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Ongoing Story· Day 30

Israel Loses Apache Helicopter Deal Due to Budget Delays

14 developments

IceSecurity

Israel To Purchase 12 Apache Attack Helicopters For $1 Billion

Translated & summarized from Ice by baba

BusinessNeutral tone

Hebrew · 7 newsrooms covering

Israel's Ministry of Defense has agreed to purchase 12 new AH-64E Apache attack helicopters for about $1 billion, reversing a prior plan to reduce the fleet. The decision follows lessons learned from the October 7th attack and the ongoing war, highlighting the importance of combat helicopters. The deal is part of a larger US-approved acquisition allowing for up to 30 helicopters, though only 12 are currently ordered. Deliveries are slated to begin in the early 2030s.

The story in 6 lines · by baba

  • Israel will buy 12 new AH-64E Apache attack helicopters for approximately $1 billion.
  • The purchase reverses a previous IDF plan to reduce its combat helicopter fleet.
  • The decision was influenced by lessons learned from the October 7th Hamas attack and the ongoing war.
  • The deal is part of a larger US approval for up to 30 Apache helicopters.
  • The new helicopters feature advanced technology and integration with drones.
  • Deliveries of the new Apache helicopters are expected to start in the early 2030s.
Israel To Purchase 12 Apache Attack Helicopters For $1 Billion
Editorial illustration generated by baba News, not a photograph of the event.

The Israeli Ministry of Defense has signed a deal to acquire 12 new AH-64E Apache attack helicopters, a significant reversal of previous plans to reduce the combat helicopter fleet. The acquisition is valued at approximately $1 billion.

Prior to the October 7th Hamas attack, the Israeli Air Force had considered downsizing its Apache fleet, potentially closing one squadron, as part of a broader shift in military priorities. However, the subsequent war has led the IDF to conclude that combat helicopters are crucial for providing rapid firepower, especially in response to border incursions and for close air support to ground forces.

The current deal for 12 helicopters is part of a larger potential acquisition approved by the United States, which allows Israel to purchase up to 30 AH-64E helicopters along with associated equipment for a maximum of $3.8 billion. While Israel has only committed to the initial 12, the US approval leaves the door open for future expansion.

This purchase comes despite ongoing warnings from the defense establishment about budget shortfalls for military modernization, including disputes with the Treasury over funding for other acquisitions like refueling tankers and heavy transport helicopters. To facilitate this Apache deal, the government approved a budget of just over 1 billion shekels, alongside adjustments and payment deferrals for other defense contracts.

The deal nearly fell through days before signing due to Israel missing an order deadline and struggling to secure approximately $288 million needed to complete the transaction. Boeing had prepared to offer the production slots to another customer. However, a new financing plan emerged, reviving the deal.

Technologically, the AH-64E variant represents a significant upgrade, featuring advanced radars and sensors, enhanced defensive systems, and the capability to integrate with unmanned aerial vehicles (UAVs). This allows the helicopters to share information with drones and operate effectively in a mixed manned and unmanned battlefield. Deliveries are not expected to begin until the early 2030s.

IceOther · Tel Aviv

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