AeroVironment Secures $464.8 Million U.S. Army Contract for Laser Weapon Production
AeroVironment, Inc. (NASDAQ:AVAV) has secured a historic $464.8 million contract from the U.S. Army to produce laser weapon systems under its Enduring-High Energy Laser (E-HEL) program. This marks the first production deal for directed energy weapons in U.S. history and signals their transition from prototype development into full-scale deployment. The company will deliver multiple LOCUST X3 30-kilowatt, platform-agnostic laser weapon systems to support multi-year fielding requirements aimed at countering unmanned aircraft systems (UAS). The contract includes integration with the Army's Joint Light Tactical Vehicle and potential future use on Infantry Squad Vehicles. AeroVironment is also investing $30 million in its Albuquerque facility to ramp up production. The news has driven a nearly 4% premarket gain for AVAV shares, though the stock remains below key moving averages amid broader market concerns.
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