Defense

As terrorist threats loom large and emerging markets increase budgets, defense companies are consolidating and seeking partnerships.

The U.S. is home to the world's largest military budget, totalling $725 billion for fiscal 2011. However, the US defence department is planning to cut its budget by $100 billion over the next five years.

In other shifts:

  • The U.K. is planning to cut its defence budget by 20%; Italy, France, Germany and Spain are following suit.
  • India is planning to spend $80 billion in the next five years for new equipment; spending in China and South America is also on the rise.
  • Emphasis in the US is on high-tech intelligence equipment in response to terrorist threats, replacing demand for conventional weaponry.
  • Companies are resorting to acquisitions and partnerships to expand product offerings.*

For our part, MSLGROUP's work in Poland, among other markets, includes media relations, advocacy, partnerships, speaking opportunities and crisis communications. When educating Poles about their government's aircraft purchases, we have, at times, needed to correct falsehoods about alleged malfunctions. Our skilled team helps us set the record straight.

*Zacks Equity Research