Back to news

November 6, 2019 | International, Aerospace

Finland warns fighter contenders to keep their budget-busting offers real

By: Gerard O'Dwyer

HELSINKI — Finland has issued a formal notification to industry candidates in its multibillion-dollar fighter program, urging them to keep their proposals within the prescribed budget constraints.

“We do not envisage that we will see withdrawals because of the revised request for quotations. We expect no change there,” said Lauri Puranen, who directs the Finnish Air Forces' HX-fighter program. He said the move was meant simply to stress the need for all of the five international contenders to respect the program's €10 billion, or $11.1 billion, limit.

Defense officials here have conceded that all five bidders, including Saab (Gripen), Dassault Rafale, the pan-European Eurofighter Typhoon, Boeing (F/A-18 Super Hornet), Lockheed Martin (F-35) have struggled with the project's rigid budgetary ceiling.

"The budget set for the HX project has been an issue for all bidders and candidate aircraft,“ said Maj. Gen. Kari Renko, the deputy chief of the Finnish Defense Force's Logistics Command.

Finland's recently-elected, conservative-left coalition government has shown no willingness or flexibility to deviate from the billion budget cap. The defense ministry has been instructed to look for a fighter replacement solution within the budgetary range of €7 billion to €10 billion, or $7.7 billion to $11.1 billion.

Whatever flexibility exists in the HX project will impact the number of fighter aircraft purchased and weapons selected as part of the total acquisition program to replace the air force's Boeing F/A-18C/D Hornets. The last of the service's Hornets are expected to be retired by 2030.

The defense ministry is seeking responses to the reviews request for quotations to be submitted by the end of January 2020. This will be followed by a request for final offers during the second half of 2020, a process that will commence after stage-two negotiations.

The Finnish government plans to reach a decision on the HX fighter platform in 2021. The decision will cover the acquisition of a new aircraft, weapons, sensors, training, and spare parts.

Bidders are expected to use their responses to the revised solicitation to clarify the industrial-cooperation elements of their respective offers. Finland is looking for a solution that will benefit the country's defense industry, and where parts and systems connected to the eventual contract will be produced under collaborative partnership contracts and joint venture agreements in Finland.

https://www.defensenews.com/global/europe/2019/11/05/finland-warns-fighter-contenders-to-keep-their-budget-busting-offers-real/

On the same subject

  • Hungary plunks down $1 billion for new air defenses

    August 14, 2020 | International, Aerospace

    Hungary plunks down $1 billion for new air defenses

    By: Sebastian Sprenger COLOGNE, Germany – The Hungarian and U.S. governments have announced a $1 billion deal to equip the European country with new air-defense weaponry. The sale includes the Raytheon-made Advanced Medium-Range Air-to-Air Missile-Extended Range missile, of which Hungary requested some 60 copies in May through the U.S. Foreign Military Sales program. According to the Defense Security Cooperation Agency, that portion of the deal is worth $230 million. Another transaction type, called a Direct Commercial Sale, accounts for the rest of the money, according to a statement posted on the website of the U.S. Embassy in Budapest. Such sales are negotiated privately between customer countries and American defense contractors, meaning the U.S. government has little involvement besides approving an export license. Exactly what the DCS portion of the deal entails is unclear, though the embassy statement and Hungarian media note that all the equipment would go toward replacing the country's Soviet-era gear with the NASAMS short- and medium-range air-defense system made by Norway's Kongsberg. Raytheon's AMRAAM-ER missiles are the interceptors in that configuration. U.S. Ambassador David Cornstein, a New York businessman and admirer of Hungarian Prime Minister Victor Orban's policies, and Hungarian Defense Minister Tibor Benkő lauded the weapons deal Wednesday. “We commend the Hungarian government's strong commitment to continue modernizing Hungary's military through the acquisition of the world's most advanced mid-range air defense system, which will enhance Hungary's ability to provide collective and self-defense,” the statement reads. EU member Hungary, with its far-right government, is under pressure from other members of the bloc for what they say is a steady slide toward anti-democratic rule. The country has been on a military spending spree lately, with Germany's Krauss-Maffei Wegmann in line to supply dozens of Leopard-2 tanks. https://www.defensenews.com/global/europe/2020/08/13/hungary-plunks-down-1-billion-for-new-air-defenses

  • Leonardo, Siemens sign deal to create cybersecurity platform

    April 7, 2023 | International, C4ISR

    Leonardo, Siemens sign deal to create cybersecurity platform

    Leonardo and Siemens on Thursday said they signed a memorandum of understanding to offer cybersecurity solutions for infrastructure in the energy, oil and gas and industrial sectors.

  • US Navy awards contract to Raytheon for precision landing systems

    June 19, 2019 | International, Aerospace

    US Navy awards contract to Raytheon for precision landing systems

    The US Navy has awarded a $234m initial low-rate production contract to Raytheon to manufacture 23 joint precision approach and landing systems (JPALS). The global positioning system (GPS) enabled precision landing systems will be outfitted on all of the navy's nuclear-powered aircraft carriers and amphibious assault ships. JPALS has the capability to guide aircraft to precision landings in all weather and surface conditions. The US Marine Corps' F-35B Lightning II fighter aircraft use Raytheon's JPALS to land on USS Wasp amphibious assault ship. Raytheon Intelligence, Information and Services business vice-president Matt Gilligan said: “The US Navy understands how JPALS contributes to their mission success and safety of its people. “Other military services could also benefit from the system's ability to safely land both fixed and rotary-wing aircraft in almost any low-visibility environment.” Last year, the F-35B pilots began using the system to guide them onto USS Wasp during a deployed operation. In April this year, Raytheon demonstrated land-based deployable version of the JPALS system. The version is designed to provide the same precision capability offered in ship-landings. As part of the demonstration, F-35B pilots used the GPS-based system on the jet to connect with the expeditionary system on the ground from 200nm away. Raytheon used the proof-of-concept event to showcase how the JPALS system could be reconfigured into a mobile version to guide aircraft to land in a traditional airport setting. The expeditionary JPALS version currently fits in five transit cases. The company noted that the system could be repackaged for small, transit vehicles that are transportable by C-130. It can be set up in less than 90 minutes, once on the ground. The technology will help US Air Force pilots to perform landings on austere runways in remote regions. https://www.naval-technology.com/news/us-navy-awards-contract-to-raytheon-for-precision-landing-systems/

All news