L3Harris to buy Viasat datalink business

by Marc Selinger

Viasat's datalink products include software-programmable radios. (Viasat)

L3Harris Technologies plans to expand its military communications portfolio by acquiring Viasat's Tactical Data Link (TDL) business for about USD2 billion, the two US-based companies announced on 3 October.

Viasat's TDL products, including terminals and handheld radios, enable troops aboard aircraft, ground vehicles, and ships to securely share voice and data communications on the Link 16 military network. The TDL business, which is part of Viasat's Government Systems segment, employs about 450 people and generates about USD400 million in annual sales.

The acquisition is part of a broader effort by L3Harris to help the US Department of Defense implement its Joint All-Domain Command-and-Control (JADC2) concept, which calls for connecting sensors across the military services. The company received a contract award in July to upgrade the US Navy's situational awareness and fire-control equipment. L3Harris is one of five companies the US Air Force recently selected to improve its battle management and command-and-control infrastructure.


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Japan sets defence budget target of 2% of GDP

by Jon Grevatt

Japan aims to achieve defence spending worth 2% of GDP by 2027. Janes Defence Budgets analysis suggests that while this effort might prove overambitious, even a limited increase in the proportion of funding allocated to defence will result in strong growth in expenditure. (Janes Defence Budgets)

Japan's Defense Minister Yasukazu Hamada has confirmed a government plan to strongly increase defence spending over the next few years to support the “drastic strengthening of [Japan's] defence capabilities”.

Hamada said in a Ministry of Defense (MoD) press conference that the plan had been endorsed by Prime Minister Fumio Kishida, who, on 28 November, directed his government to increase defence spending to 2% of national GDP by 2027.

“Towards the drastic strengthening of our defence capabilities, [the] prime minister has said it is necessary to urgently strengthen [the defence budget] within five years,” Hamada said in comments published by the MoD.

He added, “I have been instructed to decide on measures to secure financial resources for defence expenditure and revenue in an integrated manner. In response to the prime minister's instruction, the MoD will accelerate co-ordination with the Ministry of Finance and others.”


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Czechoslovak Group buys ammo maker Fiocchi Munizioni

by Marc Selinger

Fiocchi makes ammunition for the .50 Browning Machine Gun. (Fiocchi)

Czech Republic-based conglomerate Czechoslovak Group (CSG) has expanded its foreign footprint by acquiring a 70% stake in Italian ammunition manufacturer Fiocchi Munizioni, the buyer announced on 25 November.

Petr Formánek, CSG's head of mergers and acquisitions, said the Fiocchi purchase is consistent with CSG's strategy of buying companies that are “oriented towards Western Europe and the US”. CSG chairman Michal Strnad said that Fiocchi enjoys a “solid presence” in NATO countries.

Fiocchi, which makes ammunition for handguns, machine guns, rifles, and shotguns, will become part of a new CSG division called CSG Ammo+. Fiocchi employs more than 1,300 people and expects to generate a consolidated revenue of over EUR380 million (USD393 million) in 2022. It has operations in the UK and the US in addition to Italy.

About a fifth of Fiocchi's production is for its defence and law-enforcement segment, a CSG spokesperson told Janes on 28 November. Fiocchi also serves the hunting and sports shooting markets.


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Update: First C-130J-30 for Indonesia produced

by Akhil Kadidal

The first of five C-130J-30s ordered by Indonesia conducts its first test flight on 27 October 2022. (Lockheed Martin)

The first of five Lockheed Martin C-130J-30s ordered for the Indonesian Air Force (TNI-AU) has conducted its first test flight, and the aircraft is being prepared for delivery in 2023.

Lockheed Martin told Janes that the first aircraft (serial number A-1339) is scheduled for delivery in the first quarter of 2023. The remaining four aircraft will be delivered through 2024, a Lockheed Martin spokesperson said. The company added that the first aircraft conducted its maiden test flight on 27 October.

Indonesia has been considering augmenting its existing C-130 fleet for several years. The Indonesian Ministry of Defense did not respond to Janes query for information about the contract details or the acquisition at the time of publication.

The company has since confirmed to Janes that the first aircraft are being sold to Indonesia as part of a Direct Commercial Sale (DCS). Janes assesses that the deal was likely signed in 2019.


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L3Harris Technologies plans to expand its military communications portfolio by acquiring Viasat's Ta...

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