Updated
Updated · The Washington Post · Sep 9
Covenant Wins $150 Million in Cruise Missile Orders as U.S. Stockpiles Run Short
Updated
Updated · The Washington Post · Sep 9

Covenant Wins $150 Million in Cruise Missile Orders as U.S. Stockpiles Run Short

3 articles · Updated · The Washington Post · Sep 9

Summary

  • $150 million in orders will let Covenant begin delivering its low-cost, long-range cruise missiles in 2027, the Peter Thiel-backed startup said Wednesday.
  • The pitch is mass-produced cruise missiles at lower cost as the U.S. faces a weapons stockpile shortage tied to its conflict in Iran.
  • Covenant had already opened a 105,000-square-foot Dallas factory and said earlier Wednesday it aims to produce 1,000 missiles in the first quarter of 2027, scaling to 5,000 annually.
  • The company emerged from stealth with more than $250 million in funding and Department of Defense deals, underscoring investor and Pentagon interest in cheaper, high-volume strike weapons.

Insights

With production starting in 2027, can a startup's budget missile truly dethrone legacy defense giants in modern warfare?
What hidden compromises in precision or survivability allow this new cruise missile to be mass-produced so cheaply?
How will global military strategies shift when thousands of affordable, heavy-payload cruise missiles flood the market next year?