The company was founded in 1910, as the Sperry Gyroscope Company by Elmer Ambrose Sperry to manufacture navigation equipment, chiefly his own inventions—the marine gyrostabilizer and the gyrocompass. During World War I the company diversified into aircraft components including bomb sights and fire control systems. In their early decades, Sperry Gyroscope and related companies were concentrated on Long Island, New York, especially in Nassau County. Over the years, it diversified to other locations.
The company became Sperry Corporation in 1933 and was a holding company for a number of smaller entities such as the original Sperry Gyroscope, Ford Instrument Company, Intercontinental Aviation, Inc., and others. The company made advanced aircraft navigation equipment for the market, including the Sperry Gyroscope and the Sperry Radio Direction Finder.
The company prospered during World War II as military demand skyrocketed, ranking 19th among US corporations in the value of wartime production contracts. It specialized in high technology devices such as analogue computer–controlled bomb sights, airborne radar systems, and automated take-off and landing systems. Sperry also was the creator of the Ball Turret Gun mounted under the Boeing B-17 Flying Fortress and the Consolidated B-24 Liberator. Postwar, the company expanded its interests in electronics and computing, producing the company's first digital computer, SPEEDAC, in 1953.
During the 1950s, a large part of Sperry Gyroscope moved to Phoenix, Arizona and soon became the Sperry Flight Systems Company; the Gyroscope division remained headquartered in New York.
Sperry in Britain started with a factory in Pimlico, London, in 1913, manufacturing gyroscopic compasses for the Royal Navy. It became the Sperry Gyroscope Co Ltd in 1915. In 1923, Lawrence Sperry was killed in an air crash near Rye, Sussex. The company subsequently expanded to Brentford in 1931, Stonehouse, Gloucestershire in 1938, and Bracknell in 1957. By 1963, these sites employed some 3,500 people. The Brentford site closed in 1967, with the expansion of Bracknell. Stonehouse closed around 1969. By 1969, the Sperry Gyroscope division of Sperry Rand Corporation employed around 2,500.
In 1989, the Bracknell site was downsized and work was moved to the Sperry manufacturing site in Plymouth by then under the British Aerospace brand. State of the art, high technology MEMS gyroscopes (together with other avionics equipment) are still made on the site today, although the company is now owned by United Technologies Corporation and is part of UTC Aerospace Systems.