The first problem with the JLTV is the cost. Although, DOD has not been public with a definitive cost because it is too early in the development process. The FY2011 Budget Request for JLTVs is $172.1 million for Army Research, Development, Test and Evaluation (RDT&E) and $71.8 million for Marine Corps RDT&E, for a program total of $243.9 million. However, some analysts suggest that the JLTV program will cost well over $10 billion and possibly as much as $30 to $70 billion, depending on the final cost of the vehicles and the number procured. Currently, the cost per unit is estimated at about $320,000 per vehicle, a figure that the Marines believe is too high. While some consider this cost high, an up-armored HMMWV with a fragmentation kit costs around $200,000, a MRAP costs between $430,000 to $900,000 and the M-ATV, about $1.4 million with special equipment and vehicle transportation costs factored in.
So how does that compare to the cost of the alternatives like the HMMWV recap program? AM General LLC in Mishawaka, IN received a maximum $67 million firm, fixed price contract for services and part support for 1,098 National Stock Numbers (NSNs). This is in support of the HMMWV Recap program to completely rebuild HMMWVs for the US Army. This program currently in place at Red