Raytheon Wins US Navy Deal for Upgraded Standard Missile-2
The US Department of Defense has contracted Raytheon to develop and manufacture the Standard Missile-2 (SM-2) Block IIICU surface-to-air missile.
The $258.7-million contract for the missile’s engineering, manufacture, and development is scheduled for completion in September 2031.
It includes $18.4 million in foreign military sales funding from Canada.
Block IIICU is an upgrade over the legacy Block III/IIIA/IIIB, offering enhanced targeting capabilities to engage additional threats such as anti-ship cruise missiles and tactical aircraft.
Upgraded Missile
The most significant change is the replacement of the legacy semi-active missile seeker with a dual-mode seeker that combines semi-active and active guidance.
The missile will share the new guidance section and target-detection device being developed for the SM-6 Block IAU, replacing the SM-6 Block IA’s components.
It will also incorporate a new dorsal fin design and a thrust-vectoring jet tab assembly for improved trajectory control.
Platforms
With an estimated range of 90 miles (145 kilometers), the missile is designed to enhance the air-defense capabilities of Arleigh Burke-class and Zumwalt-class guided-missile destroyers, as well as the remaining Ticonderoga-class guided-missile cruisers.
It will also be deployed on the under-construction Constellation-class frigates, providing both self-defense and area air defense capabilities.
Moreover, the missile will be utilized in Naval Integrated Fire Control – Counter Air capability, which integrates sensors, aircraft, and ships into a network for detecting, tracking, and engaging airborne threats beyond the range of a single platform.
Operational Testing From 2027
Production of the SM-2 missile ceased in fiscal 2017 after orders dried up, but resumed following a fiscal 2021 order.
The program is primarily funded through the Pentagon’s foreign military sales initiative, with the US, Australia, Canada, Japan, and South Korea slated as the first recipients.
The US Navy declared Block IIICU’s interim capability in November 2022 and plans to begin Initial Operational Test and Evaluation in 2027, followed by full-rate production.









