Pentagon to invest in PC-style radios: Defense Dept. hopes to save millions of dollars in future upgrade costs.

• Author: Erwin, Sandra I.
• Position: Statistical Data Included

The Defense Department's decision to spend at least $1 billion during the next five years on a new family of combat radios will force companies in the tactical communications industry to change their marketing strategies both in the United States and internationally.

Beginning in 2005, the U.S. military services will start replacing traditional single-function radios with the so-called joint tactical radio system. JTRS radios are software-defined and work like a PC. A single box will operate every waveform used by the Defense Department.

In late June, the JTRS program office awarded an $865 million contract to a team led by the Boeing Co. to develop Cluster 1 of the JTRS radios. These will replace existing ground-vehicle radios for the U.S. Army, Air Force, Marines, as well as Army aviation radios. The Boeing-led consortium beat its long-time rival, the Raytheon Co.

Boeing's win was viewed as an upset victory, given that Raytheon's team, which includes ITT Industries and General Dynamics, manufactures nearly two-thirds of all U.S. tactical radios.

It is estimated that, under Cluster 1, the contractors ultimately could build up to 100,000 radios during the next 10-15 years--most of them for Army and Marine ground vehicles. The Air Force would buy about 500 and more than 2,000 would be allocated for Army helicopters. There are 21 waveforms in the Cluster 1 lot. Subsequent clusters will add at least 12 more.

Boeing will not manufacture the radios, but will serve as the systems integrator. The hardware will be produced by Rockwell Collins, BAE Systems and Harris RF Communications.

"This award shows that the Defense Department is buying into the software communications architecture," said Air Force Col. Steve MacClaird, program manager for JTRS. He said that the military services collectively operate 750,000 radios today. At least 250,000 JTRS systems would be needed to supplant the existing radios. In many cases, he said, one JTRS radio can replace five traditional radios on a Humvee, for example.

During a briefing to reporters in Washington, McClaird said that one of the main strengths in the Boeing proposal was the "unlimited software rights for the government." That is important, he said, because it will save the Defense Department millions of dollars a year that currently are spent on software-programmable radios.

It should be noted that software-based radios have been around for many years. But industry experts caution that there are...