The Defense Secretary Lloyd Austin’s upcoming meeting with CEOs of key defense companies to discuss hypersonics will focus on the Department of Defense’s (DoD)  concerns about getting the programs to the development stage as well as lowering the associated cost says GlobalData, a leading data and analytics company.

Hypersonic refers to aircraft, missiles, and rockets that can reach speeds through the atmosphere faster than Mach 5, which is near 4,000 miles per hour. GlobalData’s report ‘Hypersonic technologies (Defense)- Thematic Research’ explains that these technologies are a significant development in defense and are a source of significant investment. The report also estimates that the market is projected to grow to $49 billion by 2030.

William Davies, Associate Defense Analyst at GlobalData comments: “Interest and perceived viability of hypersonics have waxed and waned over the years, however now the technologies are advancing at a significant pace. The resurgence of great power competition between China, Russia, and the US has resulted in increased investment and interest by all parties.”

Hypersonics have provided significant funding for US defense primes in recent years, with Lockheed Martin estimating it will be earning $3 billion in value per year by 2026 from hypersonic programs, and defense primes are keen to continue scoring high value contracts. The 2022 National Defense Authorization act approved $2.5 billion for hypersonic programs, but as the price tag to actually produce the weapons becomes clear, tougher questions will be asked about the utility of the missiles in comparison to conventional weapons.

Davies adds: “A perception that the US is falling behind adversaries is fueling a push to advance quicker than planned. The high cost of the programs is also a concern, though the weapons are likely to come down in cost once they reach the production phase. The cancellation of the Hacksaw (HCSW) program in 2018 shows that these technologies are not safe from budget cuts and industry leaders will be keen to show that their programs are approaching viability.”

US hypersonic programs are planned to reach the production stage in FY2022, with the Air Launched Rapid Response Weapon (ARRW) program the most advanced of a number of US programs. The ARRW program is a boost-glide weapon which is contracted to Lockheed Martin, and despite testing failures the company is still committed to producing 12 by the end of FY2022.