Leonardo DRS said it has signed a Memorandum of Understanding with UAE-based Space42 to work on next-generation national security mission systems, combining Leonardo DRS’s C5ISR (command, control, communications, computers, cyber, intelligence, surveillance and reconnaissance) expertise with Space42’s secure, AI-enabled satellite communications and Beyond Line of Sight connectivity. The companies plan to explore integrating tactical computing, vehicle electronics and situational-awareness tools with Space42’s infrastructure to support sovereign satellite communications capabilities for the UAE. Separately, the company said its SGT STOUT M-SHORAD (mobile short-range air defense) Mission Equipment Package defeated Group 1-2 small unmanned aircraft system threats in a U.S. Government test using software updates rather than new hardware. Leonardo DRS said the system was originally built to counter larger Group 3 and above UAS, as well as fixed-wing and rotary-wing threats, and that several hundred systems have already been fielded. Shares closed 0.87% lower at $44.66 on Tuesday, while the stock was trading about 1.3% below its 20-day simple moving average of $45.72. The company carries a Buy rating with an average analyst price forecast of $54.00, and recent target changes came from JP Morgan, Canaccord Genuity and Bank of America Securities.