
Army inks potential $4.2 billion deal for intel-gathering blimps
The future, chock-full of super-stealth warplanes, blinding-fast missiles and network-crippling hacks, will also feature aerostats — specialty blimps, for the uninitiated.
Why it matters: For all the hoopla bleeding-edge technologies generate, it can be the simplest tools that prove most effective and long-standing.
Plus, the juxtaposition is absolutely wild.
Driving the news: The U.S. Army could spend as much as $4.2 billion over the next 10 years to sustain and upgrade its aerostat arsenal, according to a contract announced April 3.
Ten companies, including Leidos, Qinetiq and TCOM, will compete for work overseen by the service's intelligence, electronic warfare and sensors shop, PEO IEW&S.
Foreign military sales could also happen across European and Central commands. Poland last year announced a $1 billion arrangement.
How it works: The Army has long deployed and experimented with aerostats and lighter-than-air systems; they contribute to communications relay, jamming, shot-spotting and more.
One example, the Joint Land Attack Cruise Missile Defense Elevated Netted Sensor System, made headlines a decade ago when it broke free of its mooring in Maryland and floated into Pennsylvania.
"Balloons are one of the very first intelligence, surveillance and reconnaissance capabilities used in air warfare," Brandon Pollachek, a PEO IEW&S spokesperson, told Axios.
Today's aerostats "provide an essential and persistent 24/7 eye in the sky," he said. They're also "extremely cost-effective." (A Qinetiq spokesperson made the same point when asked about the contract.)
My thought bubble: These beacons of U.S. presence in the Middle East are being modernized with China and Russia in mind — like all things Pentagon.
The bottom line: "The United States of America needs to get over our JLENS problem, and we need to do it fast. There's just too much utility to these kind of platforms," Tom Karako, an expert at the Center for Strategic and International Studies, said in an interview.
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
13 minutes ago
- Yahoo
S&P 500 Just 2% From All-Time High as Beijing Talks Continue
June 10 - The S&P 500 moved slightly higher Tuesday and now sits about 2% below its all-time high of 6,147.43, as investors watch the second day of U.S.-China trade negotiations unfold in London. Officials have yet to share firm outcomes, but U.S. Treasury Secretary Scott Bessent and Commerce Secretary Howard Lutnick both said initial talks were constructive, without disclosing specific progress. List of 52-Week Lows List of 3-Year Lows List of 5-Year Lows Export restrictions remain a central issue. The U.S. is reportedly pressing China to boost shipments of rare earth materials critical for semiconductors, smartphones, and EVs. In exchange, Washington may ease curbs on American exports of chipmaking gear, aircraft parts, and ethane, according to the Financial Times. Last year, U.S. goods exports to China totaled $143.22 billion, while imports reached $438.74 billion, leaving a trade gap of $295.51 billion. For 2025, the deficit is already $88.02 billion through April. Investors are watching closely, as the outcome of the talks could impact supply chains and global tech stocks. This article first appeared on GuruFocus.
Yahoo
15 minutes ago
- Yahoo
Barclays Plans to Trim IB Workforce by More Than 200 to Reduce Costs
Barclays PLC BCS intends to reduce 3% of its workforce in the investment banking (IB) division in the upcoming days. This is part of CEO C.S. Venkatakrishnan's plan to boost the division's profitability. This was reported by Bloomberg, citing people familiar with the matter. More than 200 employees in IB, global markets and research will likely be affected. These would also include managing directors, among the most senior roles. These job cuts aim to expand the bank's capability to invest in priority areas, one of the people familiar with the matter stated. Barclays has been focused on gaining market share in European rates, equity derivatives and securitized product trading. During its investor update last year, the company stated that these efforts are anticipated to boost revenues by £500 million by IB, the company is aiming to grow its revenues from equity capital markets and mergers and acquisitions, with a specific focus on the health care, industrial, technology, and energy transition it is prioritizing growth in other areas, Barclays remains committed to its transatlantic IB model, despite ongoing investor pressure over the years.A Barclays spokesperson stated, 'Like other banks, we regularly assess our talent pool as part of our routine operations to ensure ongoing investment in key focus areas.' This move aligns with Barclays' ongoing efforts to improve efficiency through streamlining business operations and focusing on core April 2025, it announced a collaboration with Brookfield Asset Management Ltd. to transform its payment acceptance business. Further, in February 2025, it divested its Germany-based consumer finance business. In November 2024, the company acquired Tesco's retail banking business and changed its operating divisions effective in the first quarter of the past six months, Barclays shares have gained 36.3% compared with the industry's growth of 23.1%. Image Source: Zacks Investment Research Currently, BCS carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Last week, a source familiar with the matter said that Citigroup C will cut about 3,500 jobs at two of its technology centers in China by the start of the fourth quarter of 2025. The reduction will take place at the China Citi Solution Centres in Shanghai and of the jobs that are being cut are full-time. Citigroup mentioned that some of the roles would be moved to its technology centers elsewhere without specifying the number of jobs or move is part of the bank's strategy to simplify and reduce its global technology operations to improve data after shutting its retail banking business in the United States in 2021, HSBC Holdings PLC HSBC is now set to close its business banking division in the country. This announcement comes amid the company's ongoing business simplification efforts and accelerated shift toward the Asia and Middle East regions. This was first reported by move will likely affect nearly 4,500 HSBC clients. The bank will aid the impacted clients in transitioning to a suitable alternative provider and will continue to serve some clients in the Mid-Market and Global Network Banking Business. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Citigroup Inc. (C) : Free Stock Analysis Report Barclays PLC (BCS) : Free Stock Analysis Report HSBC Holdings plc (HSBC) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
15 minutes ago
- Yahoo
Is Fidelity Select Gold Portfolio (FSAGX) a Strong Mutual Fund Pick Right Now?
Any investors hoping to find a Sector - Precious Metal fund could think about starting with Fidelity Select Gold Portfolio (FSAGX). FSAGX possesses a Zacks Mutual Fund Rank of 2 (Buy), which is based on various forecasting factors like size, cost, and past performance. FSAGX is classified in the Sector - Precious Metal segment by Zacks, an area full of potential. Sector - Precious Metal mutual funds normally invest in stocks focused on the mining and production of precious metals such as gold, silver, platinum, and palladium. Often times, stocks here trade as leveraged bets of the underlying commodity, so they are tied to the prices of the metal, and can be quite volatile, too. FSAGX finds itself in the Fidelity family, based out of Boston, MA. Since Fidelity Select Gold Portfolio made its debut in December of 1985, FSAGX has garnered more than $1.84 billion in assets. The fund is currently managed by Ryan Oldham who has been in charge of the fund since November of 2024. Of course, investors look for strong performance in funds. This fund carries a 5-year annualized total return of 7.95%, and it sits in the bottom third among its category peers. Investors who prefer analyzing shorter time frames should look at its 3-year annualized total return of 11.23%, which places it in the bottom third during this time-frame. It is important to note that the product's returns may not reflect all its expenses. Any fees not reflected would lower the returns. Total returns do not reflect the fund's [%] sale charge. If sales charges were included, total returns would have been lower. When looking at a fund's performance, it is also important to note the standard deviation of the returns. The lower the standard deviation, the less volatility the fund experiences. Over the past three years, FSAGX's standard deviation comes in at 30.47%, compared to the category average of 16.61%. Over the past 5 years, the standard deviation of the fund is 29.73% compared to the category average of 16.28%. This makes the fund more volatile than its peers over the past half-decade. With a 5-year beta of 0.54, the fund is likely to be less volatile than the market average. Another factor to consider is alpha, as it reflects a portfolio's performance on a risk-adjusted basis relative to a benchmark-in this case, the S&P 500. Over the past 5 years, the fund has a positive alpha of 2.16. This means that managers in this portfolio are skilled in picking securities that generate better-than-benchmark returns. For investors, taking a closer look at cost-related metrics is key, since costs are increasingly important for mutual fund investing. Competition is heating up in this space, and a lower cost product will likely outperform its otherwise identical counterpart, all things being equal. In terms of fees, FSAGX is a no load fund. It has an expense ratio of 0.68% compared to the category average of 1.04%. FSAGX is actually cheaper than its peers when you consider factors like cost. This fund requires a minimum initial investment of $0, while there is no minimum for each subsequent investment. Fees charged by investment advisors have not been taken into considiration. Returns would be less if those were included. Overall, even with its comparatively weak performance, worse downside risk, and lower fees, Fidelity Select Gold Portfolio ( FSAGX ) has a high Zacks Mutual Fund rank, and therefore looks a great potential choice for investors right now. Want even more information about FSAGX? Then go over to and check out our mutual fund comparison tool, and all of the other great features that we have to help you with your mutual fund analysis for additional information. Want to learn even more? We have a full suite of tools on stocks that you can use to find the best choices for your portfolio too, no matter what kind of investor you are. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Get Your Free (FSAGX): Fund Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research