Oshkosh may still be basking in the glow of winning the contract to produce the US military's joint light tactical vehicle, but now, tax payers are getting an idea of just how much each of these trucks cost.
As we reported yesterday, the initial contract for low-rate initial production and full-rate production was valued at $6.7 billion, although over the lifetime of production, the cost would likely run about $30 billion. According to a story on Defense One, Army officials said the average price of each truck would be below $399,000. And if that sounds dear, take solace in the fact that that figure includes a full complement of battle equipment.
As for how it compares to the Humvee, a 2011 report from CNN indicated that a basic model cost Uncle Sam around $70,000, although that figure ballooned to $160,000 to $220,000 once armor was fitted. So while the JLTV could be thought of as costing at least $180,000 more than its predecessor, it's worth noting that the new vehicle should be far more survivable than the modified Humvee.
Of course, that may change, and sooner rather than later. It's widely expected that both AM General and Lockheed Martin will contest the Pentagon's decision. And as Defense One reports, that will delay us from finding out just why Oshkosh's design was chosen over that of its rivals. If the Wisconsin-based company's bid survives that process, a final decision on full-scale production is expected by 2018.