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Industry » Archive by category 'Industry & Trends'
07-Feb-2010 20:30 EST
Related Stories: ABM, Alliances, Americas - USA, Asia - Central, Asia - China, Asia - Other, Australia & S. Pacific, Boeing, Budgets, Contracts - Awards, Corporate Financials, DARPA, Europe - E.U., Europe - France, Europe - Other, Fighters & Attack, General Dynamics, Helicopters & Rotary, Industry & Trends, Issues - International, Logistics, Middle East - Other, Mines & Countermine-IED, New Systems Tech, Northrop-Grumman, Official Reports, Other Corporation, Policy - Doctrine, Pre-RFP, Specialty Aircraft, Submarines, Support Functions - Other, Surface Ships - Combat, Tanks & Mechanized, Transport & Utility, UAVs
04-Feb-2010 18:33 EST
Related Stories: Americas - USA, Asia - India, FOCUS Articles, Industry & Trends, Issues - International, Issues - Political, Middle East - Israel, Missiles - Anti-Armor, Missiles - Anti-Ship, Missiles - Precision Attack, Missiles - Surface-Air, New Systems Tech, Other Corporation, Radars, Russia, Testing & Evaluation

PJ-10 BrahMos
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Major Akash order by India, additional background. (Feb 2/10)
Back in November 2005, The Hindu newspaper reported that India’s government has given the go-ahead for exporting missiles, and that India’s Defence Research and Development Organisation (DRDO) is looking to market several of its products internationally. The DRDO will participate in international expos as part of its marketing strategy, and government officials have claimed interest from African, Gulf and South-East Asian countries. They have also noted, however, that India’s government would be required to approve any foreign sales to specific countries. The missile systems in question included:
- The canceled Trishul (“trident”) short-range surface-air missile (SAM)
- Akash (“sky”) medium-range SAM
- Nag (“cobra”) vehicle-mounted anti-armor missile; and the
- Indo-Russian PJ-10 BrahMos medium-range supersonic cruise missile, which is primarily designed as an anti-ship weapon but can also perform land attack.
03-Feb-2010 20:40 EST
Related Stories: Alliances, Americas - USA, Asia - China, Asia - Other, Britain/U.K., Budgets, C4ISR, Contracts - Awards, Europe - France, Events, Fighters & Attack, Financial & Accounting, Helicopters & Rotary, IT - General, IT - Software & Integration, Industry & Trends, Issues - International, Issues - Political, Laser & EM Weapons, Lobbying, Logistics, Middle East - Other, Missiles - Precision Attack, Missiles - Surface-Air, Other Corporation, Raytheon, Specialty Aircraft, Thales, UAVs
31-Jan-2010 21:24 EST
Related Stories: Alliances, Americas - USA, Boeing, Contracts - Awards, Corporate Financials, DARPA, Environmental, General Dynamics, Helicopters & Rotary, IT - Cyber-Security, Industry & Trends, Issues - Environmental, Issues - International, Issues - Political, Lockheed Martin, Mergers & Acquisitions, Middle East - Other, Other Corporation, Policy - Doctrine, Policy - Procurement, Raytheon, Signals Radio & Wireless, Submarines, Support & Maintenance, Transport & Utility
- US defense firms felt the economic pressure this quarter, as Rockwell Collins’ profits fell 20% and Lockheed Martin’s earnings were flat, notes the Wall Street Journal. Bucking the trend, Raytheon’s profit rose 20% for the quarter.
- Research and Markets: The market for military tactical radio systems is predicted to grow substantially in the coming years. Also, technical issues with JTRS are driving the need for more legacy radios.
- General Dynamics Electric Boat says it will lay off 434 workers at its Groton, CT, shipyard due to lost submarine maintenance, overhaul and repair work.
- USAF is undertaking a massive restructuring of the C-17 Globemaster Sustainment Partnership after 2012, which the service predicts will save $9-12 billion over 30 years.
- The Pentagon is looking to cut its greenhouse gas emissions for non-combat activities, such as buildings and fleet vehicles, by 34% by 2020.
27-Jan-2010 13:39 EST
Related Stories: ABM, Americas - USA, C4ISR, Contracts - Awards, Contracts - Intent, Force Structure, Industry & Trends, Issues - International, Issues - Political, Lockheed Martin, Middle East - Other, Missiles - Surface-Air, Radars, Raytheon, Rumours, Support & Maintenance, Support Functions - Other, Think Tanks, Transformation

Patriot PAC-2
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Nearly $45 million in PAC-3 upgrades for UAE. (Jan 26/10)
A 2007 US National Intelligence Assessment [redacted NIE summary] believes Iran’s nuclear program has stopped, but others, including the United Nations and Israel are more skeptical. Intelligence is always a very uncertain and ambiguous exercise, and occasionally features assessments like the infamous NIE (National Intelligence Estimate) whose 1962 judgment was that there were no Soviet missiles in Cuba [1]. Uncertainty creates perceptions of risk, and perceptions of risk lead to behaviors aimed at reducing that risk. Iraq is no longer a missile/WMD threat, Iran’s regular and Revolutionary Guards air forces remain relatively weak, and Iran’s ballistic missiles based on North Korean designs lack accuracy. Still, even a lucky conventional missile could create havoc in some Gulf states if it hit important oil-related infrastructure, or hit the larger and more nebulous target of business confidence.
Arms spending is an incomplete but very concrete way of tracking a state’s real assessment of threats and priorities. It’s becoming clear that Gulf states, including Saudi Arabia, have stepped up their defense spending in recent years. Those expenditures cover a range of equipment, but anti-ballistic missile capabilities appear to be rising to the top of the priority list.
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20-Jan-2010 17:03 EST
Related Stories: Corporate Financials, EADS, Helicopters & Rotary, Industry & Trends

EC725 SAR/SOF
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Eurocopter recently reported its 2009 figures, and offered forecasts for 2010. While Robinson is far and away the leading global helicopter builder by numbers, Eurocopter is generally accepted as the #1 firm when measures include order value, competition across multiple major segments, etc. This makes their fate and forecasts an interesting bellwether for the sector.
In general, the global economic crisis has hammered the civil market for light helicopters, and the firm sees continuing weakness and further production scale-backs in 2010. On the other hand, the firm is seeing a significant uptick in military orders (48% of sales in 2009), thanks to the demands of counter-insurgency warfare, and the natural aging and replacement cycle drive new purchases around the world.
2009 civilian and military orders were placed for 344 production helicopters as follows:
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17-Jan-2010 07:20 EST
Related Stories: BAE, Britain/U.K., Contracts - Awards, Fighters & Attack, Industry & Trends, Logistics Innovations, Procurement Innovations, Spotlight articles, Support & Maintenance, Transformation

New dawn?
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Implementation of Britain’s “future contracting for availability” approach of paying for machines in service, rather than parts and hours, generally involves a phased set of contracts and agreements. As each party’s understanding the risks and demands grow, the contract’s complexity and comprehensiveness grow as well, and the framework moves closer and closer to the desired goal of a full availability contract. “Britain Hammers Out Through-Life Support Framework for Tornado Fleet” described how this approach works on the ground, and talked about some of the keys to success. “UK’s “Contracting for Availability” Adds Hawks, Looks Ahead” mentioned the MoD’s March 2007 Long Term Partnering Agreement Foundation Contract with BAE Systems, which aims to place all British military aircraft under this kind of framework.
In late 2007, the UK’s Eurofighter Typhoon fleet entered Quick Reaction Alert service with the RAF, and began flying with new ground-attack capabilities [MoD | BAE]. In step with its growing operational responsibilities, the the Typhoon fleet began moving toward an availability contracting maintenance model. A 5-year contract signed in March 2009 accelerated that shift, and the Typhoon Availability Service has begun operations.
Recent events include the addition of a billion-dollar availability-based contract to maintain the fleet’s engines…
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13-Jan-2010 11:53 EST
Related Stories: Americas - USA, Blimps & LTA Craft, Contracts - Awards, DARPA, Design Innovations, Expeditionary Warfare, FOCUS Articles, Industry & Trends, Lockheed Martin, Logistics, Logistics Innovations, Materials Innovations, New Systems Tech, Other Corporation, Power Projection, Testing & Evaluation, Transformation, Transport & Utility
The Walrus heavy-transport blimp (“heavy” as in “1-2 million pounds”) was among a range of projects on the drawing board in the mid ‘00s. It offered the potential for a faster and more versatile sealift substitute. The Defense Advanced Research Projects Agency (DARPA) funded phase 1 contracts, but things seemed to end in 2006. Yet the imperatives driving the need for Walrus, or even for a much smaller version of it, remain. Is the Walrus dead? And could it, or a Hybrid Ultra Large Aircraft (HULA) like it, rise again?
Recent presentations and initiatives in several US armed services indicate that it might…
11-Jan-2010 17:05 EST
Related Stories: Americas - USA, Industry & Trends, Northrop-Grumman

A capital idea?
On Jan 4/10, Northrop Grumman Corp. announced that it would be moving its corporate headquarters from Los Angeles, CA to the Washington, DC area. The new corporate office will include approximately 300 people, and the firm plans to complete its location search by spring 2010, and open the new corporate office by summer 2011.
In response, the Washington Post’s Steve Pearlstein pens “When aerospace is under Washington’s wing,” which sees the move in a surprisingly negative light. “While all this is great for the Washington economy, I wonder, however, whether it’s really good for America.” He notes that the firm already has a major presence in Rosslyn, VA near Capitol Hill, and sees the move as indicative of a larger change within America’s aerospace industry. Pearlstein argues that the American aerospace and defense industry is taking fewer risks, appointing different kinds of people to leadership positions, and coming to focus on the political challenges and processes as much as, if not more than, the engineering. It’s a charge echoed by Aviation Week’s Anselmo & Velocci in their recent article “CEO Class of 2010.”

While Northrop Grumman will retain over 30,000 employees in California, Pearlstein wonders if being far away from most of the key people who design and produce its non-ship platforms will have a negative long-term impact on the firm. The contrary view is expressed by a former executive:
“They’ve forgotten what made us great…. If you really valued innovation, if you cared about quality and reliability and systems engineering, then you’d say: ‘Don’t come to Washington. Stay close to the people who are actually designing and producing. Challenge them, inspire them, lead them. The rest will take care of itself.’ “
07-Jan-2010 20:48 EST
Related Stories: Americas - USA, Asia - China, Britain/U.K., Budgets, C4ISR, EADS, Europe - E.U., Events, FOCUS Articles, GPS Infrastructure, IT - Cyber-Security, Industry & Trends, Interoperability, Issues - International, Issues - Political, Lobbying, New Systems Tech, Official Reports, Other Corporation, Project Failures, Projections & Assessments, R&D - Contracted, Satellites & Sensors

Galileo concept
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The European Union is cooperating with a number of outside investors to replace the USA’s free Global Positioning System service with an alternative under their own control. In addition to civilian GPS (the Open Service), services to be offered include a paid Commercial Service (with accuracy greater than 1 meter), and a Public Regulated Service (PRS)/ Safety of Life Service (SoL) for use by security authorities (police, military, etc.) and safety-critical transport applications (air-traffic control, automated aircraft landing, etc.). PRS/SoL aims to offer Open Service quality, with added robustness against jamming and the reliable detection of problems within 10 seconds.
Organizational issues and shortfalls in expected progress pushed the “Galileo” project back from its originally intended operational date of 2007 to 2014 – and doubts persist in several quarters about its economic model, even as security issues arise regarding China’s COMPASS project. After a public-private partnership model failed to agree among themselves or with the EU’s desired terms, the organization gained initial-stage approval for its plan to finance the program with tax dollars instead of the expected private investments. Political issues were overcome, albeit with some protest, by raiding other EU accounts for over EUR 3 billion (about $5.35 billion) in funds, rather than asking for more money from member states.
The latest set of updates cover developments in Galileo, and in related programs like GIOVE and EGNOS. While the project’s base funding is now more secure, its ability to remain within budget will be tested. Recent events include over EUR 1 billion in contracts…