Business

January 5, 2014

Deloitte report: Projects five percent growth in aerospace, defense industry, technology innovations to dominate in 2014

The continued decline of defense spending  into 2014 will likely force new revenue streams for the aerospace and defense industry that may include innovations in intelligence, precision strike technologies, and cyber security.

This is according to the Deloitte Touche Tohmatsu Limited 2014 Global Aerospace and Defense Outlook , which also projects the industry to repeat a modest growth of 5 percent, mirroring the growth rate of the past two years.

“It is anticipated that global revenues for the defense sector will track to similar levels as in the past two years, particularly in the U.S. and Europe,” said Tom Captain, DTTL Global Aerospace and Defense sector leader.

The commercial aerospace sector is expected to again set records for production of aircraft, due to the accelerated replacement cycle of obsolete aircraft with next generation fuel-efficient aircraft, and growing passenger travel demand, especially in the Middle East and the Asia Pacific regions.

The decline in defense spending will challenge the industry to find new sources of revenue.  These may include innovations in next generation intelligence surveillance, reconnaissance and precision strike technologies, cyber-security, opportunities in adjacent markets, potential new commercial ventures, and also acquisitions of synergistic businesses. On the other hand, the significant demand for new commercial aircraft will pressure supplier networks to continuously improve its engineering design, manufacturing and supply chain management capabilities, all the while being able to cost effectively meet tougher price concession requirements from customers.

“As we celebrate the 110th anniversary of the Wright Brothers’ first powered flight, we are reminded that the industry is still young, yet it has contributed much, with technology innovation at the heart of advancements in the industry,” adds Captain. “2014 and the rest of the decade promises to deliver even more exciting technology innovations that will focus on the way consumers travel by commercial aircraft, communicate via satellites, shop over the internet, conduct armed conflict when necessary, and assist with humanitarian missions to far reaches of the globe.”

View the report at www.deloitte.com/us/2014ADoutlook.




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


 
 

 

Headlines May 27, 2015

News: U.S. Air Force certifies SpaceX for military launches - SpaceX has been certified for military space launch, the U.S. Air Force announced May 26. The long-awaited announcement is a game changer, with SpaceX becoming only the second provider cleared by the service to launch national security payloads into orbit.   Business: Northrop Grumman CEO issues...
 
 

New’s Briefs May 27, 2015

U.S. military begins search flights for stranded Rohingya The United States has begun military surveillance flights to help locate stranded Rohingya and Bangladeshi boat people in Southeast Asian seas. State Department spokesman Jeff Rathke said May 26 that U.S. Navy P8 aircraft flew over the weekend with Malaysian support. Rathke said the U.S. has offered...
 
 
nasa-commercial-crew

Commercial Crew milestones met; partners on track for 2017 missions

NASA has taken another step toward returning America’s ability to launch crew missions to the International Space Station from the United States in 2017. The Commercial Crew Program ordered its first crew rotation mission fro...
 

 
af-spacex

Air Force certifies SpaceX for national security space missions

Lt. Gen. Samuel Greaves, commander of the Air Force Space and Missile Systems Center and Air Force program executive officer for space, has announced the certification of Space Exploration Technologies Corporation’s Falco...
 
 

Northrop Grumman passes key design review for B-2 weapons management upgrade

Northrop Grumman has successfully demonstrated to the U.S. Air Force that its plans to upgrade key weapons management software for the B-2 stealth bomber are on track and ready to proceed to the next level of development. The company successfully completed the critical design review of the service’s Flexible Strike Phase 1 program on Feb...
 
 
boeing-space

Boeing awarded first-ever commercial human spaceflight mission

NASA issued a task order as part of Boeing’s $4.2 billion Commercial Crew Transportation Capability contract recently to include the company’s first-ever service flight to the International Space Station. The award ...
 




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>