Lockheed Martin expands in Australia

August 5, 2008 by Dagpotter · Comment
Filed under: Acquisitions, Australia, IT, RLM Holdings, Tenix Group, logistics 

Lockheed Martin has moved to buy a joint venture it had set up in Australia today. See a press release here. RLM Holdings was a company established by Lockheed Martin and the Tenix Group to manage the Jindalee Operational Radar Network (JORN) and provide other defense services. The JORN is a large array over-the-horizon surveillance system that can detect surface and aerial targets at very long range. RLM also manages other defense radar systems as well as providing services to the Australian defense forces. This acquisition will have to be approved by the Australian Government.

Australia seeks to save money on software

July 4, 2008 by Dagpotter · Comment
Filed under: Australia, IT, Microsoft, logistics 

The Australian Ministry of Defence is reviewing ways to save money through improvements to its liscensing agreement with Microsoft. See a short article here. Like many large organizations, government and private, the MoD has invested in MS products - windows, office and project - to run things. They probably buy thousands of licenses and any efficiency there will save money in the long run.

Australia buys recruiting help

July 2, 2008 by Dagpotter · Comment
Filed under: Australia, Contract Awards, logistics, training 

Australia has awarded a contract to Chandler Macleod for support of recruiting efforts. See an article here. While overall recruiting for the Australian Armed Forces is going well they are having a hard time attracting the highly sought after technical recruits they need. This 5 year, $400 Australian, contract will help in that effort. Interestingly since the Australians have been fighting since 2001 they have actuall

Boeing slips Australian AEW aircraft

June 11, 2008 by Dagpotter · Comment
Filed under: Australia, Boeing, IT, Military Aviation, development program 

Boeing has been building a modified B737 aircraft to act as an Airborne Early Warning and Control (AEW&C) aircraft. Delivery of the first has now slipped four months according to this report. Any issues Boeing has with these types of contract only serves to reinforce the US Air Force’s belief that they could not meet the KC-45 timeline as well as Northrop-Grumman and EADS will. The contract is a fixed price one so a delay will eat into Boeing’s profits as well. The company is also building a similar aircraft for Turkey.

Looks like Australia will go with the JSF

Australia had being going back and forth on wanting the F-22 instead of the JSF. China, I am sure, has a lot to do with this. According to this story, the decision has been made to go with the F-35. America has a law preventing the export of the F-22, but Australia had asked for it anyway. There was some desire from the USAF to sell it, as every FMS sale lowers the price and the Air Force would like some more. The only way that is going to happen is to get it cheaper. So it will have to be seen if any sales overseas are made. Certainly Australia and the UK would be the prime customers for the F-22.

Northrop Grumman wins BAMS SD&D contract

As reported yesterday the BAMS DAB was held. The Navy awarded the contract to Northrop Grumman for a version of the Global Hawk long range, large UAV. See a story here. Boeing and Lockheed Martin were the losing bidders. On top of the KC-45 contract this can be seen as a blow to Boeing by Northrop Grumman. Read more

Australia cuts bait

The Australian government decided after all to go ahead with the purchase of the F/A-18 to gap fill until the JSF is available. An article is here. The new more liberal government had discussed canceling the contract to save money. Now they claim they have been able to reduce the total cost, so it is worthwhile. See a previous article here. Read more

Australian government cancels the SH-2 contract

In 1997 Australia decided to buy 11 upgraded SH-2 aircraft from Kaman to outfit their Navy. Unfortunately the work required to integrate the helicopters with the newer generation of equipment that the Navy possessed was harder and more complicated then originally thought. Imagine that? Anyway ten years and millions of dollars later the program is still not complete. According to this article the new liberal government has decided to axe the contract. There will obviously be some termination costs involved, and now they are back to square one on the aircraft. Perhaps they will look at the US Navy’s MH-60?

Australian government now attacks F/A-18 buy

The Australian Defence Minister, Mr. Fitzgibbon, now has decided that the plan to buy F/A-18 and then JSF for the nation is a bad idea. Just a few days ago, here, he was applauding the F/A-18. He now states that the US aircraft were not necessarily the way to go to buy modern fighter aircraft. The options, though, were limited. Australia could have bought Russian, or the Eurofighter, or SAAB Viggens, I guess? But I don’t know if the cost would have been comparable. He continues to say that the country really wants F-22 aircraft, which is currently not allowable under US law, even though the US DoD have expressed some support for the idea.

Australian politicians snipe at each other over F/A-18 contract

The opposing party to the current Australian government, who were the government until the last election, criticized the Defence Minister, Joel Fitzgibbon, for his comments about their management of the Australian defense budget. See the article here on ABC News. He has ordered a review of the F/A-18 contract while stating that he hopes the review supports the contract. One of the main issues is that the termination costs would be substantial.

Australia awards IT contract to Unisys

February 25, 2008 by Dagpotter · Comment
Filed under: Australia, Contract Awards, IT, Unisys 

Earlier, here, we had written about some concern in Australia about awarding Unisys a IT contract based on some issues they had with American contracts. According to AustralianIT they went ahead and awarded the contract worth $240 M (Australian) to the company.

US law prevents Australia from acquiring F-22

Australia has expressed an interest in procuring F-22 Raptor aircraft. Currently they are planning on buying JSF ultimately. Currently US law prevents the export of the F-22. In this article from News.com.au, the US Secretary of Defense, Robert Gates, expresses the sentiment that Australia would be good stewards of the F-22 if they received them. Obviously the law is to prevent the transfer of what is considered the best technology that the US has, but there are certain allies in the past that have been able to share it. As previously discussed technical transfer laws have become very restrictive and have affected US programs.

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New Australian government realizes there is a bill associated with cancelling F/A-18 contract

The new liberal government in Australia has talked about canceling the contract to purchase 24 F/A-18 aircraft to be used as a gap fill until the F-35 JSF is available. See ABC News here for details. Unfortunately there is a termination fee of around $400 M (Australian) associated with cancellation. Read more

Unisys work in US comes back to haunt them in Australia

February 3, 2008 by Dagpotter · 1 Comment
Filed under: Australia, IT, Unisys 

The Australian Defense Association (ADA) is asking the government to investigate Unisys’s ability to do the work in a recent contract. They point out that the company is being investigated in the US for failing to deliver on IT security contracts. See the article here. With the defense industry so small, and global, it is hard for a nation to find within companies able to do all that they require.

Australian company Austal awarded Navy contract for ship design

According to this press release, Austal was awarded a $3.3 M Australian contract to do design and development for the US military under the Joint High Speed Vessel (JHSV) program. There may also be work related to the Littoral Combat Ship (LCS) as well.

Boeing opens office to assist Australian companies compete in its business

January 7, 2008 by Dagpotter · Comment
Filed under: Australia, Boeing, commercial aviation, production program 

According to Defensenews.com, Boeing has opened a office specifically to assist Australian companies to compete to provide components and services for its various commercial and defense products. See the article here. This is in response to an Australian Government initiative to expand the number of companies that participate in the defense industry. Boeing has significant aerospace contracts with Australia right now, including the sale of F-18 Hornets. This is a way for the company to offset some of that business with Australian companies. In the past, when a nation purchased foreign military equipment they would do an “off set” deal where the selling nation either had to build some parts of the system in the buying nation, or some amount of equipment was bought from the buying nation. These kind of deals have not necessarily provided the kind of economic gains either nation imagined.