review of bitzinger (2009), the modern arms industry
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Review of Richard A. Bitzinger's 2009 book, The Modern Arms IndustryTRANSCRIPT
Review of Bitzinger, Richard A. (ed.) (2009). The Modern Defense Industry. CA: Praeger Security International.
Review by Tangguh Chairil (2011)
The Modern Defense Industry
Challenges Facing the Global Arms Industry in the 21st Century
The Defense Industry in a Global Context
The Defense Industry: Regional Perspective
The Defense Industry and the Arms Trade
10/3/2011 2The Modern Arms Industry
Five main factors affecting the global defense industry today:
1. The hierarchical nature of the global process of armaments production
2. The impact of military spending upon the defense industry
3. The effect of the international arms trade
4. The process of defense-industrial globalization
5. The emerging information technologies-based revolution in military affairs
Challenges Facing the Global Arms Industry in the 21st Century
Hierarchical Nature
Defense Spending
Global Arms Market
Globalization of Arms
Production
Technology and RMA
10/3/2011 3The Modern Arms Industry
Challenges Facing the Global Arms Industry in the 21st Century
The Hierarchical Nature of the Global Arms Industry
Critical innovators
Adapters and modifiers
Copiers and reproducers
Keith Krause (1992: 26-33)etc.
Largest & most technologically advanced defense industries
World’s arms production
Domination of global defense R&D process
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200
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19881990199319951997199920012003200520072009
Series1
10/3/2011 4The Modern Arms Industry
Challenges Facing the Global Arms Industry in the 21st Century
Defense Spending
World total military expenditure 1988-2010 (US$ b.)Source: SIPRI military expenditure database
1989-1999: falls 30%
Peace dividend:More capacity to producethan capacity to afford
Rationalization andconsolidation of armsindustry
2000-2009:grows 50%
Expand and greatlyupgrade armamentsproduction
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1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009
Series1
Total arms exports 1989-2009 (US$ m.)Source: SIPRI arms trade database
1989-1999: falls 30%
2000-2009:grows 23%
10/3/2011 5The Modern Arms Industry
Challenges Facing the Global Arms Industry in the 21st Century
The Growing Criticality of the Global Arms Market
Defense Firms Overseas Business Sector
BAE Systems (UK) 18% international business (2008)
Thales Group (France) 52% international subsidiaries (2008)
Dassault Aviation (France) 43% export orders, 80% export net sales (2010)
EADS (Ger, UK, Fra, Spa) 85% gross orders out of Europe (2010)
National Defense Industries Exports
Russia 72% (2009)
US 15% (2007)
F-15 F-16 M1 Abrams
US weaponsystems now produced solely for export:
10/3/2011 6The Modern Arms Industry
Challenges Facing the Global Arms Industry in the 21st Century
The Globalization of Armaments Production
Aérospatiale-Matra
DASA
CASA
Merger(2000)
Eurofighter Typhoon
Main center fuselage:
Right wing, leading edge slats:
Front fuselage, etc.:
Left wing, etc.:
Transnational mergers and acquisitions
Multinational defense R&D and production
Joint Strike Fighter program
International joint ventures
Dual-use technologies(technologies for both peaceful
and military aims)
Commercial-off-the-shelf (COTS)(in US) technologies with commercial
support sold in commercial marketplacethat can be procured under government contract
Nuclear power
GPS
10/3/2011 7The Modern Arms Industry
Challenges Facing the Global Arms Industry in the 21st Century
Technology and the Revolution in Military Affairs
Armaments production and arms industry
• What new technologies?
• How traditional defense industry will fare?
• What role of commercial dual-use enterprises?
• Will new suppliers arise?dramatically change the waywars fought, managed, and organized