Applied Technology Associates (ATA) proposes to develop a new inertial sensor by combining two sensing phenomena in a single device. ATA has patented an advanced inertial sensing technology based on magnetohydrodynamics (MHD). Numerous researchers have patented and developed micro-electromechanical sensors (MEMS) that measures inertial angular motions. We believe that a composite sensor based on the best characteristics of both of these technologies is a promising new advancement. Our innovation is denoted the Hybrid Sensor (HYSENS) owing to its origins in two distinct inertial angle rate sensing principles. The MHD technology offers wide bandwidth, high sensitivity, with reasonable size and power. The MEMS offers small size and power. Initial analysis done by ATA and our MEMS technology partners indicates that it is possible to achieve performance goals that are at or near the state-of-the-art for inertial reference sensors. The proposed composite sensor fulfills the need for lightweight, compact, high-precision, high-bandwidth (0-2KHz) inertial reference sensors for use onboard spacecraft with optical communications payloads. The predicted noise performance for HYSENS is less than 0.1 microrad. Volume for this advanced sensor is expected to be under 2 cubic in; its weight under 150 grams; and its power draw under 200 mW.