Airbus
From The Matrix
Based in Toulouse, France, Airbus S.A.S. (also known under its former name Airbus Industrie) is an EADS joint Company with BAE SYSTEMS, incorporated in 2001 under French law as a simplified joint stock company or "S.A.S." (Société par Actions Simplifiée). Airbus Industrie began as a consortium of European aviation firms to compete with American companies such as Boeing. It was set up in 1970 following an agreement between Aerospatiale (France) and Deutsche Aerospace (Germany) (joined by CASA of Spain in 1971) to develop the A300, which first flew in 1972.
As of 2004, its CEO is Noël Forgeard, and Airbus is jointly owned by European Aeronautic Defence and Space Company (EADS, 80%) and BAE SYSTEMS (20%).
Initially the success of the consortium was fitful but by 1979 there were 81 aircraft in service. British Aerospace (now BAE SYSTEMS) joined the consortium at the end of 1979, with 38 percent stake each for the Germans and French, 20 percent for the British, and the Spanish firm with four percent. It was a fairly loose alliance but that changed in 2000 when the consortium decided to reconfigure as a private commercial company (EADS) to coincide with the development of the new Airbus A380, which will seat 555 passengers and be the world's largest commercial passenger jet when it enters service in 2006.
A shorter variant of the A300 is known as the A310. Various derivatives of the A300 were launched throughout the 1980s, including the A320 with its innovative fly-by-wire control system. The A320 was a great commercial success. The A318 and A319 are shorter derivatives with some of the latter under construction for the corporate biz-jet market (Airbus Corporate Jet). A stretched version is known as the A321 and is proving competitive with later models of the Boeing 737.
The transcontinental products, the twin-jet A330 and the four-jet A340, have efficient wings, enhanced by winglets. The Airbus A340-500 LeaderShip has an operating range of 13,921 kilometres (8,650 miles), the longest range of any commercial jet. These are competing strongly with the larger Boeing products and may partly explain the cessation of airliner production at Lockheed in 1983 and the take-over of McDonnell Douglas by the surviving US builder of long-distance airliners, Boeing, in 1996-1997. The company is particularly proud of its use of fly-by-wire technologies.
Currently there are around 1600 Airbus aircraft in service, with Airbus having around 50 percent of outstanding build orders (1999), although Airbus products are still outnumbered 6 to 1 by in-service Boeings.
In January 1999 Airbus established a separate company, Airbus Military S.A.S., to undertake development and production of a turboprop powered military transport aircraft (the Airbus Military A400M.) The A400M is being developed by several NATO members, Belgium, France, Germany, Luxembourg, Spain, Turkey, and the UK, as an alternative to the C-130 Hercules. Expansion in the military aircraft market will reduce, but not negate, Airbus' exposure to the effects of cyclical downturns in civil aviation.
Airbus employs around 40,000 people in several European countries. Final assembly is carried out in Toulouse, France and Hamburg, Germany, although construction occurs at a number of plants across Europe.
North America is an important region to Airbus in terms of both aircraft sales and suppliers. 2,000 of the total of approximately 4,600 Airbus jetliners sold by Airbus around the world, representing every aircraft in its product line from the 107-seat A318 to the 555-passenger A380, are ordered by North American customers. US contactors supporting an estimated 120,000 jobs earned estimated $5.5 billion (2003) worth of business. For example, the A380 has 51% American content in terms of workshare value.
Boeing has continually protested over state support for Airbus from the governments of the partner nations, most recently in July 2004. Harry Stonecipher (Boeing CEO) accused Airbus of abusing a 1992 non-binding agreement covering launch aid. Airbus does receive considerable support, in the form of loans from European governments that it does not have to repay if it makes no profit on an airplane (the case never happened), but contends that this is fully compliant with the 1992 agreement and WTO rules. The agreement allows up to 33 per cent of the program cost to be met through government loans which are to be fully repaid within 17 years with interest and royalties. Further Airbus argues that some of the pork barrel military contracts awarded to Boeing are in effect subsidy (see the Boeing KC-767 military contracting scandal). As of 2004, Airbus has not yet produced military planes. EU trade officials are also questioning the funding provided by the Japanese Government and Japanese companies for the launch of Boeing's new airliner, the 7E7 Dreamliner.
For the first time in its 33-year history, Airbus delivered more jetliners in 2003 than Boeing. After losing supremacy to America in the battle of commercial airliner sales in the 1950's and 1960's, Europe seems to have regained the upper ground. Industry analysts widely attribute this to Airbus' largely superior and state-of-the-art product line, compared to many of outdated Boeing's aircraft; the 737 for example still uses components designed in the 1950s. The 747 was designed in the late 1960s, and the 757 and 767 were conceived in the late 1970s. Boeing claims Boeing 777 has outsold its Airbus counterparts, focussing only on A340, but however A330/A340 combined family (same fuselage and systems with difference only in number of engines and manufactured in the same production line) outsold 777 by a considerable margin.
Boeing has began the third attempt at a fightback against Airbus in the form of its 7E7 Dreamliner.
[edit] Product Range
- Civil
- Military
- Airbus A400M
- A310 MRTT Multi Role Tanker Transport
- A330 MRTT
