{"id":59348,"date":"2018-10-10T20:33:44","date_gmt":"2018-10-10T20:33:44","guid":{"rendered":"https:\/\/one.sightlinemg.com\/defensenews\/uncategorized\/2018\/10\/10\/italian-shipbuilders-tout-systems-engineering-chops-ahead-of-french-merger-talks\/"},"modified":"2026-08-08T00:20:29","modified_gmt":"2026-08-08T00:20:29","slug":"italian-shipbuilders-tout-systems-engineering-chops-ahead-of-french-merger-talks","status":"publish","type":"post","link":"https:\/\/one.sightlinemg.com\/defensenews\/global\/europe\/2018\/10\/10\/italian-shipbuilders-tout-systems-engineering-chops-ahead-of-french-merger-talks\/","title":{"rendered":"Italian shipbuilders tout systems-engineering chops ahead of French merger talks"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">ROME \u2013 Italian firms Leonardo and Fincantieri have announced tighter cooperation on naval systems work to help them build better ships and get ready for an expected Italo-French team-up in warship construction.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The two firms said they would relaunch Orizzonte Sistemi Navali, an existing joint venture between them, to develop naval combat systems.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Leonardo, which holds 49 percent of the joint venture, has long supplied radars, guns and systems to ships built by shipyard Fincantieri, which holds a majority 51 percent stake.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">OSN was created in 2002 to integrate the work of the two firms on Italy\u2019s Horizon frigates, Cavour carrier and FREMM frigates, but was not used for the more recent construction of Italy\u2019s new PPA frigates.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">In its new form, OSN will \u201cassume responsibility for the development of the combat systems and the definition of subsystem requirements and individual components\u2019 architecture, including the Combat Management System (CMS),\u201d in new vessels, the firms said in a statement.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cFincantieri will act as prime contractor, the single interface to customers and hold responsibility for the warship as a whole (Whole Warship Design Authority), therefore in charge, on behalf of OSN, of the architecture of the ship system concerning both the platform and the combat system. Leonardo will be the preferred partner for the Combat Management System and the equipment and systems of the ship,\u201d the statement reads.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">An Italian industrial source said the deal was designed to make systems integration more central to shipbuilding by the two firms.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cUntil now a lot of work on integration took place during the ship building process. Now, integration should happen earlier in the process,\u201d the source said.<\/p>\n\n\n\t<aside class=\"smg-interstitial-link wp-block-smg-interstitial-link\">\n\t\t<a href=\"https:\/\/one.sightlinemg.com\/defensenews\/industry\/2018\/09\/14\/fincantieri-leonardo-tussle-over-acquisition-ahead-of-french-tie-up\/\" class=\"smg-interstitial-link__inner\">\n\t\t\t\t\t\t\t<div class=\"smg-interstitial-link__media\">\n\t\t\t\t\t<img loading=\"lazy\" decoding=\"async\" width=\"300\" height=\"200\" src=\"https:\/\/one.sightlinemg.com\/wp-content\/uploads\/2026\/08\/GettyImages-630946268.jpg.jpg?w=300\" class=\"smg-interstitial-link__image wp-post-image\" alt=\"\" \/>\t\t\t\t<\/div>\n\t\t\t\t\t\t<div class=\"smg-interstitial-link__content\">\n\t\t\t\t<span class=\"smg-interstitial-link__kicker\">Related<\/span>\n\t\t\t\t<h3 class=\"smg-interstitial-link__title\">Fincantieri, Leonardo, tussle over acquisition ahead of French tie-up<\/h3>\n\t\t\t\t\t\t\t\t\t<p class=\"smg-interstitial-link__excerpt\">The question for Leonardo is whether the acquisition of a company made in order to stop another company buying it makes business sense.<\/p>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/a>\n\t<\/aside>\n\t\n\n\n<p class=\"wp-block-paragraph\">The source added that the deal also helped Fincantieri and Leonardo get ready for a planned integration of Italian warship building with France\u2019s Naval Group, which is being discussed by industry and government officials from both countries.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Naval Group builds platforms but also handles systems work. Thirty percent of the firm is controlled by Thales, the systems provider.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Fincantieri, which is Naval Group\u2019s counterpart in the talks, is a platform builder and has no systems work. But now, as a 51-percent stakeholder in OSN, that is expected to change.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cThe deal means OSN has capabilities in-house that Naval Group has,\u201d said the source. \u201cIt balances things out with the French,\u201d he added.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The deal may satisfy Leonardo CEO Alessandro Profumo, who has expressed fears that French systems, rather than his, will equip Italo-French ships since Leonardo does not have a key role in talks.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The move to invigorate a national joint venture is seen as an attempt to catch up to France&#8217;s industrial setup.<\/p>\n","protected":false},"author":7,"featured_media":29532,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_yoast_wpseo_meta-robots-noindex":"","_yoast_wpseo_meta-robots-nofollow":"","_yoast_wpseo_canonical":"","_acf":"","_yoast_wpseo_primary_category":46,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","_smg_distribution_targets":[]},"categories":[160,29,85,46,11,16,36],"tags":[],"coauthors":[3345],"class_list":["post-59348","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-daily-news-roundup","category-digital-show-dailies","category-euronaval","category-europe","category-global","category-naval","category-newsletters"],"acf":{"subheadline":"","legacy_arc_id":"2J7QJDWTXNA55EPQFMPHXVBN2Q","arc_canonical_url":"\/global\/europe\/2018\/10\/10\/italian-shipbuilders-tout-systems-engineering-chops-ahead-of-french-merger-talks\/","remove_feature_photo":false,"is_sponsored":false,"subtype":"","redirect_url":"","disable_inline_ads":false,"native_logo_pretext":"Presented 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