General Electric is pursuing the most aggressive technology development path in its history, focusing on new engines and upgrades to existing lines of powerplants as sales for 2005 head for an expected record of $13 billion.
The investments are driving several new engine programs that are either in full-scale development or entering service, including the GEnx engine for the Boeing 787 and Airbus 350, which is scheduled for its first full engine test next year. In addition, GE has sold almost 300 GP7200 engines for the Airbus A380, expected to enter service next year as well. The engine is being developed by the Engine Alliance, a GE and Pratt & Whitney joint venture.
CF34 derivative engines entering service or in development include the CF34-10E for the Embraer 190 and the CF34-10A for China’s ARJ regional jet, due out later this decade. In addition, GE completed ground tests of the F136 engine for the Joint Strike Fighter with a system development and demonstration contract expected to be awarded in August. And last year GE and Honda Motor Co. formed GE Hondo Aero Engines to develop powerplants for light business jets. Engine core and component tests were recently completed.
In all, GE has been investing $1 billion a year in its aircraft engines business since 2001, and this year it expects to spend $200 million more than that, according to a prepared statement released by Dave Calhoun, president and CEO of GE Transportation. The business unit he manages includes rail as well as aircraft engines, with total sales anticipated at $16.5 billion for this year.
General Electric expects the installed base of GE and CFM engines to grow by 75% over the next decade, from 18,000 to 30,000.
