targets, along with 70 rocket-assisted takeoff kits and associated technical and administrative data, according to Navy contracting officials.
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The BQM-177A can carry internal and external payloads, including Identification Friend or Foe IFF transponders passive and active radio frequency augmentation infrared augmentation through fixed flares or plume pods and electronic countermeasure packages.(Picture source: Kratos)

The modification extends a program that has quietly become a cornerstone of US Navy readiness. The BQM-177A was selected as the service’s next generation Subsonic Aerial Target to replicate modern anti-ship cruise missile threats during live fire exercises and developmental testing. Rather than initiating a new competition the Navy exercised an existing option a decision that reflects both operational continuity and confidence in a platform already embedded in range infrastructure and fleet training cycles. Production activities are spread across multiple US states including California Texas Florida Virginia Kansas and Oregon illustrating the distributed industrial base supporting what remains a low visibility but high utility capability.

Designed for surface launch from ship decks or shore based ranges the BQM-177A eliminates reliance on runways and complex ground infrastructure. Launch is achieved through a rocket assisted takeoff unit that accelerates the vehicle to flight speed before separation, allowing deployment from confined maritime environments. Once airborne, the target is powered by a TR 60-5 turbojet engine delivering approximately 1,000 pounds of thrust and sustaining high subsonic performance with speeds exceeding Mach 0.95. The airframe measures 17 feet in length with a 7-foot wingspan and a maximum launch weight of roughly 1,500 pounds, placing it in a class optimized for realistic missile surrogate profiles rather than endurance-driven unmanned aircraft.

Operational altitude ranges from as low as 6.6 feet above ground level for sea-skimming runs to up to 40,000 feet mean sea level, enabling a wide spectrum of engagement geometries. The platform supports both manual and pre-programmed maneuvering with load factors from minus 2g to 9g, allowing it to replicate aggressive terminal phase behaviors within controlled limits. Fuel capacity of 63 gallons supports sustained profiles long enough to stress detection tracking and engagement sequences without turning the target into a one time expendable asset.

Mission flexibility is further enhanced by a modular payload architecture. The BQM-177A can carry internal and external payloads including Identification Friend or Foe IFF transponders passive and active radio frequency augmentation infrared augmentation through fixed flares or plume pods and electronic countermeasure packages. Chaff and flare dispensers are integrated to simulate countermeasures commonly associated with advanced cruise missiles while tow target capability allows the system to support multiple training roles within a single sortie. Command and control is configurable and allows one operator to manage up to eight targets simultaneously a feature that aligns with complex salvo scenarios increasingly emphasized in naval air defense training.

Ghe BQM-177A underpins the credibility of US Navy's integrated air and missile defense. It allows surface combatants and shore-based units to exercise surveillance radars fire control sensors and interceptors against targets that behave like real threats in speed altitude and signature. Engagements using the system enable validation of sensor fusion timelines combat system logic and interceptor fly out under realistic conditions rather than abstract modeling. Because the target is recoverable it supports iterative testing where software updates radar modes or missile seekers can be assessed repeatedly against a consistent baseline. Limitations remain inherent as profiles are scripted and cannot fully reproduce adaptive adversary decision making yet the reliability of the BQM-177A makes it a reference standard for measuring incremental improvements across the kill chain.

The contract also illustrates a broader pattern in US defense procurement where enabling systems receive sustained investment without headline attention. While combat aircraft missiles and sensors dominate public narratives auxiliary platforms such as aerial targets quietly shape operational credibility. Funding production lots several years in advance signals long term alignment with the service life of current naval air defense architectures and reinforces enduring threat assumptions centered on cruise missile proliferation in contested maritime spaces.

Continued investment in high fidelity target systems reflects the United States intent to maintain training realism as peer and near peer capabilities evolve. As more states field sophisticated anti ship missiles with low observable features and complex flight envelopes the ability to rehearse defenses under controlled but credible conditions becomes a form of strategic insurance. Allied navies benefit indirectly through interoperability and shared training standards while potential adversaries must account for a force that systematically tests its defenses against realistic surrogates. In that context a contract focused on targets rather than weapons still carries weight for international security by reinforcing deterrence through preparation rather than display.