Raytheon offers radar for F-16, other fighter upgrades

By Jim Wolf

FARNBOROUGH (Reuters) - Raytheon Co (RTN.N) said it was offering what it described as a breakthrough radar that could boost performance of F-16 and other fighter aircraft worldwide, potentially generating billions of dollars in revenue.

The sensor is a smaller, scalable version of an advanced Raytheon radar already in production for the U.S. Navy F/A-18E/F and Air Force F-15C and E fighter aircraft, the company said on Monday at the start of the Farnborough International Airshow, the premier aviation showcase and arms bazaar.

The new Raytheon Advanced Combat Radar is aimed at customers in the worldwide fighter market, particularly those with F-16 and F/A-18A+/C/D aircraft, it said.

The technology is also adaptable for a wide range of other fighter aircraft.

"It's an opportunity in the multibillion-dollar category for worldwide sales in the next decade," said Travis Slocumb, business development chief for Raytheon's Space and Airborne Systems business unit.

The older F-16 market traditionally has been dominated by rival radar maker Northrop Grumman Corp (NOC.N).

Northrop bested Raytheon in a competition for the modern radar that equips Lockheed Martin's F-35 Joint Strike Fighter developed by the United States and eight other countries.

Nearly 4,400 F-16s have been built for 24 countries since production started more than 30 years ago, according to Lockheed Martin Corp (LMT.N), which produces the multi-role fighter.

The new product is a version of the "revolutionary" sensor known as Active Electronically Scanned Array, or AESA, Raytheon said. Such radars are a key feature of modern fighter competitions.

Their advantages over mechanically scanned arrays are many -- a faster scanning rate, higher range, an ability to track and engage many more targets, low probability of intercept, ability to function as a jammer, and simultaneous air and ground modes.

Raytheon's new product requires "no fancy plumbing" in the aircraft to which it is added, said Mike Henchey of the company's Tactical Airborne Systems business unit. It uses existing power and cooling, he added.

Raytheon AESA radars are under contract to Singapore and Australia. Boeing (BA.N) has included Raytheon's APG-79 AESA radar in its F/A-18E/F Super Hornet candidate in an Indian fighter competition potentially worth more than $10 billion for 126 multi-role fighter jets.

William Ostrove, an expert on radar at aerospace consultancy Forecast International, said Raytheon was betting that many countries would want to upgrade their F-16s with an AESA capability.

"The new radar will give Raytheon an entry into those markets," he said in an emailed message.

With the F-35 likely to dominate the fighter market for a long time to come, Northrop Grumman will dominate the fighter radar business during the same time period, he said.