"This strategic co-operation contract will allow Thales and BTSL to jointly develop PHAROS, a fire control radar for both gun and missile systems," the joint statement released here mentions.
PHAROS provides defence against small, fast moving and highly manoeuvrable air and surface targets that may also be encountered in littoral missions.
The multiple target tracker is capable of simultaneously controlling - in all weather conditions - the engagement of these targets with guided ammunition.
The responsibility of overall system design will be borne by Thales.
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BTSL will carry out its share of the development work in Bengaluru.
This co-development agreement between Thales and BTSL is in-line with the 'Make in India' vision of the Government of India, the statement said.
The jointly developed PHAROS system will cater to both domestic Indian and international market requirements.
"This strategic step goes beyond the co-development partnership; it reaffirms our commitment to the country and to actively contribute to the 'Make in India' policy," said Serge Adrian, Senior Vice President of Surface Radars Activities at Thales.