KNDS and Leonardo Set Aside Rivalry to Capture Italy’s Heavy Firepower Market

A KNDS Artillery Gun Module mounted on the General Dynamics European Land Systems 10×10 Piranha Heavy Mission Carrier (HMC). Image – KNDS/GDELS

Europe’s artillery heavyweights are lining up for Italy’s next big land-forces upgrade, and KNDS and Leonardo want to be at the front of the queue.

The Franco-German group KNDS and Italy’s Leonardo have signed a Letter of Intent to jointly offer a new wheeled 155 mm artillery system to the Italian Army, targeting Rome’s long-anticipated modernization of its medium-range fires capability. The plan is straightforward and deliberately low-risk: combine KNDS’s combat-proven gun technology with an Italian-built, protected vehicle platform and domestic systems integration.

If that sounds familiar, it’s because both companies are playing directly to their strengths.

On the KNDS side, the offering draws on decades of artillery pedigree. Through Nexter and Krauss-Maffei Wegmann, KNDS sits behind some of Europe’s most widely used modern gun systems, including the CAESAR family and the remotely operated Artillery Gun Module (AGM) that underpins concepts like the RCH-155. These systems are defined by automation, shoot-and-scoot mobility, and compatibility with NATO-standard 155 mm ammunition—attributes Italy is actively seeking as it refreshes its indirect fire forces.

Leonardo’s role is equally deliberate. While the company is best known internationally for electronics, sensors, and naval guns, its land-systems DNA runs deep through the former OTO Melara business. Italy’s historic Palmaria 155 mm turret, along with decades of gun, ammunition, and fire-control development, all sit in Leonardo’s lineage. More recently, the company has been pushing back into the land-artillery space with new 155 mm turret concepts and long-range ammunition work, including integration paths for its Vulcano family.

Put together, the partnership promises a largely European—and critically Italian—artillery solution that can be tailored to national requirements rather than adapted from a foreign off-the-shelf design.

Italy’s Army has been clear about the direction of travel: lighter, more mobile formations with modern fires that can keep pace with NATO operations. Wheeled self-propelled howitzers fit that bill, offering deployability and lower sustainment costs compared to tracked systems. Just as important, Rome has shown a strong preference for keeping defense industrial work at home or within close European partnerships.

That makes a Leonardo-led bid, backed by KNDS firepower, politically and industrially attractive—especially at a time when supply-chain resilience and production capacity are just as important as pure performance.

This isn’t the first time KNDS and Leonardo have found common ground. Earlier this year, Leonardo DRS teamed with KNDS around the CAESAR system for a US Army competition, signaling a broader willingness to collaborate across land warfare programs. The Italian artillery effort looks like a natural extension of that relationship, this time with Leonardo in the driver’s seat.

From left Florian Hohenwarter, CEO of KNDS Deutschland – Roberto Cingolani, CEO of Leonardo. Image – Leonardo

Why is this a big deal? Because a year ago, talks to build the Leopard 2A8 tank together collapsed spectacularly in mid-2024 over “Italianization” disputes. Leonardo wanted more local electronics; KNDS wanted standardized logistics. Leonardo rebounded by running into the arms of Rheinmetall. But business is business. KNDS needs the Italian market, and Leonardo needs a proven automated turret now rather than developing one from scratch.

However, the challenge, of course, is competition. Italy’s program is expected to draw interest from across Europe and beyond, including tracked and wheeled solutions from Germany, South Korea, and Israel. Systems like the K9 family, Rheinmetall’s artillery offerings, and other truck-mounted howitzers are all likely to be in the conversation.

KNDS and Leonardo’s edge won’t be novelty, it will be familiarity, speed, and industrial credibility. The companies aren’t promising a revolutionary new gun; they’re offering a proven artillery core wrapped in an Italian-built, Italian-supported package.

Ultimately, this deal signals that while European defense integration remains complex, the necessity of rearming the continent is forcing former rivals to find pragmatic ways to work together. Whether it wins will come down to price, performance, and politics—but as opening moves go, KNDS and Leonardo have placed a very solid round on target.

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A military history enthusiast, Richard began at Forecast International as editor of the World Weapons Weekly newsletter. As the Internet grew in importance as a research tool, he helped design the company's Forecast Intelligence Center and currently coordinates the EMarket Alert newsletters for clients. Richard also manages social media efforts, including two new blogs: Defense & Security Monitor, covering defense systems and international issues, and Flight Plan, which focuses on commercial aviation and space systems. For over 30 years, Richard has authored the Defense & Aerospace Companies, Volume I (North America) and Volume II (International) services. The two books provide detailed data on major aerospace and defense contractors. He also edits the International Contractors service, a database that tracks all the contractors involved in the programs covered in the FI library. More recently he was appointed Manager, Information Services Group (ISG), a new unit that encompasses developing outbound content for both Forecast International and Military Periscope.

About Richard Pettibone

A military history enthusiast, Richard began at Forecast International as editor of the World Weapons Weekly newsletter. As the Internet grew in importance as a research tool, he helped design the company's Forecast Intelligence Center and currently coordinates the EMarket Alert newsletters for clients. Richard also manages social media efforts, including two new blogs: Defense & Security Monitor, covering defense systems and international issues, and Flight Plan, which focuses on commercial aviation and space systems. For over 30 years, Richard has authored the Defense & Aerospace Companies, Volume I (North America) and Volume II (International) services. The two books provide detailed data on major aerospace and defense contractors. He also edits the International Contractors service, a database that tracks all the contractors involved in the programs covered in the FI library. More recently he was appointed Manager, Information Services Group (ISG), a new unit that encompasses developing outbound content for both Forecast International and Military Periscope.

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