During the Gulf War, M2 Bradleys destroyed more Iraqi armored vehicles than the M1 Abrams.[22] A total of 20 Bradleys were lost—three by enemy fire and 17 due to friendly fire incidents; another 12 were damaged. The gunner of one Bradley was killed when his vehicle was hit by Iraqi fire, possibly from an Iraqi BMP-1, during the Battle of 73 Easting.[23] To remedy some problems that were identified as contributing factors in the friendly fire incidents, infrared identification panels and other marking/identification measures were added to the Bradleys.

In the Iraq War, the Bradley proved vulnerable to improvised explosive device and rocket-propelled grenade attacks, but casualties were light with the crew able to escape. In 2006, total losses included 55 Bradleys destroyed and some 700 others damaged.[24][25] By 2007, the Army had stopped using the M2 Bradley in combat, instead favoring more survivable MRAPs.[8] By the end of the war, about 150 Bradleys had been destroyed.[26]