Exelis Inc., an international aerospace and defense company, divested its military and government services business in 2013, a business which had been focused on facilities management, logistics, and network communications. Exelis now joins a list of companies that have recently spun off their services business, due mainly in part to increasing price pressure and competition in services that are resulting in lower and lower profit margins. This trend has been making the services sector unprofitable in companies that have large portfolios. SAIC recently spun off its services business, as did L-3 Communications in 2012. The new, leaner Exelis is now focused more on surveillance and intelligence solutions, which represents approximately $3.4 billion in gross revenue.