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BATTLESPACE BOOK CLUB

March 12, 2012 by

Web Page sponsored by IT Governance

www.itgovernance.co.uk

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05 Mar 12. Research and Markets announced the addition of iCD Research’s new report “The Malaysian Defense Industry – Market Opportunities and Entry Strategies, Analyses and Forecasts to 2016” to their offering. During the review period, Malaysian military expenditure recorded a CARC of -3.14% and stood at a total of US$3.51bn in 2011. Over the forecast period, the country’s defense spending is expected to record a CAGR of 9.4% to reach a projected value of US$5.46bn in 2016. This anticipated increase in defense expenditure will be driven by the fact that Malaysia is located in an unstable region, the country’s involvement with Singapore in competitive arms procurement, its strained relationship with Indonesia and its involvement in peacekeeping missions. Furthermore, to compensate for historically low levels of defense expenditure, Malaysia is expected to make a significant investment in the modernization of its armed forces over the forecast period. (Source: BUSINESS WIRE)

05 Mar 12. Visiongain’s analysis indicates that the C2/C4ISR systems market will reach a value of $81.5bn in 2012, as good intelligence gathering combined with efficient communications enable effective command and control, allowing frontline forces to operate at maximum efficiency no matter what threats emerge. A Visiongain Defence Analyst commented that: ‘The importance of C2/C4ISR to modern warfare and operational capability will drive governments to continue to invest in advanced C2/C4ISR systems, even as many nations begin to re-evaluate the future focus of their armed forces.’ The report contains 147 tables, charts and figures that quantify and forecast the military C2/C4ISR systems market. Visiongain provides forecasts for the period 2012-2022 in terms of value (US$) for the global C2/C4ISR systems market as well as for 4 C2/C4ISR systems submarkets that together form the overall market figure. In addition, the report quantifies, analyses and forecasts 17 leading national C2/C4ISR systems markets, along with 5 regional C2/C4ISR systems markets from 2012-2022. (Source: Google)

06 Mar 12. “Upcoming defense budgets are going to be tight – very tight,” said Richard Sterk, Senior Analyst at Forecast International. “Normally, the C4I market follows an accordion cycle of funding shifting from a concentration on production to R&D then back to production and so on,” he said adding “this ebb and flow was greatly interrupted by the events of 9/11 and then the operations in Iraq and Afghanistan. Production was accelerated by as much as 60 percent to get much needed equipment into field as quickly as possible. This production acceleration came at the price of future R&D in both scheduling and funding”. Forecast International’s “The Market for C4I” examines nearly 200 leading C4I programs worldwide and reviews 18 companies involved in the production of C4I systems. It projects a C4I market worth of these near 200 programs to be at least $40.882bn over the next 10 years. More specifically, the value of the programs covered by the study will total $6.992 billion in 2012 and then decline to $2.391bn in 2021. This 65.79 percent drop ($4.600bn) in projected annual sales indicates that more than half of the programs explored will be completed by the end of the 10-year forecast period of 2012-2021.
“Governments have borrowed from the future but unfortunately, the future is here—now!” Sterk said adding, “Until the overall economy improves, R&D will be very limited and imagination (technology wise) stifled. Any technology innovation will have to come from the private sector who will – and rightly so – reap the rewards.”
Among the companies reviewed in this analysis, General Dynamics, Raytheon, Northrop Grumman, Lockheed Martin, and Harris are projected to be the top five C4I defense companies over the next 10 years based on f

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