INDUSTRY INTERVIEW: Integral Systems Inc.
Senior Vice President, Business Development
Integral Systems Inc.
Q: Integral Systems had an impressive fiscal year in 2008. In your new role, where do you see opportunities for Integral Systems to continue to grow?
A: Integral Systems brings to market a distinctive set of COTS products and solutions and world-class systems engineering services, uniquely positioning us to continue our support to customers in the military and intelligence communities. Given the new administration’s focus on global warming and the increasing amounts of data returning from the International Space Station, we also see increasing opportunities with civilian agencies such as NASA and NOAA. In the commercial space, increasing demand for bandwidth will drive satellite operators to squeeze more efficiency from their current fleet. Integral Systems’ products and services can help them achieve significant operational efficiencies. We are also well positioned to continue to expand our international footprint. In fact, we have announced six new contract signings in Asia over the last 12 months.
Q: Briefly describe your DoD customers’ evolving requirements for satellite ground systems.
A: Increasingly, defense customers seek to gain more efficiency, security and consistency from their current systems. Military investment in and their use of technologies such as UAVs, multi-mission vehicles, and real-time, streaming media to the warfighter increase not only bandwidth requirements but also opportunities for security incursions. It also strains the current infrastructure, which can result in interruptions of service. We are actively working with our customers to expand customer capabilities in these areas.
Q: Please discuss Integral Systems’ strategy for fielding dual-use satellite ground systems and components for military and commercial applications.
A: Integral Systems was founded on the belief that running separate ground systems for each satellite bus is inefficient and expensive. This belief continues to drive our product and solution offerings. Our COTS products are architecture and bus agnostic and are updated and upgraded as technology evolves. We release commercial upgrades to our software several times each year. Our COTS products and systems engineering provide a best-value solution to achieve customers’ mission-specific goals.
Q: As a follow-up, describe several technologies and systems that Integral Systems is unable to sell to potential civil sector customers due to DoD restrictions?
A: We work closely with all of our customers to protect their proprietary systems and processes. We also work closely to ensure their mission requirements are achieved. Our commercial products allow us to bring all of our customers a high level of off-the-shelf capability, which we then tailor to meet their unique requirements, both civil and military.
Q: Looking at your company-wide portfolio, describe several new products or enhancements your military customers will see in 2009.
A: We will continue to bring to market integrated, turnkey solutions to support customer requirements for ground segment command and control, network operations, signals processing and interference detection.
Q: Please update us on Integral Systems’ efforts to develop strategic partnerships with non-U.S. companies.
A: While we are not ready to announce new strategic partnerships at this time, I can say that we continue to compete competitively in international markets. For example, we provide the integrated ground control system for ProtoStar I and II, working closely with ProtoStar and SingTel, their third-party operator.
We also continue to see growth in our wholly owned subsidiary, Integral Systems Europe, as we expand Integral Systems’ products and services across the globe.
Q: As this issue of MSMF was going to press, the Obama administration had not delivered its complete fiscal year 2010 DoD budget. Your forecast, please, on the DoD business environment for FY10 and the budget out-years.
A: I had to consult my crystal ball for this question. Given the pace of change in the global economic situation and that impact on government spending, it is safe to say that the DoD will increasingly look to value-oriented solutions to achieve greater operational efficiency for their dollars. Solutions derived from the commercial marketplace and evolved to meet the military mission are well positioned in this environment. That said, the pressures on the military have never been greater, and I believe the Obama administration will continue support for high-priority missions, including satellite communications systems. ♦