Cost Analysis

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As in any design project, cost estimation is difficult at best. For actual hardware, like the engine which is already in existence, reliable cost data can be found. Much more difficult to estimate are the research and development costs as well as those of labor, tooling, maintenance, etc. Nonetheless, a reasonably accurate determination of the initial and operational costs of the Storm Shadow was found using cost models and advice from experts in the field.

The results of this analysis are portrayed in the following chart. With an estimated initial cost of $5.25 million and a life cycle cost of $7.14 million, the Storm Shadow comes in well below the $8 million ceiling specified in the RFP.

Cost breakdown per aircraft
Cost breakdown per aircraft




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