Dubai 2007: UAE's big two make push for global prominence

Major deals reinforce Dubai and Abu Dhabi standard-bearers' push for global prominence

If anyone viewed the standard-bearers of the aerospace ambitions of the United Arab Emirates' big two city states as vanity projects, last week put paid to any scepticism.

Making their respective high-profile debuts at the air show, Dubai Aerospace Enterprise and Mubadala of Abu Dhabi lined up deals with several of the biggest names in the industry that reinforced their credentials as serious global contenders.

DAE stole the headlines with its £29 billion ($59.3 billion) surprise deal for 228 aircraft, including 100 new Airbuses and 100 new Boeings, which vaults it into the first division of lessors from a standing start. It also announced a major investment programme in India and a "strategic alliance" with General Electric to develop maintenance, repair and overhaul facilities at the new Dubai airport at Jebel Ali.

Mubadala, meanwhile, announced its own strategic alliance with SR Technics, the MRO house it part-owns with DAE. Among other things the Swiss company will subcontract component repair work to Mubadala's Abu Dhabi Aircraft Technologies, the rebranded Gulf Aircraft Maintenance (Gamco), in which the government-owned investment house is promising to invest $500 million over five years. Mubadala also said it had invited Boeing, Lockheed Martin and Thales to discuss setting up a joint venture to deliver outsourced MRO services to the United Arab Emirates and other armed forces, taking over work carried out by the former Gamco.

In a further deal announced at the show, Mubadala will collaborate with Northrop Grumman on educational and training programmes, as well as unmanned air vehicles. Mubadala chief operating officer Waleed Al Mokarrab Al Muhairi says the agreement "underscores Mubadala's desire to select partners of global standing to achieve the economic diversification mandate of the Abu Dhabi government". The company has already taken stakes in Piaggio Aero and Ferrari and owns local training school Horizon Flight Academy.

In a final announcement, Mubadala signed an agreement with CAE to develop a flight-training business, including a multi-crew pilot programme, in Abu Dhabi. It will link Horizon's training fleet and the simulator facility operated by the emirate's flag carrier Etihad to serve the growing number of local business aviation operators. The partnership might develop into a "global relationship", says Al Muhairi.

Formally launching its pilot training college at the show - part of the DAE University strand of its business - DAE displayed two newly liveried Cirrus SR22s.