Deloitte Forecasts Stable Global Aerospace Growth Thanks to Passenger Traffic

• Consulting firm Deloitte released its annual aerospace and defense industry outlook [PDF] which projects more of the same: strong commercial aerospace growth and defense decline, at least until the next significant war. Note to Deloitte: the verdict is already out on whether the UK will use a privately contracted model for their defense procurement: they won’t.

AWACS: Expensive for Boeing

• Boeing will pay Turkey about $600M in penalties on a $1.6B contract for 4 E-737 AWACS planes. The E-737 had a number of problems with its radar and systems that led to long delays, and Boeing also ended up paying substantial penalties to lead customer Australia.

Iraq in Shambles

• Just short of a decade after the Battle for Fallujah [PDF]: Qaeda makes gains in Iraq city after days of violence | Iraq Violence With al-Queda Ties Adds to Pressure on U.S..

China: Watch the Smaller Boats Too

• China ordered Zubr hovercraft in 2006, and received the 1st one last year. Sea trials took place last month, and Shenzhen Television reports that these ships will enable China to deploy troops faster to contested islands in the East and South China seas. China is also developing a new multirole assault ship. The very visible Liaoning carrier and its battlegroup (pictures), which just came back from a training mission, should not overshadow China’s acquisition of less glamorous but essential logistics-focused ships.

Poland: Integrated Command

• Polish Defence Minister Tomasz Siemoniak introduced a new general command encompassing all the services.

NSA Update

• Der Spiegel recently wrote about the NSA’s Tailored Access Operations (TAO) which it described as a “hacking unit.” Security expert Bruce Schneier provides additional links on the NSA’s backdoor-exploiting toolset, followed by a discussion thread discussing some of the ethical and practical ramifications of both NSA tactics and their public disclosure.

Fuel Efficiency for Army Vehicles

• Today’s video comes from the US Army Tank Automotive R&D Center (TARDEC) and shows the FED Alpha vehicle [PDF] they have been developing for about 5 years to demonstrate fuel efficiency improvements for an M-113 type of infantry vehicle:

India Cancels VVIP Helo Contract

• The Indian government announced the termination “with immediate effect” of a contract for 12 VIP helicopters with AgustaWestland under investigation in India and Italy for alleged corruption. However the government also seems to have changed their mind and appointed an arbitrator, in line with an earlier request from the company and even though the government says in the same breath that “integrity-related issues are not subject to arbitration”.