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Rockwell Collins Eyes Indian Market

In the past India had tended to buy weapons either from the Soviet Union, Great Britain or domestic sources. There laws on offsets and working with Indian companies limited opportunities for U.S. defense contractors to bid or win work.

In the last several years this has changed as India has turned to Western suppliers. They loosened the laws on offsets and expanded the number of corporations that could team with outside entities to make it possible for a more diverse group of contractors to bid. This led to Boeing (BA) winning contracts for transports as well as maritime patrol aircraft. France’s Dassault Rafael was selected for the new fighter program as well.

India continues to have a whole host of different requirements to modernize its military including one for advanced, programmable radios. One U.S. company that is interested in this contract is Rockwell Collins (ROC). Rockwell is a U.S. manufacturer of aircraft avionics, components and also provides software and other services to the U.S. military and commercial market. They have had a facility in India since 2008. The current focus of there efforts there is utilizing local engineering capability to aid in software development.

They exhibited 2 different solutions at a recent DEFCOM India 2012 show.

Rockwell also just announced that they will team with India conglomerate Tata to bid on this contract. Using an Indian partner will aid in having their bid accepted.

With the expected decline in the U.S. and European defense markets with the budgetary problems needing to be solved overseas contracts will become more of a focus for all defense contractors no matter what the size. Asia is considered the primary market to make up some of the lost business. It will attract more companies like Rockwell in the future.

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England To Proceed With Eurofighter Order

England has decided that the costs associated with canceling the next order for the advanced Typhoon fighter aircraft are such that they will go ahead with the buy. There were costs that would be paid in penalties and cancellation fees as well as those related to all the jobs being lost in England from the manufacture and assembly of the multi-national aircraft.

The nation’s budgetary problems were leading it to try and get out of the purchase due to the high cost of the aircraft. As it is if the purchase is executed the English government will look to somehow reducing the cost of the aircraft, and possibly selling some to other countries to offset their costs.

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