Marconi Electronic Systems

Marconi Electronic Systems (MES), or GEC-Marconi as it was until 1998, was the defence arm of The General Electric Company (GEC). It was demerged from GEC and acquired by British Aerospace (BAe) on November 30 1999 to form BAE Systems. GEC then renamed itself Marconi plc.

MES exists today as BAE Systems Electronics Limited, a subsidiary of BAE Systems, but the assets were rearranged elsewhere within that company. MES-related businesses include BAE Systems Submarines, BAE Systems Naval Ships, BAE Systems Insyte and SELEX Sensors and Airborne Systems (now owned by Finmeccanica).

Organisation

• Marconi Avionics
• Marconi North America
• Marconi Naval Systems
• Alenia Marconi Systems (AMS)
• Matra Marconi Space
• Thomson Marconi Sonar

History

MES represented the pinnacle of GEC's defence businesses which have a heritage of almost 100 years. Following GEC's acquisition of Marconi in 1968 the Marconi brand was used for its defence businesses e.g. Marconi Space & Defence Systems (MSDS), Marconi Underwater Systems Ltd (MUSL). GEC's history of military products dates back to World War I with its contribution to the war effort then including radios and bulbs. World War II consolidated this position with the company involved in many important technological advances, most notably radar.

Between 1945 and GEC's demerger of its defence business in 1999, the company became one of the world's most important defence contractors. GEC's major defence related acquisitions included Associated Electrical Industries in 1967, English Electric (including its Marconi subsidiary) in 1968, parts of Ferranti's defence business in 1990 and Vickers Shipbuilding and Engineering in 1995. In June 1998, MES acquired Tracor, a major American defence contractor, for $1.4bn.

Demerger

On 1996-03-18 Simpson was confirmed as managing director of GEC as replacement to Lord Weinstock. In reporting the appointment The Independent said "some analysts believe that Mr Simpson's inside knowledge of BAe, a long-rumoured GEC bid target, was a key to his appointment. GEC favours forging a national 'champion' defence group with BAe to compete with the giant US organisations."

However, GEC announced its intention to sell MES in late 1999.

Since October 1998, reports had been linking BAe with the German aerospace group DASA. In December 1998, reports emerged that GEC was seeking a partner for MES, the value of which was greatly increased by the Tracor acquisition. Prospective partners included Thomson-CSF (by 1998 on the path to privatisation) and various American defence contractors (e.g. Lockheed Martin and TRW). GEC had already been active in pursing consolidation in the defence business. In 1997 it made an ultimately unsuccessful proposal to the French government to privatise Thomson-CSF and merge it with MES.

The prospect of a merger of UK companies soon became the most likely development. In mid January 1999, GEC and BAe confirmed they were holding talks and on January 19 it was announced that BAe was to acquire MES for £7.7bn ($12.75bn).

While MES was responsible for the majority of GEC's defence sales other GEC companies achieved defence related sales, principally GEC Alsthom, GEC-Plessey Telecommunications (GPT) and GEC Plessey Semiconductors.

Major projects

This is a partial list:

• Produced 12 of the class of 16 Type 23 frigates. Also the major electronics & equipment supplier for the class.
• Civil avionics, e.g. Boeing 777 fly-by-wire systems
• UK Prime Contractor on the Horizon CNGF programme until 1999. Following the withdrawal of the UK from the programme MES was awarded the susbequent Type 45 destroyer Prime Contractor position several days before merging with BAe.
• Part of Raytheon ASTOR bid team
• Royal Navy Astute class SSN
• Spearfish torpedo
• Brimstone Anti-Armour Missile
• TIALD laser designator pod
• AI.24 Foxhunter, radar for the Tornado
• ECR-90, radar for the Eurofighter Typhoon.
• Member of Boeing X-32 JSF development team

See also

• Marconi Scientists - Article about the 25+ defence employees who have died in mysterious circumstances since the early 1980s
• CMC Electronics - formerly the Canadian Marconi Company, once part of EE/GEC & BAe
• "Tesla's Wardenclyffe Tower 'Long Range Weapon' research history, construction, utilization, association w/ Marconi Company / GE, and future ionospheric heater plans"
• "BAE Systems - APTI/ARCO program and apparatus-owner of the HAARP facility, railgun technology, electromagnetic armor, and, a sub-corporation partner with Raytheon via British Aerospace Corporation, as well as owner of Nicola Tesla's "Wardenclyffe Tower" (first EM long-range weapon) funding company, the Marconi Company"
• "Boeing, Lockheed Martin, BAE Systems, and Raytheon to create B2B exchange for the aerospace and defense industry, powered by Microsoft"

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