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Contact: Andrew Dardine, Senior Aerospace & Defense Analyst

Phone: (203) 426-0800
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E-mail: andrew.dardine@forecast1.com
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FOR IMMEDIATE RELEASE

Counter-IED Effort Spurs $24.6 Billion Electronic Warfare Market
NEWTOWN, Conn. [February 14, 2011] — An estimated $24.6 billion will be spent on the development
and production of major EW programs over the next 10 years, according to Forecast International’s “The
Market for Electronic Warfare Systems” analysis. Some 35,702 electronic countermeasures (ECM), radar
warning receivers (RWRs), electronic support measures (ESM), and other EW systems will be produced
from 2011-2020.
"The counter-IED effort and the market for its various systems will especially warrant close monitoring in
the years to come,” said Andrew Dardine, Forecast International Electronic Warfare Analyst. “With the
surge of U.S. troops into Afghanistan, there has been a corresponding proliferation in the use of IEDs.
Major contracts are likely to be awarded for rapid procurement and deployment to troops in the field, as
well as for RDT&E of new techniques."
Still, the production of counter-IED systems is only one part of the EW picture, and defense manufacturers
will be busy fulfilling demand for a wide variety of systems. This analysis states that the top-ranked EW
system producers in the next decade will be Northrop Grumman, BAE Systems, Raytheon, ITT, and
Lockheed Martin.
The next several years will see steady production of Northrop Grumman's APG-81 EW-capable radar for
the F-35 and the AAQ-24 Directed Infrared Countermeasures (DIRCM) and Large Aircraft IRCM
(LAIRCM) systems for an international clientele. The Pentagon plans to spend well over $1 billion through
FY15 on LAIRCM procurement for various Air Force aircraft. Last year, the U.S. Navy's Advanced
Tactical Aircraft Protection Systems Program Office purchased LAIRCM for the Marines Corps’ CH-53E
Sea Stallion aircraft.
Northrop Grumman is also one of four companies (the others being BAE Systems, ITT, and Raytheon)
awarded firm-fixed-price contracts to conduct research toward development of innovative concept solutions
at the system level that address Next-Generation Jammer (NGJ) requirements.
Leading aircraft self-protection and warning systems help keep BAE Systems among the top producers of
EW technology. Among these, the AAR-57 Common Missile Warning System (CMWS), the ALQ-212
Advanced Threat Infrared Countermeasures (ATIRCM) system, and the ALE-55 Fiber-optic Towed Decoy
(FOTD) system will provide $2.2 billion of the company's total market share, according to this analysis.
Like Northrop Grumman, BAE Systems is heavily invested in the development of the NGJ.
In June 2010, the Pentagon awarded BAE Systems a $30.9 million modification to a previously awarded
contract for low-rate initial production (LRIP) of the ALE-55 for U.S. Navy and Royal Australian Air
Force F/A-18E/F aircraft.
ITT is well positioned to be a major player in the NGJ program and has already taken a decisive lead in the
all-important, counter-IED effort. This advantage is the result, in part, of years of success in providing
proven, widely deployed EW systems like the ALQ-211 Suite of Integrated RF Countermeasures/Advanced
Integrated Defensive EW Suite (SIRFC/AIDEWS).
Also on the counter-IED front, the U.S. Naval Sea Systems Command in December 2010 exercised the
third option of a $29 million Joint Counter Radio-Controlled Improvised Explosive Device Electronic
Warfare (JCREW) 3.3 contract, awarding ITT the contract to develop this next-generation counter-IED
system. JCREW 3.3 is planned to enable the networking of several jammers to address threats in a more
streamlined way. Versions will include man-portable, vehicle mounted, and fixed site (for installations such
as military bases) that all work together to prevent the detonation of IEDs. ITT will develop all three
capabilities under this contract.
Forecast International, Inc. (www.forecastinternational.com) is a leading provider of Market Intelligence
and Analysis in the areas of aerospace, defense, power systems and military electronics. Based in
Newtown, Conn., USA, Forecast International specializes in long-range industry forecasts and market
assessments used by strategic planners, marketing professionals, military organizations, and governments
worldwide. To arrange an interview with Forecast International’s editors, please contact Ray Peterson,
Vice President, Research & Editorial Services (203) 426-0800, ray.peterson@forecast1.com. Proprietary
Special Research is also available. Contact Jonathan Watson, Managing Director, The Forecast Consulting
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