BAe/Marconi Merger Threatens Consortium Challenge

Jan. 13, 2005
British Aerospace PLC's (BAe) plans to buy Marconi Electric Systems from Britain's General Electric Co. (GEC) and create the world's third-largest defense company aren't likely to produce a long-expected European-consortium challenger to U.S. domination ...

British Aerospace PLC's (BAe) plans to buy Marconi Electric Systems from Britain's General Electric Co. (GEC) and create the world's third-largest defense company aren't likely to produce a long-expected European-consortium challenger to U.S. domination of the global defense industry. BAe announced the purchase this week. Germany's DaimlerChrysler Aerospace AG, which has been urging an alliance among British, French, and German defense contractors, says the all-British deal is a mistake. "This is not a European merger. It is only going to complicate efforts toward European integration," claims a company spokesperson. "In fact, it is going to make a link between us and BAe impossible. We shall look elsewhere for partners." But where? France, which is stubbornly refusing to privatize state-owned Aerospatiale, cannot provide the answer. The merged BAe/Marconi Electronics will be known as New British Aerospace, employing 99,000 people, and, with estimated revenues of US$20.6 billion, trail only Boeing Co., Seattle, and Lockheed Martin Corp., Bethesda, Md.

Popular Sponsored Recommendations

Empowering the Modern Workforce: The Power of Connected Worker Technologies

March 1, 2024
Explore real-world strategies to boost worker safety, collaboration, training, and productivity in manufacturing. Emphasizing Industry 4.0, we'll discuss digitalization and automation...

3 Best Practices to Create a Product-Centric Competitive Advantage with PRO.FILE PLM

Jan. 25, 2024
Gain insight on best practices and strategies you need to accelerate engineering change management and reduce time to market. Register now for your opportunity to accelerate your...

Transformative Capabilities for XaaS Models in Manufacturing

Feb. 14, 2024
The manufacturing sector is undergoing a pivotal shift toward "servitization," or enhancing product offerings with services and embracing a subscription model. This transition...

Shifting Your Business from Products to Service-Based Business Models: Generating Predictable Revenues

Oct. 27, 2023
Executive summary on a recent IndustryWeek-hosted webinar sponsored by SAP

Voice your opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!