Back to news

January 19, 2021 | International, Aerospace

Aerovironment buys Arcturus UAV in $405M deal

By:

WASHINGTON — Aerovironment, a leading supplier of unmanned aircraft systems to the U.S. military, has purchased Arcturus UAV for $405 million. Arcturus is currently competing for a $1 billion Army contract to replace the Shadow tactical unmanned aircraft system.

Arcturus, which was founded in 2004 in California, specializes in Group 2 and 3 UAS, which run the gamut between drones over 20 pounds and under roughly 1,300 pounds.

Army units are evaluating Arcturus' Jump 20 UAS. The drone is competing against Martin UAV and Northrop Grumman's V-Bat, Textron's Aerosonde HQ, and L3Harris Technologies′ FVR-90.

The Jump is a multimission, medium-endurance, vertical-takeoff-and-landing system that can become airborne independent of a runway. Arcturus also makes the T-20, a multimission, medium-endurance, catapult-launched system.

The Army is moving toward a final request for proposals with its Future Tactical UAS program that will replace the Shadow UAS, so the sale of Arcturus to a much larger UAV company is timely.

Aerovironment did not have a path to Group 3 UAS, and bringing Arcturus into the fold fills that gap. According to those following the industry, Aerovironment has products that, when integrated into Arcturus' capabilities, could make for attractive future systems.

Being acquired by a larger company like Aerovironment would also help the company become a more serious contender in the Army competition by building up its manufacturing capability to radidly produce UAS in large quantities, which the Army would require if the Jump is selected.

The total purchase price of the sale is a combined $355 million in cash and $50 million in Aerovironment stock, according to a Jan. 13 news release.

Arcturus previously supplied UAS to U.S. Special Operations Command's $1.4 billion MEUAS III and IV programs, the release noted.

“We are excited about the opportunities for value creation through our acquisition of Arcturus UAV, which will enable us to accelerate our growth strategy and expand our reach into the more valuable Group 2 and 3 UAS segments,” Wahid Nawabi, AeroVironment president and CEO, said in the statement.

“Group 2 and 3 UAS and services, collectively, potentially represent more than one billion dollars in annual contract value, according to an independent forecast,” he added. “Combining our highly complementary products and technologies will enhance our portfolio, deliver top and bottom-line growth, and enable us to provide customers with a complete set of Group 1 through 3 UAS, tactical missile systems, high-altitude pseudo-satellites and unmanned ground vehicle solutions.”

With Aerovironment, “we will have greater scale, expanded resources, cutting-edge technology and superior capabilities to meet the growing global demand for our products and solutions,” D'Milo Hallerberg, Arcturus UAV president and CEO, said in the statement. “We are confident that with AeroVironment, we can accelerate our growth as part of a larger, more diverse company and look forward to working closely with the team to complete this exciting transaction.”

The transaction is expected to be complete by the final quarter of fiscal 2021, and Arcturus will operate as a wholly owned subsidiary of Aerovironment.

https://www.defensenews.com/land/2021/01/15/aerovironment-buys-arcturus-uav-405m-deal/

On the same subject

  • Fewer Threats, More Bandwidth: DISA Awards $199M For Cloud Browsing

    September 16, 2020 | International, Naval, Other Defence

    Fewer Threats, More Bandwidth: DISA Awards $199M For Cloud Browsing

    KELSEY ATHERTON Leaving the browser and its history in a virtual environment spread across any number of servers makes it harder for adversaries to target the military's actual computers or tablets. ALBUQUERQUE: The Defense Information Systems Agency awarded $198.9 million for a Cloud Based Internet Isolation contract to Menlo Security and By Light, the agency announced today. DISA hopes Menlo Security's tech can, by keeping downloads in the cloud, reduce harmful downloads across the entire Pentagon workforce. By keeping browsing inside the cloud, the program will save on bandwidth, and protect against the department's 3.5 million users accidentally downloading malware. It is a kind of “air-gapping,” the style of computer security that keeps networks safe by making sure that computers are not physically connected at all times. Leaving the browser, and all its contained history, in a virtual environment in any of a number of servers makes it harder for adversaries, be they criminals, nonstate actors, or nations, to target the actual computers or tablets used by the military. Internet browsing is mostly downloading files directly to the end-user's computer or mobile device. What the Cloud Based Internet Isolation (CBII) does is make sure that all that downloading happens, not on the end user's computer, but instead in a remotely secured server. “The remote worker will perform the task of going to their net or an Internet based application, that fetch and execute,” Menlo Security VP Mike Fraga says. What is different is that, instead of downloading directly onto the user's device, “getting the information and actually queuing is done in a disposable container in Menlo cloud. And so then we replicate what's happening on the application or the internet down on a remote workers device.” In essence, CBII promises to do all this while making the user experience virtually indistinguishable from having the browser directly running on the computer. Users are functionally interacting with an image of a browser window, instead of the browser itself, but that illusion should be imperceptible. “That's going to significantly reduce the risk in the attack surface,” said By Light VP Jason Cole, “alleviating all the congestion at those Internet access points.” For security purposes, this means that instead of monitoring all traffic for harm on every device, the Pentagon can instead look at the connection between computers and clouds. If a piece of malware was downloaded, it becomes a much smaller haystack of files for the forensics team to go through, since downloading to a computer becomes an active choice, instead of the passive function of browsing. Many of the normal conveniences of browser-based functionality are continued within Menlo's cloud-based environment. Instead of users having to log in anew to every site they visit every time they load the remote cloud, the software “maintains an encrypted cookie-jar in our cloud for each user that largely mirrors how the user's native browser handles cookies,” said Kowsik Guruswamy, Menlo Security CTO. “When a user navigates to a site, Menlo injects the user's site-specific cookies into the isolated browser so they can stay logged in,” Guruswamy continued. “The encryption key for each user's cookie jar is stored in their own browser, such that only they can unlock the contents.” Beyond the security of the environment, the move to cloud-based browsing also promises an overall savings in data use. “We're estimating about a 20% bandwidth reduction for any general web browsing, but then a 50 to 70% bandwidth reduction for streaming media,” said Cole. That savings is valuable everywhere, and is especially valuable in areas where bandwidth is already constrained, like on ships underway or at remote bases with low connectivity. Even in more domestic settings, the pandemic-induced shift to remote work often means users have to send data back through company-owned network infrastructure for security reasons, which eats up time in the process, and comes with risks. “I think companies overall are struggling with not only the latency so that their end users can have a good experience to accomplish their job, but gaps in security based on all that backhauling, and there's some blind spots there,” said Fraga. The servers are, like much of the cloud infrastructure available today, provided through Amazon Web Services. Menlo's approach is already in use with banks like JPMorgan Chase, HSBC, and AmEx. “Isolation overall is an innovative technology,” said Fraga. Isolation, in the fashion promised by cloud-based browsing, is a preventative technology. It reduces the number of paths into computers, making it easier for other detection solutions to find the fewer threats that might slip through. https://breakingdefense.com/2020/09/fewer-threats-more-bandwidth-disa-awards-199m-for-cloud-browsing/

  • La France réoriente ses exportations d'armes vers l'Europe

    June 3, 2020 | International, Land

    La France réoriente ses exportations d'armes vers l'Europe

    En 2019, 45 % des commandes d'exportations françaises d'armement, soit 3,47 milliards d'euros, ont été réalisées avec des partenaires européens (42% avec un pays membre de l'Union) contre 25% en 2018 et de 10% à 15% les années précédentes. «Nous avons fait le choix de l'Europe», écrit la ministre des Armées, Florence Parly, dans le rapport au Parlement sur les exportations d'armement rendu public mardi. «Il s'agit de créer des partenariats, de favoriser les coopérations et l'interopérabilité de nos armées avec en ligne de mire la volonté d'agir ensemble. C'est cela l'Europe de la défense». Les Echos, Le Figaro et Le Monde du 3 juin

  • Artillery Ammunition for Spanish Army: Rheinmetall wins €208 million order

    March 13, 2024 | International, Land

    Artillery Ammunition for Spanish Army: Rheinmetall wins €208 million order

    The Spanish government has commissioned Rheinmetall, the world's largest manufacturer of artillery ammunition, to supply a total of 94,200 155mm rounds.

All news