3 New Technologies Shaping General Electric Company’s Future
Three new technologies
The three technologies in question are industrial gas turbines, aircraft engines, and locomotives, and investors hope orders expand as planned. A brief look at them:
- CFM International’s (a joint venture between General Electric and France’s Snecma) LEAP aircraft engine is rapidly expanding sales on the Airbus A320neo and Boeing 737 MAX.
- The new HA gas turbine already has 16 units in backlog and could expand orders as the first turbines are delivered and put into service this year.
- GE’s Evolution Series Tier 4 Locomotive is the first to meet federal Tier 4 regulations (a tighter set of emissions standards) as already in production in 2015.
Management recently estimated that LEAP would generate $200 billion in sales over its lifetime, while the HA turbine is forecast to bring in $100 billion and the Tier 4 locomotive about $40 billion. To put these figures into context, the total company backlog stood at $263 billion at the end of the first quarter. 3