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Hensoldt Explores Investments in Artificial Intelligence and Analytics for Growth Strategy

Summary

Hensoldt, the German defense electronics manufacturer, has identified artificial intelligence (AI) and analytics as areas with investment potential in its growth strategy. The company, known for its radar systems for air defense, recently delivered the IRIS-T system to Ukraine and […]

Hensoldt Explores Investments in Artificial Intelligence and Analytics for Growth Strategy

Hensoldt, the German defense electronics manufacturer, has identified artificial intelligence (AI) and analytics as areas with investment potential in its growth strategy. The company, known for its radar systems for air defense, recently delivered the IRIS-T system to Ukraine and highlighted the importance of mergers and acquisitions in its growth strategy.

In a statement, Hensoldt mentioned that investment opportunities arise in AI, analytics, as well as in business services and integrations. According to presentation slides from the company’s Capital Market Day, Hensoldt plans to invest in AI development across all business areas and for all relevant products and solutions.

The company’s orders have more than doubled since 2019 due to increased geopolitical instability worldwide, leading Hensoldt to consider acquisitions for European consolidation. Executive Director Thomas Mueller emphasized the growing need for defense and security technologies in the face of geopolitical tensions.

Last week, Hensoldt announced plans to raise capital to finance the acquisition of German military service company ESG. As a partially state-owned specialist in defense electronics, Hensoldt reaffirmed its annual and medium-term outlook at the Capital Market Day, stating that about 85% of the projected revenue for 2024 is already secured through orders worth €5.5 billion ($6.00 billion) [source].

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