According to comprehensive news from WorldWay Immigration:2014 year8 month3 day, the Defense News website of the United States released the updated list of the Global Top 100 Defense Companies. The top ten companies are Lockheed Martin Corporation from the United States, Boeing Company from the United States, BAE Systems from the United Kingdom, Raytheon Company from the United States, Northrop Grumman Corporation from the United States, General Dynamics Corporation from the United States, Airbus Group from Europe, United Technologies Corporation from the United States, Thales Group from France, and Leonardo S.p.A. from Italy. Except for Thales Group, which ranked 9th and saw an increase in the proportion of its military products business, the remaining companies all experienced a decline or stagnation in the proportion of their military products business. A significant trend in the development of defense companies is the increasing blurring of the lines between military and civilian products while continuing to expand into the Middle Eastern and Asian markets.
Lockheed Martin Corporation remains in first place, continuing to diversify its business and entering civilian fields such as air traffic management, flight training and simulation, energy, and advanced manufacturing.In 2013, military product revenue decreased by$4.3 billion compared to 2012, but the company's total revenue only decreased by$1.8 billion. Steven Grundman, former chairman of the U.S. Department of Defense's Industrial Policy, stated that overall, participating in the civilian market and having a business structure with civilian technology is more conducive to supporting the development of military products than a structure that only includes military products. Pure defense companies have limited growth space and should seek diversified development.
Boeing Company, ranked second, primarily focuses on civilian products. The company's2013 total revenue increased by nearly$5 billion, but the proportion of military products business decreased from38.4% to36.9%. Boeing's chairman, Chadwick, stated that if a company can provide more capabilities at a lower cost, from an innovative perspective, and offer more capabilities for existing platforms at a fair price, it will achieve leadership. Additionally, many civilian companies in various fields, including cybersecurity, are making significant investments to enter the defense market.
However, Byron Callan, an analyst at Capital Alpha Partners, stated that while some companies have seen an increase in the proportion of their civilian products business, it does not mean that the diversification strategy of civilian products business is the fundamental reason for success; it is merely that the defense market is shrinking faster than some civilian products businesses. Some company leaders have indicated that they will scale back operations and focus more on core businesses.
WorldWay Immigration Editor
