GBU-12 Paveway II of the Paveway series) are produced by defense contractors Lockheed Martin and Raytheon. Raytheon began production after purchasing the product line from Texas Instruments. Lockheed Martin was awarded a contract to compete with Raytheon when there was a break in production caused by transferring manufacturing out of Texas. "Paveway II" refers specifically to the guidance kit, rather than to the weapon itself. See also GBU-16 Paveway II, where the same guidance unit is fitted to a Mk 83 1,000-lb bomb. The US Department of Defense has upgraded GBU-12 production versions to include GPS guidance modes. Lockheed Martin is the sole
GBU-10 Paveway II Martin and Raytheon. Raytheon began production after purchasing the product line from Texas Instruments. Lockheed Martin was awarded a contract to compete with Raytheon when there was a break in production caused by transferring manufacturing out of Texas. Raytheon production of the Paveway II is centered in Arizona, Texas, and New Mexico. Lockheed Martin production is centered in Pennsylvania. Laser-guided bombs are often labeled as "smart bombs", despite requiring external input in the form of laser designation of the intended target. According to Raytheon's fact sheet for the Paveway 2, 99 deliveries of guided munitions will yield a circular error