February 11, 2021 | International, Aerospace, Naval, Land, C4ISR, Security
By: Joe Gould
WASHINGTON ― The drive to rapidly develop defense technologies will spur more industry mergers and acquisition activity over the next two decades, and create new entrants in the realm of cyber and artificial intelligence, Northrop Grumman CEO Kathy Warden said Tuesday.
“As a result, I believe the industry will look different in terms of its composition. There'll be more consolidation,” Warden said in a wide-ranging interview through the Center for Strategic and International Studies. She also foresaw increased government-industry collaboration.
“There will also be more new entrants, and so it's hard to say there will be fewer players, but the ones that exist today will likely continue to consolidate as we have seen in recent years and we've seen in other cycles,” she added.
New firms will adapt commercial AI and machine-learning applications for military surveillance as well as command and control, Warden predicted.
The executive's comments came after the new deputy defense secretary, Kathleen Hicks, said at her confirmation hearing this month that she is concerned by consolidation in the defense-industrial base and that competition is needed for the U.S. military to maintain an edge over China and Russia. Hicks' office will review deals that involve national security issues.
“Extreme consolidation does create challenges for innovation,” Hicks said. “We need to have a lot of different, good ideas out there. That's our competitive advantage over authoritarian states like China, and Russia. And so if we move all competition out, obviously that's a challenge for the taxpayer, but it's also a challenge in terms of the innovation piece.”
The U.S. faces a new space race, and the Biden administration should continue work to compete in that domain, said Warden, whose firm saw sales growth last year driven by its space division. Her comments also come in the wake of the Biden administration's affirmed support for Space Force, the military service created under the Trump administration.
“Many nations are demonstrating the capability to both operate in space but also have anti-satellite capability, so what we need to focus on is putting in place the norms and technologies that allow us to have freedom of operation in the space domain,” Warden said.
Last month, Northrop reported that its Space Systems segment led the company in sales for both the fourth quarter of 2020 and for the full year. The segment was driven by a higher volume on classified programs as well as the Next-Generation Overhead Persistent Infrared and NASA Artemis programs.
A ramp-up for the Ground Based Strategic Deterrent, launch vehicles and hypersonics programs drove the company's Launch & Strategic Missiles sales. Northrop won a $13.3 billion contract in September from the U.S. Air Force to build the GBSD, which replaces the aging Minuteman III intercontinental ballistic missile system.
President Joe Biden is expected to launch a review of the nation's expensive nuclear modernization portfolio. Reportedly, the GBSD program could cost U.S. taxpayers as much as $110.6 billion.
Warden defended the country's current track on nuclear modernization and said America's triad of nuclear weapons is “very important to keeping the peace.” More broadly, Warden offered a message that seemed calibrated to the new administration, saying the aerospace and defense industry provides platforms like the F-35 fighter as “an aid to diplomacy” and interoperability among allies.
“It's hard for anyone to say what would have happened had we not had ICBMs over the last 50 years,” she said, “but lots of very smart statesman, military personnel and civilians alike have studied this through multiple nuclear posture reviews and come out believing that the best posture for our nation is continuing to move forward with the modernization of all three legs of our triad.”
https://www.defensenews.com/2021/02/09/northrop-ceo-sees-more-consolidation-for-defense-sector/
March 17, 2021 | International, Land
Trials have been conducted successfully, concluding the system’s development
June 25, 2020 | International, Aerospace
By: Valerie Insinna WASHINGTON — The House Armed Services Committee wants to limit the amount of money the Air Force and Navy get for their respective sixth-generation fighter programs until it gets some answers. The Navy and Air Force are leading separate efforts to develop a follow-on fighter jet to the F-35, with both services calling their programs “Next Generation Air Dominance.” Both projects are in the early stages of development, with the services hoping to ramp up activities this year. But HASC intends to fence off 85 percent of the fiscal 2021 funding requested for the NGAD until the committee receives an independent review performed by the Pentagon's director of cost assessment and program evaluation, according to the Tactical Air and Land Forces Subcommittee's markup of the FY21 defense policy bill. A committee aide told reporters on Monday that the stipulations are “nothing out of the ordinary” and are meant to allow lawmakers to gain further insight into the programs, not to permanently strip funding from the efforts. “When they field their capabilities, we just want to make sure that they've thought them through, that the department has determined that they are affordable and that anything else that is already in the budget into the future that's high priority as well is not going to get pushed out unintentionally if they have unexpected cost growth or run into problematic issues when they field the capabilities,” the aide said. How's the Air Force effort going? Earlier this month, Air Force acquisition executive Will Roper said the service is on track to finalize a business case for its NGAD program this summer. The Air Force envisions NGAD as a family of systems that could include aircraft, drones and other advanced technologies. But when it comes to developing new advanced aircraft, Roper wants to pursue a new strategy he calls the “Digital Century Series” that would have multiple companies continuously developing new jets and competing against each other for small-batch contracts. The business case, which is being put together by the program executive office for advanced aircraft, will explore whether the Digital Century Series idea is technically feasible, how the development and procurement process should be structured, and whether it would be cheaper than traditional contracting methods. “That is going to really help us, I hope, because we'll show that data and argue that it is not just better from a ‘competing with China and lethality' standpoint. It's just better from a business standpoint,” Roper said. “If it breaks even or is less [than traditional methods], I will be exceptionally happy. If it's more expensive — and I hope not exceptionally more — then we're going to have to argue” on behalf of the program. The Air Force has asked for $1 billion for its NGAD program for FY21. It received $905 million for the program in FY20. How's the Navy's effort faring? The Navy's NGAD program, also known as F/A-XX, is more mysterious. In its FY21 budget rollout this year, the service announced it would curtail its Super Hornet buy, purchasing a final 24 F/A-18E/Fs and then using the savings from a planned 36 jet buy from FY22 to FY24 to invest in its own future fighter. Little is known about the Navy's requirements. The service completed an analysis of alternatives in June 2019, as well as broad requirements and guidance for a concept of operations. The effort is now in the concept development phase, during which defense companies explore ideas “that balance advanced air dominance capabilities and long-term affordability/sustainment,” Navy spokesman Capt. Danny Hernandez told Defense News earlier this month. Congress has signaled that it may not be willing to allow the Navy to stop buying Super Hornets in future years. HASC inserted language into the FY21 defense policy bill urging the Navy to continue buying new Super Hornets, warning the service that next-generation fighter procurement does not always proceed according to plans. “The committee recalls the Navy curtailed F/A-18 procurement approximately 10 years ago with aspirational goals to maintain strike-fighter inventory levels with planned procurement of F-35C,” the committee said. “That plan was not realized due to F-35 program execution and subsequently required the Navy to procure additional F/A-18E/F aircraft to reduce operational risk. The committee expects a similar outcome may occur with the Navy's current plan for FA-XX due to affordability and technological challenges.” The bill also directs the chairman of the Joint Chiefs of Staff and the Defense Department's inspector general to provide more information on the operational risk incurred by not buying additional Super Hornets, as well as F/A-18 squadron adherence to maintenance practices. https://www.defensenews.com/air/2020/06/23/congress-has-questions-about-the-air-force-and-navys-next-generation-fighter-programs/
June 1, 2020 | International, Aerospace
Farnborough International has launched FIA Connect: a platform to connect the global aerospace industry. Taking place during what would have been the 2020 airshow week, FIA Connect will run from July 20-24. Over five days, there will be a series of free-to-attend digital aerospace events, including a full virtual conference program focussed on topics leading industry and featuring high profile speakers, as well as range of business growth opportunities. Speaking about the launch of FIA Connect, Gareth Rogers, chief executive of Farnborough International said: “The cancellation of the airshow in response to the COVID-19 pandemic was a major shock, however the team is determined to create something that brings as many aspects of the show to the global aerospace industry as possible. “Through our biennial airshow, we have been privileged to serve as a platform for connecting industry, facilitating business growth, and showcasing the very latest in innovation and technology. “The Farnborough International team is working hard to deliver a week of world-class content and thought leadership in order to provide some support to industry at a time when we cannot meet.” Registration for FIA Connect is set to go live in the middle of June. The schedule of events includes: The FINN Sessions – a comprehensive webinar program of insight and analysis featuring leading figures and focussed on the topics that matter: MRO, defence, airlines, space, urban aviation and future workforce. Meet the Buyer is to run free-of charge on Tuesday July 21. This is a strategic opportunity, connecting suppliers with buying decision makers at pre-arranged, private and secure virtual meetings. Farnborough Friday a day developed to help address the skills gap, this virtual hub will include careers advice, inspirational speaker videos, downloads and workshops. ADS Partnership – FIA Connect is partnering with ADS Group, the U.K. trade association for aerospace, defence and security, to provide support, guidance and topical sessions of analysis, giving the best of insight and resource to help business keep up to date, informed and connected. All content for FIA is being created in-house by the team at Farnborough International with the technological capability being delivered by Eventscase: a platform designed to facilitate all key areas of live, hybrid and virtual events. https://www.skiesmag.com/press-releases/farnborough-international-has-launched-fia-connect-a-digital-aerospace-event/