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Designed as a replacement for the M203 grenade launcher, the XM29 OICW (Objective Individual Combat Weapon) was a cutting-edge weapon system that fully integrated both an assault rifle and a grenade launcher into a single weapon.

The XM29 OICW was a prototype weapon produced by Heckler and Koch designed to increase the combat effectiveness of an individual soldier by providing the soldier with a weapons system that included a selective fire assault rifle derived from the Heckler & Koch G36 that fired 5.56 Kinetic Energy rounds and a semi-automatic 20mm grenade launcher. The weapon included a top-mounted computer-assisted sighting system with a built in laser rangefinder, thermal vision, night vision and up to 6x optical zoom.

The grenade launcher is fed from a 6-shot magazine in a bullpup configuration. It can launch the 20mm grenades up to 1000 meters with good accuracy. Unlike previous dual weapon systems, the grenade launcher is mounted on top of the assault rifle.

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