Anduril Unveils Steelfin: A Modular Interceptor Aimed at Cutting PAC-3 Costs by Two-Thirds
Anduril has unveiled Steelfin, a modular air defense interceptor designed to cost one-third of the current Patriot PAC-3 MSE. The system features interchangeable rocket motors and seekers, allowing it to target threats ranging from low-cost drones to hypersonic weapons. Anduril aims for full-rate production by late 2028 or early 2029, with annual output potentially reaching hundreds of thousands of units. The company is competing in the Army's low-cost interceptor program and believes the design fits requirements for the Future Interceptor program, which seeks a next-generation replacement for the PAC-3 MSE.
Key points
- Anduril claims Steelfin can deliver 80% of PAC-3 capability for less than half the price, with executives citing a cost of one-third compared to the current PAC-3 MSE.
- The interceptor is modular, supporting different rocket motors, seekers, and launch platforms including PAC-3, CAML, and Typhoon systems.
- Anduril is competing in the Army's low-cost interceptor program and believes Steelfin fits the requirements for the Future Interceptor program, though the company declined to confirm selection.
- Full-rate production is targeted for late 2028 or early 2029, with annual output potentially reaching hundreds of thousands of units depending on demand.
- Sub-assemblies will be built at Anduril's Arsenal-1 facility in Ohio, with final integration handled by a handful of partners.
Background
Anduril has previously been involved in defense contracts and investments, including a $50 million investment by 1789 Capital, where Donald Trump Jr. is a partner, as reported by ABC News in October 2026. The company has also been part of broader discussions on missile defense and autonomous warfare, as seen in recent Pentagon initiatives and AUSA 2026 events.
How outlets are covering it
Breaking Defense emphasizes the modular design and cost-effectiveness of Steelfin, highlighting its potential to address the volume of threats facing the US and allied militaries. UNITED24 Media focuses on the cost comparison, noting that Anduril claims Steelfin can deliver 80% of PAC-3 capability for less than half the price. Both sources agree on the modular nature and production timeline but differ in emphasis, with Breaking Defense providing more detail on the competition landscape and production facilities.
Why it matters
The introduction of Steelfin could significantly reduce the cost of air defense systems, making it more feasible to deploy large numbers of interceptors against diverse threats. This could impact the US military's ability to respond to emerging threats and influence future defense procurement decisions.
What to watch
Anduril expects to reach full-rate production by late 2028 or early 2029, with annual output potentially reaching hundreds of thousands of units. The company is also competing in the Army's Future Interceptor program, though it has not confirmed selection. The next steps will depend on the outcome of these competitions and demand signals from the US and international customers.
- Meet Steelfin—Anduril Says It Can Deliver 80% of PAC-3 Capability for Less Than Half the Price UNITED24 Media
- Anduril unveils Steelfin interceptor as cheaper option to PAC-3 missiles Breaking Defense
- Anduril reveals family of surface-to-air interceptor missiles Yahoo
- Anduril Challenges Defense Giants by Introducing Cheaper Missile Bloomberg.com
- Anduril unveils interceptor missile family Steelfin to counter varied threats Reuters
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