US Army creates new office for integrating data and sensors

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  June 26, 2018 | International, Aerospace

  Airbus threatens to leave Britain over Brexit trade relations

  By: Danica Kirka, The Associated Press LONDON — Aviation giant Airbus is threatening to leave Britain if the country exits the European Union without an agreement on trade relations, underscoring the concerns of business leaders who say the government is moving too slowly. Airbus, which employs about 14,000 people at 25 sites in the U.K., said it needs to know by the end of the summer what rules will govern its operations, or the company will “reconsider its long-term footprint in the country.” Airbus also says a proposed transition deal that runs through December 2020 is too short for the company to reorganize its supply chain. “While Airbus understands that the political process must go on, as a responsible business we require immediate details on the pragmatic steps that should be taken to operate competitively,” Tom Williams, CEO of Airbus Commercial Aircraft, said in a statement. “This is a dawning reality for Airbus. Put simply, a no-deal scenario directly threatens Airbus' future in the U.K.” While many business leaders have demanded clarity about the future with Britain set to leave the EU in nine months, Airbus' sheer size and role in the economy make it an influential voice in the Brexit debate. Airbus is the U.K.'s largest commercial aerospace company, a leading provider of military satellite communications and the biggest supplier of large aircraft to the Royal Air Force. It also has a significant impact on other companies, funneling an estimated £5 billion (U.S. $6.6 billion) to 4,000 U.K. suppliers, including big names like Rolls-Royce, as well as many smaller businesses. Darren Jones, the member of Parliament for the community where Airbus makes wings, attacked the government for listening to those who want the most hard-line form of Brexit and “not to the businesses that employ thousands of British workers, including Airbus.” “Thousands of skilled, well-paid jobs are now on the line because of the shambolic mess the government have created over the Brexit negotiations,” he said. Airbus, the biggest rival to U.S.-based aircraft-maker Boeing, has been a prime example of how European cooperation could lead to success in business. The German, French and Spanish governments own 26.4 percent of Airbus, which was created through the merger of German, French and Spanish aerospace companies. Prime Minister Theresa May's government reacted quickly to the Airbus statement, saying it was confident of getting a good deal and “we do not expect a no-deal scenario to arise.” But Williams said Airbus is frustrated after it tried to discuss its concerns with the government for 12 months and made little progress. “We've got to get clarity,” he said in an interview with the BBC. “We've got to be able to protect our employees, our customers and our shareholders, and we can't do that in the current situation.” The comments came as Airbus published an assessment of the risks Brexit poses to the company. The report shows that Airbus, like many modern companies, is particularly vulnerable to Brexit because of its international supply chain. Plants in several countries make specialized components, which are shipped back and forth across international borders as aircraft are assembled. Britain's membership in the EU makes this easy because goods move freely between the 28 member states, with no tariffs or other trade barriers. That will change after Brexit because Britain will not be a member of the EU's single market and customs union. While the U.K. government says it wants trade to be as frictionless as possible after Brexit, manufacturers are running out of time to plan for the future. Airbus said it is facing a variety of decisions, including whether to invest in future manufacturing capacity, the need to build up stocks of components in the event of border delays and how to ensure parts are certified by aircraft regulators in the future. Delays caused by a no-deal scenario could cost Airbus as much as €1 billion euros (U.S. $1.2 billion) of revenue a week, according to the risk assessment. “This scenario would force Airbus to reconsider its investments in the U.K., and its long-term footprint in the country, severely undermining U.K. efforts to keep a competitive and innovative aerospace industry, developing high-value jobs and competences,” Williams said. https://www.defensenews.com/industry/2018/06/22/airbus-threatens-to-leave-britain-over-brexit-trade-relations/

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  December 19, 2018 | International, Aerospace, Naval, Land, C4ISR, Security

  NATO Members Drive Fastest Increase in Global Defence Spending for a Decade, Jane’s by IHS Markit Reveals

  Spending rose by nearly 5 percent in 2018 to reach USD1.78 trillion, driven by budget increases in North America and Europe December 18, 2018 03:00 AM Eastern Standard Time LONDON--(BUSINESS WIRE)--Global defence expenditure grew by 4.9 percent in 2018, the fastest growth rate since 2008, according to the annual Jane's Defence Budget report, released today by business information provider IHS Markit (Nasdaq: INFO). Global defence spending grew for the fifth consecutive year to reach a total of USD1.78 trillion in 2018, significantly exceeding the post-Cold War record of USD1.69 trillion in 2010, according to the report. Fueling this global growth was a 5.8 percent boost to NATO spending, which totaled USD54 billion, largely due to higher defence spending in the US. Jane's by IHS Markit forecasts that overall NATO defence expenditure will exceed USD1 trillion in 2019. “Following a challenging period for NATO members in the wake of the global financial crisis, countries have begun to increase defence spending again, in response to emerging threats,” said Fenella McGerty, principal analyst, Jane's by IHS Markit. “This has slowed the rebalance in defence expenditure toward emerging markets.” Jane's by IHS Markit projects that global defence spending growth will moderate to a level of around 2 percent per year over the next five years as budget increases in Europe and North America slow and emerging markets again become the key source of growth. “In 2018, we've seen a reversal of recent trends with Western states driving growth,” said Craig Caffrey, principal analyst at Jane's by IHS Markit. “Going forward we still see Asia and the Middle East as the key sources of sustainable increases in defence spending.” NATO members increase spending In 2010, NATO member spending accounted for two thirds of global defence expenditure. As emerging markets expanded and developed economies implemented cuts over the decade, the balance of global defence expenditure shifted dramatically. The NATO share of expenditure steadily declined to just 55 percent in 2017 with non-NATO spending on track to surpass NATO expenditure by the early-2020s. “As 24 of the 29 NATO members increased their defence budget in 2018, the decline in the NATO share of global spending has stalled,” McGerty said. “The recommitment to defence in Western states means the global balance of expenditure between NATO and non-NATO markets is now more likely to shift from the mid-2020s.” Nine NATO members will reach the 2 percent of GDP benchmark for defence expenditure in 2019 – compared to just four members in 2014. These countries are the US, Greece, Estonia, Lithuania, United Kingdom, Poland, France, Latvia and Romania. US continues to invest in modernisation US defence spending increased by USD46 billion in 2018 to reach USD702.5 billion as the Pentagon sought to improve military readiness and bolster missile defence capabilities. The 7 percent boost to the Pentagon's budget represents the largest increase in US defence spending since 2008. “Modernisation accounts will reach USD244.1 billion in FY19 – the highest level of investment funding since the period FY07-10, which experienced the maximum Overseas Contingency Operations and maximum US Department of Defense (US DoD) spending levels,” said Guy Eastman, senior analyst at Jane's. “The funding levels for FY18 and FY19 have enabled the US DoD to start on the road to improved readiness and acquire improved warfighting capabilities.” Eastern European budgets continue to expand, while Germany's 11 percent spending boost will bolster Western Europe's total Six of the ten fastest growing defence budgets in the world in 2018 were situated in Eastern Europe. Defence spending in the region grew by almost 9 percent in 2018 with Poland, Romania and the Ukraine driving increases. Notably, spending on military equipment has more than doubled in the region since the annexation of Crimea in 2014. Western European defence spending increased for the third consecutive year in 2018 to reach USD248 billion – 2.4 percent higher than 2017. In 2019, regional spending should exceed pre-financial crisis levels as growth accelerates to 3.6 percent driven by a major 11 percent increase in the German defence budget. “As fiscal balances have improved, countries are able to respond to a markedly poorer security environment and address the capability gaps that have emerged,” McGerty said. “European defence cooperation is also a driving factor as countries look to bolster domestic capabilities but also partner on new technologies, all of which requires greater investment.” While the outlook for defence spending growth in Europe appears on an upward trend, this hinges on a stable UK defence budget and therefore upon the outcome of Brexit negotiations and the impact on the UK economy. Strong economic conditions in Asia-Pacific drive accelerated growth Growth in Asia-Pacific accelerated to 3.6 percent in 2018 but remains below the average 4.8 percent rate seen over the past decade. Total regional spending reached a record high of USD465 billion in 2018. Despite security concerns, economic growth continues to be the primary driver of defence budget growth in Asia. “Strategic drivers are undoubtedly becoming more important, but trends continue to be dictated by economic and fiscal conditions. Strong underlying economic fundamentals mean that Asia is where we expect the majority of the sustainable long-term growth will come from,” Caffrey said. “From a budgetary perspective, we're still seeing very few indicators that an arms race is underway in Asia.” Saudi surpasses France as fifth largest defence spender Higher oil prices over the course of 2018 contributed to an uptick in growth in the Middle East and North Africa with total spending in the region reaching USD180 billion. Saudi Arabia increased its defence outlay by 7 percent to hit USD56 billion, making the Kingdom the fifth largest spender on defence globally. “The large increase in Saudi Arabia's defence budget drove trends in MENA,” Caffrey said. “With oil prices falling again in the latter part of the year, regional growth is likely to remain relatively conservative in the short term.” Brazil dominates defence spending in Latin America Latin America's defence spending grew by 10.4 percent in 2018, reaching a new high of almost USD62 billion. Brazil's allocation of USD29.9 billion accounted for 48.3 percent of this total. “The recovery in Latin American defence budgets continued this year, but aside from Venezuela, where hyperinflation necessitated massive spending supplements, growth was markedly slower than in 2017,” said Andrew MacDonald, senior analyst at Jane's by IHS Markit. Top 20 defence budgets - 2017 and 2018 (USD billion) Position Country 2017* Position Country 2018* 1 USA 656.7 1 USA 702.5 2 China 191.2 2 China 207.6 3 India 61.2 3 India 62.1 4 UK 57.0 4 UK 58.4 5 France 52.5 5 Saudi Arabia 56.0 6 Saudi Arabia 52.1 6 France 53.6 7 Russia 50.9 7 Russia 51.6 8 Japan 48.3 8 Japan 45.1 9 Germany 43.5 9 Germany 44.5 10 South Korea 38.0 10 South Korea 39.1 11 Australia 32.1 11 Australia 32.0 12 Brazil 28.9 12 Brazil 29.9 13 Italy 26.7 13 Italy 27.2 14 UAE 19.3 14 UAE 21.4 15 Canada 16.5 15 Iran 17.4 16 Israel 16.4 16 Canada 16.1 17 Iran 16.2 17 Israel 16.0 18 Taiwan 14.6 18 Spain 15.3 19 Spain 14.4 19 Taiwan 14.5 20 Pakistan 12.0 20 Turkey 13.0 *Figures in constant 2018 USD billions. The intelligence cutoff for this report is 13 December 2018. About IHS Markit (www.ihsmarkit.com) IHS Markit (Nasdaq: INFO) is a world leader in critical information, analytics and solutions for the major industries and markets that drive economies worldwide. The company delivers next-generation information, analytics and solutions to customers in business, finance and government, improving their operational efficiency and providing deep insights that lead to well-informed, confident decisions. IHS Markit has more than 50,000 business and government customers, including 80 percent of the Fortune Global 500 and the world's leading financial institutions. IHS Markit is a registered trademark of IHS Markit Ltd. and/or its affiliates. All other company and product names may be trademarks of their respective owners © 2018 IHS Markit Ltd. All rights reserved. About the Jane's Annual Defence Budgets Report The Jane's Defence Budgets team produces the annual Jane's Defence Budgets Report every December. The report examines and forecasts defence expenditure for 105 countries and captures 99 percent of global defence spending. The Jane's Annual Defence Budgets Report is the world's most comprehensive, forward-looking study of government's defence budgets. Tracking 99 percent of the global defence expenditure from 105 of the world's largest defence budgets, data is compiled from Jane's Defence Budgets online solution platform. It includes five-year forecasts, historical data, budget charting, trend evaluation and in-depth analysis by country. In this study, values are based on constant 2018 US dollars. Contacts Freya Lewis IHS Markit +44 203 159 3255 freya.lewis@ihsmarkit.com Press Team +1 303 858 6417 press@ihsmarkit.com https://www.businesswire.com/news/home/20181218005033/en/NATO-Members-Drive-Fastest-Increase-Global-Defence

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  October 30, 2019 | International, C4ISR

  Army’s plan to field its network could collapse under an extended continuing resolution

  By: Jen Judson ABERDEEN PROVING GROUND, Md. — Critical fielding plans for major elements of the Army's revamped network could fall apart if Congress does not reach a budget deal soon, according to service leaders in charge of network modernization. Should Congress opt to extend the current continuing resolution, which funds the government at fiscal 2019 budget levels, past the Nov. 21 deadline, the Army will struggle to get more capable radios and other elements of its new and improved network to units. While a shorter extension would be less painful, a yearlong continuing resolution, or CR, would derail the efforts. “The whole fielding plan will collapse without a budget,” Army Secretary Ryan McCarthy said during a recent trip to Aberdeen Proving Ground, Maryland, where he was briefed on the service's efforts to deliver a modernized network to the force. “The longer [the CR] goes, I think it can definitely impact the schedule. If it bleeds into the next calendar year, you can look at a day-for-day slip” until a budget is passed, he said, adding that the longer a CR exists, the more likely the Army will have to reformulate its fielding plan because the units originally intended to receive the equipment won't be available to test the new capabilities and train with them. The Army is scheduled to conduct three major test events next year of its network. The 1st Brigade of the 82nd Airborne Division will assess the first capability set of the new Integrated Tactical Network, or ITN, in February. The manpack and leader radio operational test, which is part of the Handheld, Manpack, and Small Form Fit radio program, is scheduled for the third quarter of FY20. Furthermore, at next year's Defender Europe military exercise, the Army will use the Command Post Computing Environment, the Tactical Server Infrastructure and a number of ITN's initial capabilities to assess interoperability with partners and allies. If a CR extends past the first quarter of the fiscal year, the Army will be unable to test radios with a new waveform, known as TSM, as part of its HMS radio program. The current plan is for the 1st Brigade of the 82nd to test the radios in the third quarter of FY20. The TSM waveform is critical to a modernized network because it provides greater capability than what is currently fielded. The radios with the TSM waveform are more secure, can connect a larger number of radios on a single network, can easily tie into coalition partners' communications, and can more effectively push voice and data. If the Army is faced with a yearlong CR, the HMS radio program would be limited to a $3.7 million budget out of $35.6 million requested in FY20. Without the funding, the manpack and leader radio operational test won't happen until FY21, and the Army will likely have to shift to a different unit to conduct the test because of the operational tempo of the 82nd, according to Maj. Gen. Peter Gallagher, who is in charge of the Army's network modernization. Additionally, if testing can't begin until FY21, the Army's full-rate production schedule will slip. “We're confident that our radios will support the waveform, but we're talking about maybe a situation where we couldn't ramp up production to meet the capability set fieldings without essentially ordering stuff in the absence of that operational test, which is not exactly a best practice,” Gallagher said. The Army is planning to field the radios to four units in 2021: the 1st Brigade of the 82nd; the 173rd Airborne Brigade Combat Team; the 3rd Brigade of the 25th Infantry Division; and the 2nd Brigade of the 82nd. A long-term CR would also prevent the procurement of critical ITN communication enhancement equipment that will also be delivered to the four planned brigade combat teams in FY21. Without the equipment, the Army would have to delay communication patches for light infantry formations. A yearlong CR would affect the fielding of the Tactical Server Infrastructure, or TSI, which is also facing a potential FY20 budget cut. The Senate Appropriations Committee's Defense Subcommittee cut its procurement line by more than half, and it's unclear whether that decrement will survive conference committee. The TSI would only have 26 percent of its funding under a yearlong CR, which means the procurement of TSI servers, both small and large versions, will be delayed. A $45.86 million reduction in FY20 would prevent the fielding of 101 large variant servers and 184 small variants, which means two corps, three divisions and 10 brigade combat teams — including units like the 18th Airborne Corps, the 1st Cavalry Division, the 101st Airborne Division, III Corps and 4th Infantry Division — wouldn't get the updated server hardware needed to run the Command Post Computing Environment, Gallagher said during a briefing with McCarthy. And because the servers used to run the Command Post Computing Environment will be delayed, so will the rollout of the CPCE itself. Units like the 10th Mountain Division and the 335th Theater Signal Command have requested accelerated fielding of the CPSE and TSI capability. Currently fielded servers are cumbersome to initialize and are not appropriately protected to deal with emerging cyberthreats. The Tactical Defensive Cyber Operations Infrastructure capability, which protects the servers, will also be delayed. As the Army's first capability set due for fielding in 2021 would be delayed under a CR, its next capability set slated for 2023 would also be pushed back. The Army wouldn't have the funds to conduct experimentation and soldier evaluation because those are considered new start programs with no funding lines in FY19. Those efforts include experiments with low-Earth and medium-Earth orbit constellations, data management, new waveforms, command post mobility, and network management tools. This early research and development is meant to inform preliminary design and further larger-scale experimentation leading up to 2023. https://www.c4isrnet.com/2019/10/29/army-network-fielding-plan-could-collapse-under-extended-continuing-resolution/