Cassidian, the German defense and security division of EADS, said the achievement means work on the Laser Optical Countermeasures and Surveillance Against Threat Environment Scenarios system will progress to hardware development and production of a demonstrator system.
"As the threat scenario confronting naval forces worldwide is continuously evolving, the Canadian navy needs cutting-edge technologies to detect and protect vessels from asymmetric threats," said Simon Jacques, Cassidian head of Canadian Sales.
"Cassidian is proud to continue our long-term collaboration with the DRDC and leverage our know-how and expertise to develop future laser detection and countermeasure innovations."
DRDC is Defense Research and Development Canada, an agency of the country's Department of National Defense. The organization last year gave Cassidian the contract to develop new technologies to detect and counter laser-based threats such as laser-beamrider missiles.
Cassidian says it expects field testing of the system to start in July.
Notable deaths of 2014 [PHOTOS]