Early Warning Blog
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Defense Industrial Base
In every past defense drawdown since the end of World War Two, the focus has always been on not “breaking the force” and on preserving critical military capabilities. Relatively little attention was devoted to managing the health and capabilities of the defense industrial base. In fact, one former
The Department of Defense (DoD) likes to pretend it does not really have to pay attention to the defense industrial base or to develop an industrial policy. It holds firmly to the fantasy that when the government waves money at the private sector the latter will respond rapidly and effectively.
Pressure on the defense industrial base is intensifying in the face of significant budget cuts and the looming threat of sequestration. Private sector companies are positioning themselves for a tighter market, increased competition and pressure on profits. In fact, the smartest companies began preparing