JP9102 economic dividend: Airbus-led Team Maier to deliver $437m additional value and catalyse Australian Space economy
24 October 2022
Canberra — Airbus Defence and Space has today unveiled new research showing that Team Maier’s strategic approach to delivering JP9102 will bring about an additional $437 million to the Australian economy, over and above the project’s Australian Contract Expenditure (ACE). The findings demonstrate how Team Maier will help the Australian Defence Force (ADF) achieve the required Space domain capability while building a globally competitive sovereign Space industry.
The research conducted by Deloitte Access Economics, assessed the Australian Industry Capability (AIC) benefits that Team Maier would deliver between 2021 and 2032 (capturing the acquisition phase and one sustainment contract). On top of economic benefits, the research also found that Team Maier’s approach would deliver an additional 133 full time equivalent positions each year, equating to 1,463 jobs over the contract period.
Ben Bridge, Executive Vice President Global Business for Airbus Defence and Space said: “For Australia to establish a Space domain that can support the current and future needs of the Australian Defence Force, a highly capable and competitive Space ecosystem is needed. Team Maier’s approach to delivering JP9102 will create a launch pad to accelerate the development of that ecosystem through various investments in skills development, innovation and R&D.”
“This approach to industry development is uniquely positioned to contribute $437 million to the Australian economy and deliver further economic dividends beyond the delivery of JP9102 — laying the foundations for an enhanced Australian Space industry.”
“Developing a world-class, globally competitive Space industry takes time. The Team Maier AIC strategy captures the strategic investments that are needed today to support the industry into the future. The opportunity cost of not investing today is that Australia will miss a critical opportunity to create a step-change in the trajectory of its domestic Space industry,” Bridge added.
Building the future of Australia’s space industry
The research highlights the critical role that ADF, and projects like JP9102, will play in building Australia’s future Space industry. The relative size of Australia’s sovereign industry means that it needs to grow to meet ADF’s needs and compete in the highly globalised supply chain. Achieving the required capability therefore requires ADF to stimulate demand and for the prime contractor to prioritise the building of sovereign capability through local supply chain development, as well as skills and knowledge transfer.
Team Maier moves past the typical prime-subcontractor relationship by promoting collaboration and development opportunities with domestic partners. Team Maier’s supply chain will incorporate five indigenous businesses and 12 Australian SMEs that will be on-boarded into the Airbus supply chain. A total of 43 SMEs will receive a technology readiness uplift to help compete in global markets.
The Deloitte Access Economics research found that Team Maier’s approach would create an additional dividend for Australia’s Space industry through investment in skills and workforce development, innovation and R&D, as well as integration into global supply chains. Across the span of the JP9102 programme, the research found that Team Maier would deliver:
Skills and workforce development
● $12.5 million investment in educational facilities and learning opportunities
● A sustainable pipeline of local talent through 110 scholarships
● 36 international scholarships to support the development of a globally competitive and capable space workforce
● 115 graduate, PhD, and VET scholarships
Innovation and R&D
● $8.6 million five-year R&D Programme Call for Innovation projects – creating a continuous cycle of innovation
● $16.6 million investment in JP9102 payloads – accelerating Space-specific innovation
● $35.7 million investment in Strategic National Facilities for Australia – including satellite assembly, integration, and testing for harsh environments
Team Maier is the teaming arrangement led by Airbus Defence and Space to deliver next-generation military satellite communications (MilSatCom) capability to Australia under the JP9102 programme. Team Maier’s proposed solution is low-risk and battle-proven, based on the UK Ministry of Defence’s Skynet 6A system, which has already been deployed in support of UK Carrier Strike Group operations in the Pacific Ocean. It will be fully operable with systems used by the US, UK and other Five Eyes nations, as well as offering additional benefits that will enable the solution to be deployed as a two-satellite rather than a four-satellite system, helping the ADF to keep costs down.
Airbus Defence and Space is a highly experienced developer and operator of MilSatCom capabilities, having managed the UK’s Skynet 5 capability since 2003. It has also delivered MilSatCom capabilities for the Egyptian, French, German, Malaysian, Spanish and the UAE Governments.