4 ms·
I agree that production volume during high intensity wartime is important but most of the time isn't high intensity wartime. The US is procuring a couple hundr
by missedthecue 2y ago
I agree that production volume during high intensity wartime is important but most of the time isn't high intensity wartime.
The US is procuring a couple hundred cruise missiles per year right now, and unit cost isn't the reason they aren't buying more. If 100% of volume went to Ares (it won't) at 1/10th the cost, would that even be a sustainable business model? US manufacturing with US based input suppliers isn't cheap and neither are security cleared workforces.
- zaptrem 2y agoOnce they're selling enough cruise missiles they will likely make other related items.
- gpm 2y agoAt "10x smaller and 10x cheaper" I'm wondering if they are making traditional "cruise missiles" or something closer to what is being referred to as "fpv drones" in Ukraine... They might be betting on a change in doctrine emphasizing this sort of platform, and/or the ability to sell directly to Ukraine (and to countries in similar conflicts going forwards), rather than looking at existing cruise missile contracts and trying to compete with those. Drones are one of the items I frequently see in the news as "Ukraine is purchasing these" instead of "these have been donated to Ukraine". (This is pure speculation, everything I know about this company is from the article being discussed)
- throwpoaster 2y agoThere is a change in doctrine towards “factory vessels” — imagine a Ford-class carrier with a drone|missile factory onboard.