At only 2.75 inches in diameter, the Direct Attack Guided Rocket—DAGR, pronounced
dagger—is designed to be the bread-and-butter air-to-surface weapon in the US arsenal. It's compatible with every flying thing, very low cost, laser-guided, extremely precise and extraordinarily deadly.
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Source: http://feeds.gawker.com/~r/gizmodo/full/~3/CWd8XfeUmL0/the-smallest-most-precise-missile-in-the-us-arsenal
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