BAE to invest internally on new AMPV prototypes

BAE Systems will spend its own money to build new prototypes of its Armored Multi-Purpose Vehicle that incorporate counter unmanned aerial systems detection and targeting, ground autonomy and unmanned turrets, according to a recent company announcement.

The Wednesday announcement reveals a plan to develop “capability kits” to build various advanced versions of the AMPV -- which will replace the Vietnam War-era M113 -- in a move Bill Sheehy, ground maneuver product line director at BAE, said might differ from “a traditional approach to innovating for warfighters.”

“The AMPV is a proving ground for the future of tracked ground combat,” Sheehy said in a statement. “The brand-new platform is coming off a hot production line, and the proven hull is one of the most durable building blocks being delivered to the U.S. Army today. We’re committed to working alongside other technology disruptors at a pace that enhances AMPV’s capability options now, so it’s available for soldiers in a moment’s notice.”

That comes as Senate appropriators last week moved to cut $139 million from the AMPV program in its version of the fiscal year 2026 defense spending bill, which would yield 60 vehicles next year instead of the 86 the Army requested in its own budget materials.

Congressional authorizers, however, added $250 million to buy 38 more AMPVs in spending tables designed to sway the Pentagon’s investments under the $150 billion in defense spending included in the budget reconciliation bill, which passed last month and will yield a $113 billion boost for defense spending in FY-26.

BAE has also invested millions internally into another ground vehicle program, developing an upgraded prototype of the M109A7 Paladin howitzer that integrates a NATO-standard .52-caliber 155mm cannon from Rheinmetall AG into the platform and recently led to a partnership with the Combat Capabilities Development Command Armaments Center (DEVCOM-AC).

Jim Miller, vice president of business development at BAE, told Inside Defense in July that he hopes the company spending some of its own money on the howitzer prototype will lead to its integration into the Army’s “Transforming in Contact” units as the service sets its sights on handing its soldiers heavier vehicles to tool with and provide feedback.