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BAE Systems Acquires Techmodal

Strengthens Technology and Data Portfolio

BAE Systems announced the acquisition of Techmodal on 19 August. The UK-based data consultancy and digital services company became a wholly-owned subsidiary of BAE Systems from that date.

MON has previously reported on Techmodal’s transformational work with the Royal Navy (see reports on 3 December 2019 and 7 April 2020). The company has a number of long-term contracts with MoD, partuclarly for the Army and Strategic Command as well as the Royal Navy. The combined expertise of the company’s 120 staff and 30 associates is an excellent fit for BAE Systems’ existing digital, data and technical services capabilities. Last year, the MoD launched the Defence Digital initiative, which set out how it plans to increase digital capabilities across defence. The acquisition of Techmodal will help BAE Systems to support the armed forces in this transformation.

Techmodal’s capabilities strongly complement the digital and data services BAE Systems currently provides to the Royal Navy, which has ambitions to become a fully ‘digital navy’ by 2025. These existing services include the Data Integration Platform (DIP), a collaborative system that provides the ability to view, manage and exploit data provided by multiple systems on the QUEEN ELIZABETH-class aircraft carriers, allowing the efficient management of these highly complex modern warships.

David Mitchard, Managing Director of BAE Systems’ Maritime Services business, explained the acquisition “[…] will open up many new opportunities for both businesses and for our colleagues […] Techmodal’s data expertise is highly complementary to our own digital capabilities and aligns well with our customers’ digital needs and ambitions […] This acquisition allows us to work together to provide further support to the UK’s armed forces’ digital transformation as well as bringing the benefits of leading edge data-driven decision making to all of our customers.”

Gareth Vaughan, Techmodal’s Managing Director, added “This deal is great news for Techmodal and our customers including the UK defence community. BAE Systems provides Techmodal with a stable platform to build to the next level of success for our rapidly growing business. We are certain that it will offer our employees and our customers brand new and exciting opportunities […] Fusing BAE Systems’ domain knowledge with our agile, consultative ways of working will enable us to bring our technical skills to wider internal and external markets and offer our partners a hugely capable new proposition for digital transformation and data led solutions.”

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