Science Applications International Corporation (SAIC) has been awarded a $121.5m contract by the US Marine Corps (USMC) to carry out the engineering, manufacturing, and development (EMD) phase of the amphibious combat vehicle (ACV) 1.1 programme.
The company's ACV 1.1 solution, Terrex 2, was developed along with team member ST Kinetics.
Under the next phase of evaluation for the ACV 1.1 programme, 13 Terrex 2 prototypes will be tested over the next two years.
Fires and Maneuver Integration Division director colonel John B Atkinson said: "ACV 1.1 is the first phase of eventually replacing the assault amphibious vehicle (AAV) with a truly amphibious, armour-protected personnel carrier to support the infantry ashore."
The other prototype is BAE's 8x8 open ocean-capable ACV that is based on a platform developed by Iveco. It is equipped with a new six-cylinder, 700HP power pack for increased power.
BAE will produce 16 ACV prototypes that will be tested by the USMC, beginning in the third quarter of 2016.
The USMC's ACV programme will also include phases that will involve development of recovery vehicles, along with command and control variants of the vehicle.
The programme aims to develop an 8x8 wheeled vehicle that is superior to the AAV and features a precision weapons station for enhanced lethality, and has a robust swim capability to operate within the littorals.
The ACV is scheduled to reach initial operational capability in 2020, while full operational capacity will be achieved in 2023.
Around 204 vehicles from ACV 1.1 will be ready to be deployed for the USMC.