On Tuesday, February 3, 2026, the U.S. Navy’s Naval Air Systems Command (NAVAIR), based at Naval Air Station Patuxent River, acting on behalf of the U.S. Department of Defense, signed a contract valued at 61,068,139 USD for the production and delivery of the seventh full-rate production lot of BQM-177A SSAT (Subsonic Sea-Skimming Aerial Targets) unmanned aerial targets.
BQM-177A / Photo: Kratos Defense & Security Solutions
The annex covers the seventh lot of unmanned aerial vehicles along with 70 rocket-assisted take-off (RATO) booster sets, as well as related technical and administrative data supporting weapons systems testing and evaluation and training for the U.S. Navy fleet.
Work will be performed in Sacramento, California (50%); Dallas, Texas (20%); Fort Walton Beach, Florida (5%); Blacksburg, Virginia (4%); Santa Ana, California (2%); Newton, Kansas (2%); Concord, California (2%); Milwaukie, Oregon (2%); Chatsworth, California (2%); and various locations across the continental United States (11%), with completion scheduled for August 2028.
Funding for the contract comes from U.S. Navy fiscal year 2024 weapons procurement savings in the amount of 872,402 USD, fiscal year 2025 funds in the amount of 3,489,608 USD, and current fiscal year 2026 funds in the amount of 56,706,129 USD, which were obligated at the time of award. The earliest funds will expire at the end of the current fiscal year (by September 30, 2026).
What is the BQM-177A?
Developed by Composite Engineering (now part of Kratos Defense & Security Solutions), the BQM-177A is a next-generation subsonic aerial target that achieved full operational capability with the United States Navy in October 2022. It replaced older models, primarily the BQM-34 and BQM-74. Deliveries began in June 2018 (the 100th unit was delivered in November 2020 and the 200th in April 2023). In 2023, full-rate production was launched, including for export users in Saudi Arabia, Canada, and Australia. In 2024, the Republic of Korea and Japan received approval to procure the system.
The BQM-177A enables the simulation of multiple aerial threats during shipboard testing of air and missile defense systems, particularly cruise missiles and anti-ship missiles flying low-altitude sea-skimming profiles. The unmanned vehicle reaches subsonic speeds exceeding Mach 0.95 and can operate at a minimum altitude as low as 2 meters (6.6 feet) above sea level.
The BQM-177A can carry a wide range of internal and external payloads, including proximity sensors, identification friend-or-foe (IFF) transmitters, passive and active radio transmitters, electronic countermeasures, infrared flare dispensers, radar chaff dispensers, and towed targets.