Hahn, Avital Louria
May 2003
Investment Dealers' Digest;5/19/2003, Vol. 69 Issue 20, p26
Trade Publication
Presents opinion of the author regarding trends in U.S. defense industry following U.S. victory over Iraq in Iraq war 2003. Defense companies are sharpening their strategies for the new geopolitics. At least for the near future, the U.S. government's emphasis on high-technology warfare and domestic security will dictate the shape of the defense industry. Technology, with its promises to protect U.S. citizens from terrorism at home while fighting wars abroad with minimal U.S. casualties, will be the main driver of the business. Changes inthe political landscape will also have a huge impact. With the U.S. defense budget 40 percent of global defense spending, foreign contractors are trying to get into action. “Because of the technologically advanced U.S. defense industry and the enormous U.S. defense budget, the U.S. is the primary market for military equipment, and therefore everybody overseas wants to sell here,” says Denis Bovin, vice chairman of investment banking at Bear, Stearns & Co.


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