1 Soldier Modernization Market Segment Report February 2021 Copyright © 2021 Jane's Group UK Limited. All Rights Reserved. 2 Introduction As part of Janes’ support of the New Hampshire Aerospace and Defense Export Consortium (NHADEC), Janes will provide a series of ten high-level market reports on subjects of NHADEC’s choosing as well as two in-depth market segment reports. This market segment market report focuses on the soldier modernization market and is comprised of the following elements: 1. Overview of the main aspects of soldier modernization 2. Ongoing programs 3. Market forecast 2021-2025 Copyright © 2021 Jane's Group UK Limited. All Rights Reserved. Soldier modernization evolution 3 1990s-2000 2000s-2010 2010s-2020 2030s • Future soldiers programs have been in the making for decades, although the concept only started reaching maturity in the 1990s with the advent of France’s FELIN or the US Land Warrior and Objective Force Warrior. In the 1990s, most projects were still heavily influenced by Cold War type engagement scenarios with a strong focus on mechanized infantry. Technological ambitions were huge and envisioned the use of airburst type combined weapons by “super soldiers” fully networked, heavily armed, capable of dissimulating through adaptive camouflage and holograms and able to live of the land thanks to genetically altered seeds able to turn into edible vegetables in hours. • Of the different programs launched in the 1990s, only FELIN reached maturity, albeit in a much different form than originally conceived. The system started to be fielded by the end of the 2000s and made its debut in operations in Afghanistan in 2011. However, because of its very long maturation process, it already experienced obsolescence issues when first deployed (excessive wiring, oversized optics) and suffered extensive teething troubles, notably in terms of communications/C2 and weight. • Throughout the 2000s, most NATO countries as well as a number of other nations started working on their own soldier modernization programs, with the main focus now on C4I/situation awareness/information superiority and protection. The aim was now for soldiers to retain their edge in the face of either conventional or asymmetric threats, in a context where military operations tend to see increasingly fewer soldiers deployed over larger areas (Afghanistan, Iraq, Sahel) either on their own or in support of local forces. Survivability in general, and in an urban warfare scenario in particular was also seen as critical. By the end of the decade, several programs were entering maturity, leading to adoption in ensuing years, with notable examples including Israel’s IICS, Russia’s Ratnik, or Singapore’s ACMS. • Ongoing programs seek to further the aims of previous ones in the field of survivability and situation awareness while mitigating weight issues as well as information saturation. The integrationCopyright © 2020 of Jane's unmanned Group UK Limited. systems All Rights as Reserved.a part of a soldier’s ecosystem and equipment is also becoming a priority. Program types 4 Soldier Modernization programs fall in two broad, distinct categories: • Conventional programs: • These are focused on dismounted infantry and generally fitting into larger efforts (e.g. France’s SCORPION). • They follow a holistic approach: most programs cover the entire equipment of the infantryman, although some may have a narrower focus, on C2/C4I (ex: Canada’s ISSP). • The main aims are to: increase soldier situation awareness improve C2 to reduce decision-making time improve soldier survivability through greater protection and stealth mitigate soldier’s weight increase to achieve greater mobility and endurance increase soldier lethality • Certain programs (Russia’s Ratnik 1 and 2/Singapore ACMS) make provision for Special Forces (SF) adoption. • Special Forces centric programs: • These are much less numerous since SF tend to favour a more flexible planning and procurement approach centred on a single given capability (for example Nano UAVs). • Only one SF centric program is known to exist to date: the US TALOS which has now evolved into the HEO. • The Russian Ratnik 3 may also be centred on SF requirements, although Russia has not acknowledged it. • Because of the very adaptive nature of SF units and their constantly evolving requirements, holistic programs can be too cumbersome for acquiring new capabilities/technologies. • Trying to accommodate SF requirements within a conventionally-centred future soldier program is seldom viable, except for certain components (ex: C4I). Copyright © 2020 Jane's Group UK Limited. All Rights Reserved. 5 Future soldier = Networked soldier Greater exportability Hardware agnostic Dominator Nett Warrior Smart Vest Gladius II FSS • The core of all soldier modernization programs is the individual soldier’s networking/connectivity. Indeed, several militaries have purely focused on such element as part of their own soldier modernization effort as is the case with Canada which has invested in Rheinmetall’s Argus C2 solution or Belgium and the Netherlands which use the Smart Vest, a derivative of the Elbit Dominator. The US meanwhile is using COTS elements such as the Samsung Galaxy II and a militarized securedNet variant of Android to integrate its BMS solution for the Nett Warrior program. • This evidences a growing trend towards software-centric solutions, where hardware, such as the display on which the BMS is deployed become secondary and is usually sourced commercially. Holistic solutions such as SAFRAN’s FELIN and its purpose designed networking hardware are Copyrightvery © 2020 expensive Jane's Group UKto Limited.develop All Rights Reserved. and often too customized to satisfy a wide customer base. 6 Soldier Modernization Programs Overview Copyright © 2021 Jane's Group UK Limited. All Rights Reserved. Australia: Land 125: Overview 7 List of components Supplier Program price Phase 3 Battle Management System – Elbit Systems Unit price estimate for C2 elements (tablet, software, peripherals) is US$10,000 Dismounted (BMS-D) Phase 3B Tiered Combat Helmet Team Wendy Phase 3B Body Armor Craig International Ballistics Approximately 20,000 sets of body armor for $49 million Phase 4 Integrated Soldier Systems Unawarded Up to $1 billion over 13 years Phase 5C EF88 rifle Thales Australia AUD100 million for 30,000 rifles and 2,277 integrated Steyr Mannlicher side‐loading SL40 40 mm grenade launchers Copyright © 2021 Jane's Group UK Limited. All Rights Reserved. Australia: Land 125: Background 8 • Land 125 Phase 3 Battle Management System – Dismounted (BMS-D): Australia had faced criticism for the lack of “blue force tracking” and limited interoperability with allied forces. Awarded in 2010, the system consists of a Battle Management System (BMS), the necessary computing and display hardware for use by dismounted and vehicle borne troops and in command posts, plus associated ancillary equipment and is essentially a derivative of elements of the Israel Defense Force's (IDF) Tzayad Digital Army Program. The BMS is based on Elbit's TORC2H command and control (C2) application software and Tactical Intranet Geographic dissEmination in Real-time (TIGER) network software, which provides the communications layer for the system. TORC2H provides situational awareness and a common tactical picture to all users on the system, with graphical orders dissemination and a messaging capability. The individual soldier equipment is similar to that provided by Elbit for the IDF's Dominator program, and includes a tactical computer, individual touchscreen display and handheld eyepiece. Tranche 2 was awarded in November 2017. • Land 125 Phase 3B: Second tranche of enhanced body armor and helmets, individual load carriage equipment, and hearing protection. It was supplied by Craig International Ballistics with approximately 20,000 sets of body armor for $49 million. “The Tier 3 TBAS plate carrier provides additional coverage of the combatant for greater protection, while the Tier 2 carrier maximizes mobility and reduces the thermal burden (core temperature) of the soldier. The Tiered Combat Helmet from US company Team Wendy utilizes a high cut design with rails to facilitate the integration of head-borne equipment and provides protection from fragmentation, blunt force impact and rounds of up to 9mm. The helmet uses an over-ear protection system and external microphones to enable active listening, and also integrates with service radios, providing an increased level of situational awareness.” Copyright © 2021 Jane's Group UK Limited. All Rights Reserved. Australia: Land 125: Background 9 • Phase 4 Integrated Soldier Systems project: Valued at up to $1 billion over its 13-year life cycle, Phase 4 would deliver a range of equipment. According to Minister of Defense Christopher Pyne: “We’re taking a flexible approach here, investing up to $240 million between now and 2023, with the flexibility to update and change things as technology develops into the future.” • ISSP: Body armor, helmets, hearing and eye protection, load carriage equipment, and field equipment (like water purifiers, helmet torches, storage bags, cooking gear, and sleeping bags) “Enhance the basic equipment used by soldiers to keep it up to date” Consider hand-held translators, VSUAS, exoskeletons, UGVs • Land 125 Phase 5C – EF88: The enhanced F88 (EF88) 5.56 mm rifle is replacing the Austeyr F88 that has been the ADF’s primary individual weapon since 1988. Provisional design acceptance for the EF88 5.56