Thee
vice president of U.S. defense contractor Lockheed Martin, retired Gen.
James L. Jamerson, says in a world where technologies change rapidly,
the big challenge for Turkey is which technologies it will pursue.
Jamerson outlined the challenges of the century as the threat of
ballistic missiles, rapid changes in technology and resource allocation
in nation's defense due to their high cost. Jamerson, who has been
promoted to take charge of the entire Middle East region within Lockheed
Martin at the beginning of March in addition to his current areas of
responsibility -- Turkey and Israel -- spoke about the company's future
strategy of expanding in Turkey's lucrative defense industry market. In
the face of shrinking defense budgets that have been seen mainly in
Europe since the demise of the Soviet Union, Lockheed Martin is among
major defense companies seeking to grab a bigger share from the Turkish
defense pie. Turkey decided in 1997 to allocate $150 billion in the
coming 25 to 30 years for defense procurement.
Lockheed Martin, which
ranked first among the top 10 U.S. defense contractors in 1998 and 1999
in terms of contract amount awarded by the U.S. Defense Department, has
already completed the local assembly of F-16s for Turkey. The company's
plans to help Turkish Aerospace Industries (TAI) assemble an additional
32 F-16s have been suspended due to budget restrictions in Turkey.
Today's challenge in defense is different from that of 10 years ago,
says Jamerson, bringing to mind today's dilemma, for example, of which
tanks one can produce and which one cannot produce. "Since
technology changes so rapidly, how countries will handle high technology
changing in a time frame is a serious problem. What is critical today
may not be critical tomorrow. But Turkey is on the right path in its
strategy of gaining technology," Jamerson stated. However, Jamerson
stressed that in the absence of allocating the necessary amount of money
to Research and Development (R&D) activities, a country will always
depend heavily on others in high tech. Turkey's resources allocated to
R&D activities still remain at only a little more than 1 percent.
Under the 1998 defense
industry strategy paper that Turkey has adopted, the prime aim is to
bring in high tech to lessen dependency on other countries.
However, as Jamerson
noted, another great challenge in defense cooperation is how to share
the technology. "Sharing technology between countries with
different capacities is a problem. For example, the United States has
high technology. Turkey has good technology but cannot match the United
States," commented Jamerson. For example, in the case of Turkey's
attack helicopter project the United States refuses to transfer major
technologies to Turkey.
As part of its strategy
to expand its activities in Turkey Lockheed Martin is currently
negotiating with Turkey for the sale of 216 Hellfire missiles to be
fitted on nine Turkish Super Cobras in its inventory. The project is
valued at about $16 million. Three companies out of five bidding in
Turkey's $4 billion attack helicopter project have also been offering
Lockheed Martin-made AGM-114K Hellfire II missiles to be equipped on
their models. If one of the companies offering HellFires wins Turkey's
multi-billion-dollar tender, Lockheed Martin hopes to expand its
partnership with local Roketsan (Rocket Industry Co.). Under the attack
helicopter project missiles to be equipped on attack helicopters will be
produced jointly by Roketsan.
In cooperation with local
company Havelsan, Lockheed Martin is setting up $160 million in
information systems in batches for the Air Forces Command. The final
batch due to be completed in the year 2006 will worth a total of $260
million. Due to a controversy surrounding the project when it was
contracted to German firm Dasa two years ago, it was given to Lockheed
Martin. An international arbitration court in Switzerland has been
looking into the matter following Dasa's complaints. (Turkish Daily
News, Lale Sariibrahimoglu)