Faster and more maneuverable than the standard TIE fighter, the TIE Interceptor is the legacy of advances developed for Darth Vader's TIE Advanced X1 Prototype. The TIE interceptor uses the standard TIE cockpit, drive pod and wing braces. The solar panels appear to be "dagger-shaped," making the interceptor far more intimidating, while giving the ship a smaller profile than the X1 which makes it harder to target.

The TIE interceptor has more powerful drives than the standard TIE, and is almost as fast as the Alliance's A-wing fighter. The TIE interceptor uses a new type of ion stream projector allowing pilots to execute tight turns and rolls. Twin-port deflectors can be manipulated individually for fine control and counter-balancing, making the TIE interceptor a superior choice for dogfights against Rebel ships.

The standard version of the ship has four laser cannons, one at the end of each solar panel (although experimental variants have included more), and advanced targeting equipment gives the pilot great firing accuracy. Like other TIE fighters, the interceptor has little armor plating and no shield generators. Interceptor pilots rely on their ship's maneuverability and superiority of numbers to survive engagements with better armed and armored Rebel fighters.