Kongsberg to Acquire 90% Stake in ERAM Manufacturer Zone 5 Technologies

Acquisition of Zone 5 Technologies by Kongsberg Defence & Aerospace

Strategic Partnership to Enhance Missile Production

Kongsberg Defence & Aerospace has announced a significant move in the defense sector, planning to acquire 90% of the shares in Zone 5 Technologies, a US-based firm. This acquisition, which was publicized in late December 2025, aims to bolster Kongsberg’s capabilities in the design and production of mass-producible cruise missile systems.

Geir Håøy, CEO of Kongsberg, emphasized that this strategic acquisition positions the company at the forefront of developing cost-effective missile technology that can be manufactured at scale.

Expanding Air Defense Capabilities

Kongsberg asserts that this acquisition will enhance its comprehensive air-defense portfolio, which is designed to protect against a myriad of threats including:

  • Unmanned Aerial Vehicles (UAVs)
  • Ballistic missiles
  • Cruise missiles

Such an expansion is seen as essential, given the evolving dynamics of aerial warfare and the increasing proliferation of advanced missile systems.

Contracts with the US Government

Zone 5 Technologies has made significant inroads within the US defense sector, securing contracts for key programs overseen by various government entities. Notably, the company has been selected for:

  • The US Air Force’s Extended Range Attack Munition (ERAM)
  • The Family of Affordable Mass Missiles (FAMM)
  • The Defense Innovation Unit’s flight-testing of low-cost kill systems aimed at countering larger UAVs

In September 2025, officials from the Armament Directorate within the USAF’s Air Force Materiel Command indicated that Zone 5 Technologies and CoAspire were the exclusive vendors for the ERAM project. A representative from Zone 5 had previously communicated that their Rusty Dagger air-launched cruise missile serves as the foundational platform for their ERAM variant.

Impact and Future Direction

As of January 5, a spokesperson from Zone 5 Technologies refrained from providing comments on the implications of the Kongsberg acquisition, particularly concerning corporate structure and future operations.

This acquisition represents a notable development in the competitive landscape of defense manufacturing, with Kongsberg aiming to leverage Zone 5’s technological innovations and existing contracts to enhance its product offerings and position in the global market.

Further Learning and Insights

For defense professionals seeking deeper insights into the implications of this acquisition and its significance within the broader context of missile technology and air defense capabilities, access to validated data, military capabilities, and market trends is available through specialized platforms focused on defense analysis and reporting.

By examining these developments, stakeholders can gain a clearer understanding of the evolving landscape and prepare for future challenges in air defense and missile production.

Turkey’s Defense Spending Trends Upward in 2026

0
Turkey's Defense Budget Increase for 2026: Strategic Implications Overview of the Increased Defense Allocation Turkey has approved a substantial defense and security budget of approximately $27.34...