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    Wednesday, March 26, 2008

    Reuters - Pentagon approves development of new radios

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    Pentagon approves development of new radios

    Wednesday, Mar 26, 2008 4:4PM UTC

    WASHINGTON (Reuters) - The Pentagon on Wednesday said it approved the start of development of a next-generation radio system for aircraft, ships and ground stations, paving the way for a huge contract award to either Boeing Co <BA.N> or Lockheed Martin Corp <LMT.N> in coming days.

    Pentagon acquisition chief John Young signed a document approving the next phase of the Joint Tactical Radio System program late on Monday.

    Defense analysts say the contract for system design and development of the Airborne Maritime and Fixed Station (AMF) segment of the program will total $800 million to $1.2 billion. A later production contract could translate into business deals valued at $10 billion or more over the long term, they say.

    (Reporting by Andrea Shalal-Esa; editing by John Wallace)

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