Advanced Navigation to play role in billion-dollar defence export deal


Brandon How
Reporter

Advanced Navigation has landed a multimillion-dollar deal with defence industry juggernaut Rheinmetall to embed its advanced positioning systems in defence vehicles being built in Australia for export to Germany.

The fibre-optic gyroscope (FOG) inertial navigation systems, which provide positioning information without using satellites, will be used in more than 100 Boxer Combat Reconnaissance Vehicles being built for the Bundeswehr – German army – in Queensland.

The Sydney-headquartered AI robotics company announced its involvement in the project — Australia’s single biggest defence export of all time — on Thursday. It follows an earlier contract with Rheinmetall for more than 200 FOG inertial navigation system in 2021.

The Commonwealth government finalised a production contract with Rheinmetall for the production and export of Boxer vehicles to the German army in March, projecting that it would contribute $1 billion to the Australian economy.

An Advanced Navigation employee at its facility in New South Wales. Image: Advanced Navigation

The first vehicle is expected to be delivered to the German government in 2026 with the final vehicle due in 2030. Every vehicle manufactured in Australia will be fitted with an Advanced Navigation gyroscope, InnovationAus.com understands.

The federal government expects the Rheinmetall contract will directly deliver 600 jobs in Queensland and create economic opportunities that throughout the Defence supply chain.

It initially signed an in-principle agreement for more than 100 new Boxer heavy weapon carrier vehicles destined for Germany in July 2023. A bilateral agreement was then finalised in March 2024 following approval from the German federal parliament and a production contract with Rheinmetall followed in April.

In April, Defence Land Systems Division head Major General Jason Blain said the contract “signals the strength of the ongoing partnership between the Australian Government and our nation’s defence industry, including Rheinmetall Defence Australia”.

Advanced Navigation previously delivered its inertial navigation systems for use on 211 Boxer CRVs in 2021 under the Department of Defence’s LAND 400 Phase 2 Program. The vehicles are currently in use by the Australian army.

On Thursday, Advanced Navigation chief executive Chris Shaw said “it is a huge honour” to be selected as Rheinmetall’s partner, which is the largest supplier of military vehicles in Australia to the army.

“Our PNT solution equips the Boxer CRVs with accurate and robust navigation independent of satellite signals, ensuring they maintain tactical advantage in all conditions, even in electronic warfare scenarios,” Mr Shaw said.

The company also said the collaboration “appeals to the Australian Defence Global Supply Chain Program, which aims to increase the number of Australian suppliers and export opportunities with large defence primes’.

Advanced Navigation is one of only four companies globally that manufactures military-grade FOG inertial navigation systems. Advanced navigation will manufacture the gyroscopes at its position, navigation, and timing solutions facility in New South Wales.

The vertically integrated facility covers all “phases of photonics and FOG development—from design and quality testing to automated manufacturing”, according to the company.

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