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Teal Group Corporation's overall, cumulative military electronics Manufacturer Market Shares Forecast for the next ten years (FY18-FY27) shows 33.1% of the total market will be available for new primes (worth a whopping $161.0 billion), when considering that continuing production for most current programs is locked up by the incumbent. Note that a much higher share than this 33.1% will be available for subcontractors.
Sure, I could write yet another piece about the A380. My favorite target was back in the news for all the wrong reasons this month. Airbus spent its investors' conference grappling with the A380's grim commercial situation, with one executive implying that the plane could die in a few years and another promising that it would be rejuvenated with new engines. There's so much to say about this.
Teal Group’s Military Electronics Briefing Market Overview forecasts the military electronics market available to U.S. manufacturers will rise steadily with a 4.4% CAGR over the next five years (FY18-FY23), while new-platform procurements will continue to decline over the next decade. Teal Group forecasts a $486.1 billion total military electronics market from FY18-FY27.
First, the good news. Even though the recent F-35 fire and subsequent fleet grounding came at a bad time, it likely will be brief. Since the aircraft has accumulated more than 3,000 flights and 5,000 flight hours, the problem is highly unlikely to be related to a serious design flaw. As of late last week, it appeared to be the result of "excessive rubbing" of engine blades on the powerplant cowling.