The world’s superpowers are once more in contention as the US’ star wanes and the influence of Russia and China increases. The Trump administration has identified China and Russia as the two greatest threats to the US and it is proposing to answer those threats with increased defense spending. The focus on this “Great Power” competition should drive a shift in defense spending towards investment in readiness and equipment modernization, particularly the high-end equipment that can act as a deterrent.

  • The nuclear triad: This is the primary deterrent for conflict between the superpowers and the US currently favors modernizing all three portions – sea, air and land.
  • The final frontier: Space is the new arena as Russia and China develop anti-satellite capabilities that will require the US to look at refreshing its own assets for resilience against potential disruption.
  • Advanced capabilities: The superpowers will continue to focus on new tools like cyber, electronic warfare, artificial intelligence and hypersonics.

Escalating Uncertainties: Up close

The future will be determined by those who are willing to reinvest, adapt and turn future threats into opportunities.