Terma Profile Report 2019

INTER- NATIONAL Market Development delivers on the Group’s global and regional strategies and maintains and strengthens strategic customer and partner relationships. MARKET DEVELOPMENT 14 INTERNATIONAL 2018/19 Market Development facilitates the global infrastructure with the estab- lishment and operation of the regional offices. Our regional footprint gives Terma access to a wide network of customers, business partners, and new geographical markets. Terma continues its international expansion with the purpose of being closer to key customers and end users. In the coming years, we will continue our international focus. Europe Security concerns remain high throughout Europe, and Terma is working with customers and end users to ensure that we meet core operational and technical requirements as defense budgets rise. In the area of providing safety, Terma is seeing an important European – and global – market in new niches such as mitigation radar and obstruction light control for wind farms, as well as well-established niches such as Surface Movement Radars in airports, Vessel Traffic Service, and coastal surveillance. In Europe as a region, Terma is well established with local companies in Denmark, Germany, the Netherlands, and an office in Brussels close to key European and Transatlantic decision makers. Denmark In 2019, Denmark supplemented the current Danish Defense Agreement (2018-23) with an additional funding in order to reach 1.5 per cent of GDP in 2023. As the Danish market leader, Terma is in close dialog with defense and governmental representatives as well as civil society at all levels to provide optimum value to Denmark. As an integrated element, Terma’s Industrial Cooperation and Partnerships function works across Business Areas and hand in hand with Terma’s regions. The unit is tasked with realizing industrial cooperation for technologies critical for safeguarding core Danish security interests and ensuring that Terma delivers on global commitments. Terma’s international activities are headquartered in Denmark, with regional and local offices in Singapore, India, United Arab Emirates, the Netherlands, Belgium, France, the UK, and Germany. Market Development’s overall aim is to drive the internationalization and market development for Terma across the globe. Market Development delivers on the Group’s global and regional strategies and maintains and strengthens strategic customer and partner relationships. Market Development works closely with the Business Areas and Terma North America to deliver the entire Terma portfolio of products. Anne Mette Mosekjær Søndergaard Vice President, Europe Jørn Henrik Levy Rasmussen Senior Vice President, Market Development Artificial Intelligence is becoming a driver for new solutions across all business domains. At Terma, the technology is being utilized in many directions. AI is enabling Automatic Target Recognition (ATR) for the NATO Alliance Ground Surveillance (AGS) system, the technology is also the key component in discriminating birds from planes in our Scanter ET2 Tracker, as well as failure forecasting in our radar systems enabling predictive maintenance, reducing the cost of ownership, and minimizing downtime due to failing parts. AI will also be a key component in augmenting our (radar) products with predictive analytics capabilities to detect and predict relevant patterns in large amounts of captured surveillance data and correlated with other relevant data, e.g. weather data, helping the user make decisions in an increasing complex world. Initial ATR Capability By the end of the 2018/19 fiscal year, Terma delivered the Initial ATR/Auto- mated Target Identification (ATID) capability to NATO. The next development stage will focus on enabling user-driven modelling and simulation and inte- gration to allow operational adaptation of the ATR/ATID capability when new types of targets arise. This will provide NATO personnel with an advanced AI modelling capability. As part of the NATO AGS ATR/ATID Capability work, Terma is establishing on-premise, secure high-performance computing facilities. This enables AI model training on classified data at scale. AI as a Competence Area Beyond enhancing our existing products, AI is also becoming a competence area. Capitalizing on the know-howbuilt fromearlier projects, we are currently developing a solution for mission-critical user-driven data analytics. This will give the end users access to train new machine learning models on available data and adapt to unforeseen challenges, such as detection of new types of target signatures with existing sensors. CASE STORY/ ARTIFICIAL INTELLIGENCE 15 Artificial Intelligence

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