After silently settling what many here have characterized as the most potentially damaging lawsuit in Israeli aerospace history, Israel Aerospace Industries (IAI) has taken full control of ImageSat International (ISI), a company it created to stimulate satellite business, but ended up as a renegade, aspiring rival.

The merger of ISI into the corporate portfolio of state-owned IAI aims to revitalize Israel’s remote sensing sector and fuel export sales after a decade of edge-eroding industrial infighting.

IAI, a majority shareholder in the locally based, Dutch Antilles-incorporated firm that owns and operates IAI-built Eros satellites, never announced the out-of-court settlement of billions of dollars claimed by ISI minority partners. […]