News From Washington

Sanders to Provide Communications Jamming Systems for EA-6B Upgrade

Sanders, a Lockheed Martin company, has received a $12.9 M contract from the US Navy to provide its AN/USQ-113 communications jamming systems to be used in the upgrade of the EA-6B Prowler aircraft. Under the terms of the contract, Sanders will deliver 33 AN/USQ-113 Phase III systems and two improved operator panels by August 2000. The equipment will provide signal detection, analysis and identification, and has the ability to jam or interrupt hostile communications signals. The Phase III systems comprise new receivers, power amplifiers and transmitters developed to extend their frequency range. The new operator panels include improved liquid crystal displays that run Windows™-based software.

The contract follows an earlier award for three preproduction systems in a nonrecurring engineering and manufacturing development phase, which involved the upgrade of 30 existing USQ-113 systems. Deliveries under this contract are expected to be completed by the end of the year.

Raytheon Demonstrates ATNAVICS/Supplies Defense Systems to Greece

Raytheon Co. recently demonstrated its newly developed Air Traffic Navigation, Integration and Coordination System (ATNAVICS) tactical radar approach control system at the company’s test facility in Bedford, MA. The demonstration included flight testing of ATNAVICS performance features such as radar coverage, accuracy, resolution, detection and tracking for the air surveillance, secondary surveillance and precision approach radars. Testing was performed using aircraft scheduled as part of the demonstration as well as targets of opportunity (aircraft that happened to be flying in the area). A Federal Aviation Administration flight inspection of the ATNAVICS precision approach radar determined that the equipment met or exceeded all requirements, enabling it to be commissioned into formal service.

The self-contained ATNAVICS system is mounted on two high mobility, multipurpose wheeled vehicles and two trailers, all of which can be carried by a single C-130 aircraft, and responds rapidly to the need for air traffic control services at established airfields and tactical landing sites. Designated the AN/TPN-31 by the US Army, the system comprises an S-band air surveillance radar, L-band secondary surveillance radar/identification friend or foe system, X-band precision approach radar and air traffic management system. Full surveillance to 25 nautical miles and precision approach coverage to 10 nautical miles are provided by the system in all weather conditions.

The Army’s Aviation and Missile Command selected Raytheon in April 1995 for ATNAVICS preproduction and awarded the company a contract valued at $130 M (with production options). The system is being acquired to modernize the Aviation and Missile Command’s air traffic services.

In related news, Raytheon has announced that its Patriot air defense system, T-A6 Texan II primary trainer aircraft and HAWK Phase III upgrade program have been selected by the Hellenic Ministry of Defense and Hellenic Air Force. The trainer aircraft program, which consists of 45 aircraft, calls for Raytheon Aircraft Co. to begin deliveries of the

T-A6s by July 1999 and complete the contract by the end of 2002. The HAWK system upgrade includes the Fire Distribution Center, the most modern fire control and battle management system available for the weapon system. With final negotiations still to be completed for each program, the Patriot component, T-A6 contract and HAWK Phase III upgrade program have potential values of over $1.1 B, $200 M and $145 M, respectively.

Raytheon will also provide logistic and engineering support to Patriot systems in Greece and to Hellenic industry during the life of the program. The HAWK air defense system has been deployed by the Hellenic Air Force since 1965. Along with the Patriot, the systems will serve as Greece’s principal air defense into the next century.

Study Forecasts World Market for Unmanned Aerial Vehicles

A new Frost & Sullivan study of the worldwide unmanned aerial vehicle (UAV) market, "World Markets for Military, Civil and Commercial Unmanned Aerial Vehicles: Reconnaissance UAVs and Aerial Targets," analyzes the world markets for UAVs from 1994 to 2004 in North America, Europe, the Pacific Rim, the Middle East and rest-of-world regions. Total market forecasts as well as breakdowns in military and civil/commercial forecasts are provided.

The total UAV world market in 1997 was estimated at $2.3 B, $2 B of which reflected sales from the strategic and tactical reconnaissance UAV portion. This sector is expected to enjoy additional growth after 2000 and increase as much as 15 percent in 2004. The sector’s compound annual growth rate (CAGR) for the 1997–2004 period is 10.4 percent. The world aerial drone market reached $297 M in 1997 with sales 2.7 percent ahead of those in 1996. This segment, which is not expected to grow as robustly as the strategic and tactical types, is forecast to yield a CAGR of two percent for the 1997–2004 period.

While the market leaders historically have been the large aircraft manufacturers, the study finds that smaller contractors are now participating by investing their funds in UAV development and/or forming strategic partnerships. Among the significant smaller companies making their presence known are Israel Aircraft Industries, General Atomics Aeronautical Systems International, Teledyne Ryan Aeronautical Corp. and Sagem SA.

Advancements in communications technology, which are expected to improve UAV control and flexibility and offer new control paths, will continue to increase the attractiveness of the UAV. In addition, improved electro-optical and radar payloads for the vehicles will expand their mission lists. The study reports that the greatest barrier to the industry’s growth is the difficulty in establishing, coordinating and implementing airspace regulations for the operation of UAVs. However, efforts are currently underway to overcome this obstacle.

Crowded Airspace Stimulates Aircraft Safety Equipment Market

In its recently released study, "World Ground Collision Avoidance and Traffic Alert Systems Market," Frost & Sullivan describes how increasingly crowded airspace has stimulated the demand for better safety equipment. The study reports that the markets for two relatively new systems that promise to reduce collision risks are poised to enjoy significant growth rates through 2000.

The Traffic Alert Collision Avoidance System (TCAS) is used to alert aircraft of encroaching targets posing mid-air collision dangers by supplying real-time situational data independent of air traffic control. The Enhanced Ground Proximity Warning System (EGPWS) links a Global Positioning System (GPS) with a comprehensive terrain database and displays real-time terrain awareness information. The combined revenues for these systems approached $165 M in 1997 and a CAGR of 21.7 percent for the markets is forecast through 2004.

A Europe-wide regulation that will require TCAS equipment on all passenger aircraft is expected to be adopted by 2000 and the majority of European passenger aircraft are expected to install the equipment by 2005. US military spending on TCAS (spurred by a 1997 collision between a C-141 and a German air force Tupolev) is forecast to amount to more than $450 M through 2005. TCAS revenue, which was approximately $100 M in 1997, is forecast to grow at a CAGR of 20 percent through 2004. US demand is expected to be supplemented by mandated installations in Europe and Asia/Pacific. A CAGR of 25.5 percent through 2004 is forecast for the total GPWS segment.

According to the study, AlliedSignal possesses a near monopoly in the commercial EGPWS market and Rockwell Collins is the leading worldwide TCAS equipment supplier with a 36 percent market share. For additional information, contact Kathleen Cooney, Frost & Sullivan (650) 237-4385, fax (650) 903-0915 or e-mail: