Lockheed Martin’s Big Bet on the Sensor Game and Why It Matters

When Lockheed Martin announced a $233 million contract to produce its next-generation infrared search and track system, the IRST21 Block II, it wasn’t just another procurement win. It’s a marker of how air combat and sensing are evolving quietly, passively, and with a lot more tech underneath the hood.

The IRST21 Block II is a passive sensor system, meaning it detects heat signatures instead of broadcasting signals like a radar does. That makes it harder to detect and easier to hide a big tactical advantage. According to Lockheed, the new Block II version comes with sharper optics, faster processors, and smarter algorithms, all of which boost its ability to detect targets at longer range, track them, and provide data that supports engagements beyond visual range. The contract covers full-rate production: dozens of infrared receivers, inertial measurement units, and processors will be delivered to the U.S. Navy and Air National Guard, with work slated through 2029.

What’s influencing this push? Three major trends:

1. Threats are getting stealthier and more agile. Traditional radar systems are less effective when adversaries use low-observable platforms, advanced jamming, and electronic warfare. Passive sensor systems like IRST become more valuable because they don’t emit signals that draw attention.
2. Sensor fusion and advanced processing are becoming central. The IRST21 Block II exemplifies that move, it’s not just about seeing farther, but about interpreting data faster, correlating multiple sources, and giving the pilot a usable picture under pressure.
3. The market for these sensors is growing fast. For example, one report shows the fighter‑aircraft IRST market was around USD 1.91 billion in 2025 and forecasted to reach USD 2.55 billion by 2030 with ~6% annual growth.

Let’s also look at how IRST21 fits on aircraft and where the competition stands. The IRST21 system is intended for use on platforms such as the F/A‑18E/F Super Hornet. It’s mounted in the nose of the centerline fuel tank and works alongside the aircraft’s AN/APG-79 radar. This mode gives the jet a backup method of detection, especially in radar-denied or heavily contested environments.

On the competitive front, the IRST market is fairly concentrated. Big players like Lockheed Martin join others such as Leonardo S.p.A., Thales Group, and HENSOLDT AG, who all bring optics, infrared detectors, processing, and system integration capabilities to the table. Many of these systems are aimed at new fifth‑ and sixth-generation aircraft, unmanned systems, and even naval platforms.

Why this contract is significant:

• It signals a transition from development to full-rate production, meaning the Navy plans to field IRST21 Block II broadly. That indicates confidence in its maturity and mission‑fit.
• It reinforces how important passive sensing is becoming in modern aerial combat, especially as adversaries improve stealth, jamming and electronic warfare.
• It gives Lockheed Martin a strong position in a growth market that analysts say will keep expanding for years.
• It puts pressure on competitors. The “sensor race” is not just about power, but about subtlety, integration, and speed.

But there are also things to keep an eye on:

• Sensing is one thing; integration is another. Installing the system on aircraft, ensuring reliability in harsh conditions, and making sure pilots can use it effectively under stress remains a challenge.
• As with any new production rollout, timing, testing, and sustainment will matter. If there are delays or reliability issues, the tactical advantage could be delayed.
• Even advanced sensors don’t completely negate other limitations fuel capacity (in the case of the Super Hornet mounting), maintaining stealth in other domains, supply‑chain costs, and evolving threat tech will all keep pressure on. For example, the centerline tank mounting reduced fuel capacity on the F/A‑18E/F.

The IRST21 Block II contract shows a tangible investment by the U.S. military and industry into the future of aerial sensing. It’s not just about a new sensor, but about how air platforms will fight, detect, survive, and win in more complex skies. If you like, I can pull in a deeper comparison of specific competing IRST systems globally (specs, cost, who’s winning where) so we can see how Lockheed’s tech stacks up. Would that be helpful?