Ukraine–Russia War Spillover

Cheap Iranian Shahed loitering munitions—reportedly produced for roughly $20,000 apiece and launched in large swarm attacks (Axios says nearly 2,000 in the first week)—have overwhelmed defenses and in one strike killed six U.S. service members in Kuwait, exposing major gaps in U.S. drone‑defeat capabilities. In response, the U.S. has reverse‑engineered captured variants, rushed thousands of AI‑enabled Merops interceptors (Axios reports 10,000) that have cut attacks about 95%, and is accelerating development and deployment of lower‑cost directed‑energy systems like AeroVironment’s Locust laser (about $8 million per unit, laser shots roughly $3–$5 each with AI tracking), though export and operational constraints remain.