South Africa’s Denel Forced Into Strategic Shift – Now Paying Off

Base, Bleeding Out?

Back in July 2005 it was apparent India’s sanctions against Denel and possible disqualification from a $2 billion artillery contract could have a major effect on the South African defense firm as a whole. In August 2005, those sanctions came to pass, barring Denel from a contract it was likely to win and accelerating efforts already underway to radically restructure the firm.

CEO Shaun Liebenberg launched that shift in late 2005 with some frank discussion of the global defense market, and the position of small-medium players like Denel in it. At DSEI 2005 in London, UK, the outline of this new strategy was already apparent. Many of the products Denel is known for will no longer define the firm. But could it find a way to stanch the bleeding and survive in a globalized market?

And how has it done since?

• Denel’s Position
  
• Denel’s New Strategy
  
• Updates and Key Events [updated]
  

India’s Project 75 SSKs: Too Late to Save the Submarine Force?

Scorpene cutaway

India’s submarine fleet currently consists of 16 boats: 10 Russian SSK Kilo (Sindhugosh) Class, 4 locally built SSK U209 (Shishumar) Class, a leased nuclear-powered Improved Akula Class SSN from Russia (INS Chakra), and its own INS Arihant SSBN. Most of the Kilos have been modernized, but readiness rates for India’s existing submarine fleet sits below 40%, and the U209s will have trouble lasting much beyond 2015. With Pakistan acquiring modern submarines, and Chinese submarine building exploding, expanding India’s submarine fleet became an obvious national priority.

In 2005, India confirmed that it would buy 6 Franco-Spanish Scorpene diesel submarines, with an option for 6 more and extensive technology transfer agreements. Unfortunately, 7 years after that deal was signed, “Project 75” has yet to field a single submarine. A poor Indian procurement approach, and state-run inefficiency, are pushing the country’s entire submarine force toward an aging crisis. This DID FOCUS article covers the Scorpene deal and its structure, adds key contracts and new developments, and offers insights into the larger naval picture within and beyond India.

Have Guns, Will Upgrade: The M109A7 Paladin PIM Self-Propelled Howitzer

Before: M109 & M992

The USA’s 155mm M109 self-propelled howitzers (SPH) were first introduced in 1962, as a form of armored mobile artillery that could stand up to the massed fire tactics of Soviet heavy artillery and rockets. They and their companion M992 Armored Ammunition Resupply Vehicles (AARV) have been rebuilt and upgraded several times, most recently via the M109A6 Paladin upgrade.

In the meantime, the Army has re-learned a few home truths. Artillery arrives in seconds rather than minutes or hours, is never unavailable due to bad weather, and cheaply delivers a volume of explosive destruction that would otherwise require hundreds of millions of dollars worth of bombers and precision weapons. Most combat casualties in the gunpowder age have come from artillery fire, and the US Army will need its mobile fleet for some time to come. So, too, will the many countries that have bought the M109 and still use it, unless BAE wishes to cede that market to South Korea’s modern K9/K10 system, or new concept candidates like the KMW/GDLS DONAR. What to do? Enter the Paladin PIM program.

Australia’s M113 APC Family Upgrades

M113A1 & M1A1s, 1AR
(click to expand)

The M113A1 family of vehicles was introduced into service in Australia in the mid 1960s, and arrived in time to see service in Vietnam. Additional vehicle variants were added until 1979, and there are 766 M113A1 vehicles currently in the Australian Army fleet. By February 2005, however, only 520 remained in service.

A number of upgrades have been suggested for Australia’s APCs(Armoured Personnel Carrier) over the years, with a number of different reviews and upgrade proposals submitted. Many of Australia’s M113s remained in the old M113A1 configuration, though some had at least been repaired and overhauled at 25,000 km. Bushmaster wheeled mine-resistant vehicles have replaced some M113s in the ADF, but the M113’s lightweight, tracked, off-road mobility remains important to Australian mechanized formations, and to troops deployed in combat zones. A plan approved in the 1990s involved a “minimum upgrade” of 537 vehicles from 1996-1998, at a cost of about A$ 40 million in 1993 dollars, with a major upgrade to follow. That major upgrade did follow – along with schedule slips, and cost increases from around A$ 594 million to nearly A$ 1 billion.

Jordan’s JBSP Border Security Program

Jordan

In May 2008, the U.S. Army’s Communications and Electronics Command (CECOM) chose DRS Technologies, Inc. in Gaithersburg, MD (since acquired by Italy’s Finmeccanica) for the initial phase of the Jordan Border Security Program. The overall system will include Distant Sentry(TM) mobile and fixed surveillance towers that utilize a variety of Commercial Off-The-Shelf (COTS) sensors, communications between the towers and mobile and fixed Command and Control (C2) Centers, and electronic infrastructure, software, and computing systems for the centers themselves. The Iraqi border is reportedly the focus of the JBSP program, but that country’s borders with Syria are also a concern.

A number of other countries are building or have built similar virtual and/or physical systems, from Saudi Arabia along the Iraq border, to India in Kashmir, to Israel along its hostile borders with Lebanon and the Palestinian Authority. Note, however, that these systems are not a panacea. Israel’s high-tech systems did not detect or prevent the cross-border Hezbollah kidnappings that led to the 2006 war in Lebanon, however, and the US GAO has been less than complimentary concerning Team Boeing’s SBInet system along the USA’s southern border.

Through a Glass, Darkly: Night Vision Gives US Troops Edge

Night raid
(click to view larger)

A USA Today article, dramatically demonstrates the advantage night vision capabilities provide to US troops on the ground in Iraq and Afghanistan.

It was Christmas Eve 2007, and US Army Rangers were searching for suspected Al-Qaeda members in Mosul, Iraq. Using their night vision goggles to avoid alerting the enemy, the Rangers found 2 Al-Qaeda suspects who were holding an 11-year-old Iraqi boy hostage. Thanks to their night vision capabilities, they were able to shoot the suspects without harming the boy. After that encounter, a firefight erupted between the Army rangers and Al-Qaeda insurgents, with 10 insurgents killed, including the head of an assassination cell. Army ranger losses? Zero. As former General Barry McCaffrey, commander of the US Army’s 24th Infantry Division in the 1991 Desert Storm conflict, commented: “Our night vision capability provided the single greatest mismatch of the war.”

It still does. This free DID Spotlight Article will examine how this technology works, how its military application has developed over years, how the technology is used by troops in the field, as well as major contracts for procuring night vision goggles.

All Together Now: Integrating the US Army’s Disparate Air and Missile Defenses

Army IBCS Concept
(click to enlarge)

Interim design review for IBCS completed. (April 26/10)

The US Army awarded a Northrop Grumman-led team a $577 million, 5-year, cost-plus-incentive-fee/ cost-plus-fixed-fee contract to develop the Integrated Air and Missile Defense Battle Command System (IBCS).

Northrop Grumman beat out a team led by Raytheon. The two teams competed in the preliminary design phase of the program.

IBCS is intended to transform the Army’s disparate air and missile defense systems — each with independent sensing, command-and-control and launching capabilities — into an integrated defense capability. The system will enable the Army to manages all of its air and missile defense systems from 1 command-and-control center.

Northrop Grumman’s winning IBCS design is based on a non-proprietary, open architecture approach…

Trident D-5 SLBM Maintenance: Rocket Motors, Guidance

Trident II D-5

Carried on SSBN-726 Ohio Class submarines, The Trident II D-5 is the US Navy’s submarine launched nuclear missile, with exceptional range for a sea-launched weapon and accuracy figures that rival or even exceed land-based ICBMs. These missiles are arguably the most important and effective component of the US nuclear deterrent, and they constitute Britain’s entire nuclear deterrent as well. They were first deployed in 1990, and are planned for continuous deployment to 2042.

The US Navy’s Strategic Systems Programs in Washington, DC and Lockheed Martin recently issued over $100 million in contracts related to the Trident II D-5 SLBMs, in order to maintain their propulsion and guidance systems.

Egypt: F-16s on Hold No More

Egyptian Air Force F-16D

The Egyptian government wants to buy another 24 F-16C/D Block 50/52 aircraft, associated parts, weapons, and equipment to modernize its air force. The October 2009 request, made through the US Defense Security Cooperation Agency (DSCA) to Congress, could be worth as much as $3.2 billion to Lockheed Martin and the other contractors involved. The formal request came a few months after the Obama administration conveyed its support for Egypt’s long-standing request to buy the Block 50/52 aircraft, but the request has been a long-standing source of controversy. Eventually, events in Egypt stalled the contract.

The Egyptian Air Force is the 4th largest F-16 operator in the world, mustering about 195 F-16s of 220 ordered. Their overall fighter fleet is a mix of high-end F-16s and Mirage 2000s, low-end Chinese F-7s (MiG-21 copy) bought from the Chinese, a few F-4 Phantom II jets, and upgraded but very aged Soviet MiG-21s and French Mirage 5s.

Norway’s CV90 Armored Modernization

Norway’s CV90-30
IFV, Afghanistan

In June 2012, Norway began a NOK 10 billion/ $1.68 billion program to upgrade and build CV90 tracked armored vehicles, and field unmanned air and ground vehicles, as part of the Army’s largest military modernization program since the Cold War. When the initial contract is done, Norway’s 103-vehicle CV90-30 fleet, which has served since the mid-1990s will become 144 vehicles serving with the Telemark and Armoured battalions: 74 modernized Infantry Fighting Vehicles, plus 21 reconnaissance, 16 multi-role (mortar carrier or cargo), 15 command & control, 16 engineering vehicles, and 2 driver training models. Delivery is expected between 2015 and 2017.

The upgraded vehicles will incorporate lessons learned from Norwegian operations in Afghanistan, and new internal and external technologies from Norway’s Kongsberg.