The buy not only allows BAE to amp up its precision-guided munitions portfolio, but also positions it for entry into the budding market for receivers of the military’s encrypted GPS M-Code, a BAE spokesperson told Breaking D.
The M-code is expected to improve security and anti-jamming capabilities for GPS-reliant military systems, which number in the hundreds and run the gamut from fighter jets to warships to precision-guided weapons.
“The Military GPS acquisition brings new capabilities to the Precision Strike & Sensing Solutions business with its industry-leading GPS receivers,” explained BAE spokesperson Mark Daly in an email. Precision-guided munitions (PGMs) are a major strategic thrust for the Precision Strike business, and these GPS receivers provide secure and resilient position data that can help our PGMs be more precise.”
“The business is currently developing the next generation of M-Code GPS technologies for the U.S. military,” he added.
According to today’s press release, the Collins Military GPS business currently has a “global installed base in excess of 1.5 million devices on more than 280 airborne, ground, and weapon system platforms. The business designs and produces advanced, hardened, and secure GPS products with a range of form factors, including products designed for space-constrained and harsh environments.
“This partnership will enable us to build on our market leadership and bring new discriminating capabilities to our customers, including the U.S. Department of Defense and its allies,” said Greg Wild, director of Military GPS.
The acquisition plan was announced in January, flowing from Raytheon’s mega-merger of Raytheon and United Technologies Corp. (UTC) into Raytheon Technologies Corporation. One of the terms of the merger’s approval by the Justice Department was that the combined firm divest from three business units that could create monopoly situations: UTC’s Collins Military GPS; UTC’s space-based sensors business; and Raytheon’s Airborne Tactical Radios (ATR) business. The January BAE-Raytheon deal included a buy of the latter business as well.
The Raytheon-UTC merger was finalized in April, creating four business units: Raytheon Intelligence & Space, Collins Aerospace Systems, Pratt & Whitney, and Raytheon Missiles & Defense. (Theresa Hitchens).