UNITED STATES, — Kratos Defense & Security Solutions has updated the estimated price of its MQ-58 Valkyrie unmanned combat aircraft to between $6 million and $8 million per unit. The price applies to basic production airframes, known as "white tails", without certain mission systems installed. Fully equipped versions will cost more.
Kratos CEO Eric DeMarco announced the updated price during the company's third-quarter 2026 earnings call on November 5. He said affordability would remain a major factor in the growing Collaborative Combat Aircraft (CCA) market.
Valkyrie Price Compared with Competitors
The new price is higher than previous estimates. In 2024, Kratos quoted $4 million to $6 million for rocket-assisted takeoff (RATO) versions, assuming production economies from an order of 100 aircraft. The company had also discussed a long-term target of approximately $2 million per airframe at higher production volumes.
Despite the increase, Valkyrie remains relatively inexpensive compared with competing designs. The US Air Force targets an average cost of around $20 million for its first CCA increment, featuring General Atomics' FQ-42A Vengeance and Anduril's FQ-44A Fury. Boeing's MQ-28 Ghost Bat was previously estimated at $8 million to $10 million.
Production Orders and European Development
Kratos has secured a low-rate initial production (LRIP) contract from an undisclosed customer and expects additional orders in 2027. It also holds at least two other Valkyrie contracts, including an international order delivered in the third quarter of 2025.
The company is partnering with Airbus to offer the U740 variant to Germany and other European customers. The aircraft completed its first flight at a northern European test facility in late September or early October 2026. The flight included rocket-assisted takeoff, manoeuvres at different altitudes and speeds up to Mach 0.8, and in-flight mission adjustments. The partners aim to deliver a combat-ready system by 2029.
Different Configurations and US Military Programmes
The Valkyrie comes in two main configurations. RATO versions use rocket boosters for takeoff and recover by parachute, while conventional takeoff and landing (CTOL) versions use landing gear for conventional runway operations. CTOL aircraft can also use rocket-assisted launch methods if required. Kratos has developed a launch trolley for runway-based RATO operations.
The US Air Force has tested the XQ-58A since 2019. The US Marine Corps is acquiring fully mission-equipped CTOL aircraft, sometimes designated MQ-58B, under its MUX TACAIR programme. Northrop Grumman is the prime contractor for that effort, which received an initial $231.5 million development agreement in January 2026. Kratos has developed at least five Valkyrie subvariants.
The aircraft measures approximately 30 feet in length, has a 27-foot wingspan and a maximum launch weight of around 6,500 pounds. Its design includes an internal weapons bay and underwing stations.
Production Capacity and Development Challenges
Kratos currently manufactures 150 to 200 tactical and target jet drones annually. DeMarco said shared components and supply chains across these product lines help the company control manufacturing costs. Kratos previously targeted production of 40 Valkyrie airframes annually by 2028.
The programme experienced a setback on August 4, 2026, when an experimental Valkyrie crashed shortly after takeoff at the US Army's Dugway Proving Ground in Utah. No one was injured. Kratos temporarily paused flight testing while investigating the incident. The crash was not discussed during the latest earnings call.
Kratos also reported a record $2.6 billion backlog and $1.04 billion in third-quarter bookings. DeMarco highlighted the company's ability to obtain US State Department approvals and demonstrate the U740 at overseas test ranges as an advantage in international competition.
With the Valkyrie already in production, Kratos is relying on its relatively low price, manufacturing capacity and growing international opportunities to compete in the expanding CCA market.
Main Source : TWZ
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