Navy Orders Four Unmanned Subs from Boeing
The $43 million deal is for the “fabrication, test, and delivery of four Orca Extra Large Unmanned Undersea Vehicles.” Boeing unmanned sub, known as Echo Voyager, is now being jointly developed with shipbuilder Huntington Ingalls. The unmanned submarine market could become a disruptive segment, according to Cowen and Company analyst Roman Schweizer writes in a Feb. 19 note to investors. “We think it’s notable that Boeing, an aerospace company, won the program,” he wrote. “It’s even more significant when considering that Leidos is building the Navy’s Sea Hunter and Textron is building the Common Unmanned Surface Vehicle. Why? Because they’re not traditional shipbuilders, but then again these aren’t large ships and submarines. If these unmanned programs are successful, it could mark a shift within the industrial base. We’re not suggesting an end to large, expensive ships and submarines at all. But it could create new budget, force structure and market dynamics within the shipbuilding sector.”
