Business

February 20, 2013

Arms vendors turn to cyber security as sales drop

The world’s largest arms vendors are expanding in the cybersecurity sector as austerity measures weigh on sales of traditional weapons, a Swedish peace research institute said Feb. 18.

Sales by the 100 largest arms producing companies, excluding Chinese companies, fell by 5 percent to $410 billion in 2011, the Stockholm International Peace Research Institute said in its annual review of the industry.

The drop was mainly due to austerity measures and the withdrawal of troops from Iraq and Afghanistan, SIPRI said, but pointed out that cybersecurity has remained a privileged spending area for governments despite budget cuts.

“Cybersecurity has become a top national security issue and there has been a lot of discussion about that over the last years,” SIPRI cybersecurity expert Vincent Boulanin said. “Countries are willing to gear up to face potential cyberthreats from other countries or private actors.”

Cybersecurity first became a major issue following the attack against Estonia in 2007 that used thousands of infected computers to cripple dozens of government and corporate websites, Boulanin said. Since then, numerous attacks have occurred that have increased the demand for security products, including the recent Chinese hacker attacks against The New York Times and The Wall Street Journal.

Boulanin said arms dealers are taking advantage of these developments to expand into new fields and are acquiring smaller companies to get hold of the necessary technical expertise. The ventures mainly involve services for data and network protection, testing and simulation, training and consulting and operational support.

SIPRI also said U.S.-based Lockheed Martin remained the biggest arms vendor in 2011, with arms sales of $36.27 billion, while Boeing overtook Britain’s BAE Systems as the second largest weapons merchant.

Here’s SIPRI’s list of the top 10 arms vendors in 2010 (2009 ranking in parenthesis):

1. Lockheed Martin, U.S, $36.27 billion (1).

2. Boeing, U.S., $31.83 billion (3).

3. BAE Systems, Britain, $29.15 billion (2).

4. General Dynamics, U.S., $23.76 billion (5).

5. Raytheon, U.S., $22.47 billion (6).

6. Northrop Grumman, U.S., $21.39 billion (4).

7. EADS, Trans-European, $16.39 billion (7).

8. Finmeccanica, Italy, $14.56 billion (8).

9. L-3 Communications, U.S., $12.52 billion (9).

10. United Technologies, U.S., $11.64 billion (10).

 




All of this week's top headlines to your email every Friday.


 
 

 
LM-C5

Double Deuce

A U.S. Air Force crew ferried the 22nd C-5M Super Galaxy from the Lockheed Martin facilities in Marietta, Ga., Aug. 25. Aircraft 86-0011 was ferried by a crew led by Maj. Gen. Dwyer L. Dennis, Director, Global Reach Programs, O...
 
 
Northrop Grumman photograph

First ever RQ-4 Global Hawk hits 100th flight on NASA mission

Northrop Grumman photograph A historical look at the first Global Hawk (AV1) during its maiden flight over Edwards Air Force Base, Calif., on Feb. 28, 1998. AV1 has made history again with its 100th flight in support of NASA en...
 
 

Northrop Grumman’s CIRCM system completes U.S. Army flight testing

Northrop Grumman’s Common Infrared Countermeasures system recently completed another round of U.S. Army testing by demonstrating its capabilities on a UH-60M Black Hawk helicopter. The flight test was conducted at Redstone Arsenal in Huntsville, Ala., by the Redstone Test Center. The Northrop Grumman CIRCM system was subjected to rigorous conditions over a six-week period, after...
 

 

USSOCOM signs a five-year framework contract for the Carl-Gustaf weapon system

Defense and security company Saab has signed a new framework contract with the U.S. Special Operations Command for the company’s Carl-Gustaf man-portable weapon system (in the U.S. named MAAWS; Multi-role, Anti-armor Anti-Personnel Weapon System). The contract is a follow on agreement to a previous five-year contract for the 84mm recoilless rifle system. In connection with...
 
 

RQ-4 Global Hawk demonstrates expanded mission capabilities

With several test flights this summer, the U.S. Air Force RQ-4 Global Hawk Wide Area Surveillance Unmanned Aircraft System proved its ability to operate with an expanded variety of intelligence exploitation ground stations and collect mission data in more places. The RQ-4 Global Hawk UAS is built by Northrop Grumman and is equipped with a...
 
 
boeing-jordan

Boeing celebrates delivery of Royal Jordanian’s first 787 Dreamliner

  Boeing and Royal Jordanian Aug. 27 celebrated the delivery of the airline’s first 787 Dreamliner. The airplane will play a central role in the Amman-based airline’s strategic plan for fleet modernization. Roy...
 




0 Comments


Be the first to comment!


Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>