• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • COMTECH banner

BATTLESPACE Updates

   +44 (0)77689 54766
   

  • Home
  • Features
  • News Updates
  • Defence Engage
  • Company Directory
  • About
  • Subscribe
  • Contact
  • Media Pack 2023

CONSORTIUM BIDS BUNDESWEHR IT MODERNISATION PROGRAMME

January 27, 2005 by

18 Jan 05. IDG News Service, Düsseldorf Bureau, reported that attempts to modernize the communications infrastructure of Germany’s armed forces, the Bundeswehr, have gone nowhere so far. Now a consortium of industry powerhouses hopes to change that.

Next month, the TIS consortium, consisting of Deutsche Telekom AG, IBM Corp. and Siemens AG, plans to submit a new bid for a mammoth military IT project, appropriately called “Herkules,” a Siemens spokesman said Tuesday. Nearly three years have passed since the German Defense Ministry announced the project, which aims to modernize the German armed forces’ fixed and wireless communication networks and provide related maintenance and support services.It will be the second bid from the TIS consortium after the group conceded the first round to rival Isic 21, which includes CSC Ploenzke AG, Mobilcom AG and the European Aeronautic Defence and Space Co. EADS NV.Isic 21 ended negotiations for the €6.56bn (US$8.6bn) 10-year contract last year when it failed to agree on terms and conditions with the Defense Ministry last year. Money was the key sticking point.

After extensive negotiations with government officials, Isic 21 concluded that it would not be able to supply the Bundeswehr with all the equipment and services the military sought within its proposed budget, an EADS spokesman said at the time. Although the industry group was highly interested in the contract, he said, it wasn’t prepared to “subsidize it.” The new TIS bid is based on its former offer but “has been slightly amended,” the Siemens spokesman said. He declined to provide details. Several developments have occurred since Isic submitted its initial bid, however. For one, prices for hardware and software and for IT services have continued to fall. For another, the Defense Ministry has decided to close 100 bases, thus reducing IT upgrade costs. Asked, however, what the Defense Ministry will do if it fails to reach an agreement with TIS — the only group presently bidding on the contract — a ministry spokesman said, “We’ll have to wait and see how we will proceed.” The spokesman said the ministry expects to make a final decision this year. The Herkules project is also meant to serve as a basis for introducing ERP (enterprise resource planning) technology from SAP AG. The Bundeswehr project, dubbed SAPPF, aims to standardize the military’s administrative and logistics Whether TIS will make money from the military IT project is unlikely, according to analysts at London-based Ovum Ltd. In a report, Ovum research director Dan Bieler and Katharina Grimme, director of Ovum’s German operations, said they expect Herkules to generate low margins at best but even possibly a loss. They called Herkules a “prestige project,” which Deutsche Telekom, in particular, is eager to promote together with another of its big government projects, Germany’s truck road toll system.

Primary Sidebar

Advertisers

  • qioptiq.com
  • Exensor
  • TCI
  • Visit the Oxley website
  • Visit the Viasat website
  • Blighter
  • SPECTRA
  • Britbots logo
  • Faun Trackway
  • Systematic
  • CISION logo
  • ProTEK logo
  • businesswire logo
  • ProTEK logo
  • ssafa logo
  • AtkinsRealis logo
  • IEE
  • EXFOR logo
  • sibylline logo
  • Team Thunder logo
  • Commando Spirit - Blended Scoth Whisy
  • Comtech logo
  • GoExporting logo
  • ECHODYNE logo
  • Supercat logo
  • Galvion logo
  • Leonardo DRS logo
  • MTC logo
  • IDC logo
  • IDC logo
  • DVD2024 logo
Hilux Military Raceday Novemeber 2023 Chepstow

Contact Us

BATTLESPACE Publications
Old Charlock
Abthorpe Road
Silverstone
Towcester NN12 8TW

+44 (0)77689 54766

BATTLESPACE Technologies

An international defence electronics news service providing our readers with up to date developments in the defence electronics industry.

Recent News

  • Congress Avoids Government Shutdown

    October 1, 2023
    Read more
  • UK Forces Deployed to Kosovo

    October 1, 2023
    Read more
  • RAF Fighter Jets Deploy To Poland

    October 1, 2023
    Read more

Copyright BATTLESPACE Publications © 2002–2023.

This website uses cookies to improve your experience. If you continue to use the website, we'll assume you're ok with this.   Read More  Accept
Privacy & Cookies Policy

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may affect your browsing experience.
Necessary
Always Enabled
Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.
Non-necessary
Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.
SAVE & ACCEPT