Upgrading Airborne Electronic Warfare Systems Critical to the Safety of Commercial and Combat Aircraft.

Business Editors/High-Tech Writers/Defense Writers

PALO ALTO, Calif.--(BUSINESS WIRE)--June 9, 2004

The proliferation of man portable air defense systems (MANPADS) among terrorist organizations has increased the security threat to both civil and combat aircrafts. These easy-to-use, shoulder-fired missile systems with their ability to counter active infrared (IR) jammers have proven to be desirable weapons for terrorists and insurgent combatants.

Lessons learned from conflicts in Afghanistan, Iraq, and Chechnya are compelling air forces across the world to procure sophisticated IR counter measure (IRCM) systems or upgrade their existing ones -- especially for aircrafts operating in a low-level flying environment. The procurement of IRCM systems is likely to gain momentum in the coming years, leading to overall market growth.

New analysis from Frost & Sullivan (www.Aerospace.frost.com), World Electronic Warfare Self-Protection Systems and Decoys Markets, reveals that this market generated revenues worth $3.89 billion in 2003 and is likely to reach $4.22 billion in 2009.

If you are interested in a virtual brochure, which provides manufacturers, end-users and other industry participants an overview of the latest analysis of the Fire Suppression Systems Markets, then send an e-mail to Melina Gonzalez - Corporate Communications at [e-mail] with the following information: your full name, company name, title, telephone number, fax number and e-mail. Upon receipt of the above information, an overview will be sent to you via e-mail.

"The ultimate aim is to make airborne electronic warfare (EW) systems functional both in combat and other potentially hostile environments," says Frost & Sullivan Research Analyst Merl Fuchs. "Though most of the existing EW systems have proven to be effective against the majority of IR and electro-optically (EO) guided surface-to-air missiles (SAMs) in combat conditions, some pose problems during urban terrestrial warfare," he explains.

Recently, MANPADS were used quite effectively against the U.S. forces in Operation Iraqi Freedom as MANPADS missiles hit several helicopters and some military and civilian transport aircraft.

Helicopters proved most vulnerable against MANPADS with numerous casualties noted, but all transport aircraft -- both military and civilian -- were able to land safely. This suggests that SAM missiles could be less effective against larger aircraft that have multiple engines, which are primarily wing-mounted, and redundant systems in place.

"The failure of MANPADS to bring down multi-engine cargo aircraft indicates that the international concern regarding the impending threat from MANPADS to commercial aircraft may have been somewhat overstated," says Fuchs.

However, ignoring such threats can also prove to be catastrophic. Hence, there is an inevitable need and urge to upgrade the existent EW systems fitted in combat aircraft, helicopters, and in some transport and/or dignitary aircraft.

This is likely to force countries to seek advanced EW self-protection systems that are critical to enhancing their survival potential. However, increasing costs of research, development, testing, and evaluation (RDT&E), and production coupled with potential restraint in defense spending, is reducing the number of airborne platforms produced. This is lowering the revenue flow of participants in this market.

Additionally, the type and level of procurement of such systems by different countries hinges on multiple factors such as economic growth, budget shortfalls, legislative actions, military reform initiatives, and the extent of national security threats, technical capability, and the complexities of the domestic air fleet.

Hence, participants face the challenge of ensuring growth in a niche market that continues to fluctuate with the changing political and economic climate. They are pinning their hopes on new EW systems currently under varying stages of development.

These include new missile warning systems (MWS), directed IR counter measures (DIRCM), towed decoys, and advanced IR flares that are likely to play a pivotal role in mitigating the ground-to-air and air-to-air attacks. Commercial application of EW technology could also be a potential growth area due to mounting fear of terrorist strikes against civil air transportation.

The World Electronic Warfare Self-Protection Systems and Decoys Markets is part of the Aerospace & Defense Subscription. This research analyzes the world market for five basic types of systems: DIRCM, radio frequency (RF) and IR decoys, integrated systems (internal to platform), MWS, and jammers. The study offers a worldwide snapshot of latest market trends, drivers, and restraints besides providing revenue forecasts and competitive analysis. Executive summaries and interviews are available to the press.

Frost & Sullivan, an international growth consultancy, has been supporting clients' expansion for more than four decades. Our market expertise covers a broad spectrum of industries, while our portfolio of advisory competencies includes custom strategic consulting, market intelligence and management training. Our mission is to forge partnerships with our clients' management teams, to deliver market insights, and to create value and drive growth through innovative approaches. Frost & Sullivan's network of consultants, industry experts, corporate trainers and support staff spans the globe with offices in every major country.

World Electronic Warfare Self-protection Systems and Decoys Markets

A653

The following is a list of key industry participants: Aselsan Inc.; Avitronics (Pty) Ltd.; BAE Systems Avionics; Boeing Military Aircraft and Missile Systems; Chemring Countermeasures; Condor Systems Inc.; Daimler-Chrysler Aerospace; Defence Research Establishment Ottawa; Deputy SecDef for Industrial Affairs; EADS; EDO Corp.; Elettronica SpA; Elisra Electronics Systems Ltd.; ELTA Electronic Industries Ltd.; Embassy of France; Embassy of Germany; Embassy of Great Britain Defense Aerospace Systems and Services; Embassy of Israel Economic Affairs; Embassy of Japan; ESL Defence Ltd.; General Dynamics Information Systems & Technology; Indra EWS; Israeli Military Industries Ltd.; ITT Industries; Lockheed Martin Corp.; MIKES Inc.; Northrop Grumman Corp.; Rafael-Electronic Systems; Raytheon EW Systems; Saab AB; Thales; The Joint Strike Fighter; Wallop Defence Systems

Keywords in this release: Airborne, electronic warfare, EW, self-protection system, combat aircraft, man portable air defense systems, MANPADS, infrared jammers, IR jammers, counter measure, CM, electro-optically guided missiles, EO-guided missiles, surface-to-air missiles, SAM, missile warning systems, MWS, directed IRCM, DIRCM, towed decoys, advanced IR flares, radio frequency, RF, IR decoys