
The two giants were tough on this new merger as well. Boeing even threatened to end some of its contracts with United Tech’s UTC aerospace system division and Rockwell — Boeing’s major suppliers of avionic systems — as the union of the two companies could cut competition within the supply chain. Many have pointed out that the potential merger would hit Boeing’s in-house supplier Boeing Avionics, dragging it into the competition.
But all that is in the past now, with Boeing giving its thumbs up on United Tech and Rockwell’s mega-deal. The aircraft giant changed its statements after it reached an agreement with the two suppliers to help assist the company’s cost-cutting initiative.