The Australian Department of Defence announced April 10 that it has picked Raytheon [RTN] Australia to develop a short-range, ground-based air defense system.

The department plans to spend up to $2 billion Australian ($1.5 billion U.S.) to provide the capability to its army. The system will be based on the existing National Advanced Surface to Air Missile System (NASAMS), which is in service in the United States and several other countries.

NASAMS High Mobility Launcher Photo: Raytheon
NASAMS High Mobility Launcher
Photo: Raytheon

“Australia’s current short-range capability is 30 years old and due to be retired early next decade,” Australian Defence Minister Marise Payne said in a statement. “The replacement system will provide improved protection for our deployed servicemen and women.”