Pentagon woos Silicon Valley to join ranks of arms makers
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Re: Pentagon woos Silicon Valley to join ranks of arms makers
#2Apparently the crux of the article is that the military wants more private capital to flow in the defense industry and an healthier ecosystems because the few large companies which have become keys to the military complex have become really inefficient.
It’s interesting but a different point entirely.
Re: Pentagon woos Silicon Valley to join ranks of arms makers
#3Re: Pentagon woos Silicon Valley to join ranks of arms makers
#4Re: Pentagon woos Silicon Valley to join ranks of arms makers
#5Re: Pentagon woos Silicon Valley to join ranks of arms makers
#6Weird title. Silicon Valley was literally founded by military spending and as far as I know it never really stopped. Apparently the crux of the article is that the military wants more private capital to flow in the defense industry and an healthier ecosystems because the few large companies which have become keys to the military complex have become really inefficient. It’s interesting but a different point entirely.
Re: Pentagon woos Silicon Valley to join ranks of arms makers
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Re: Pentagon woos Silicon Valley to join ranks of arms makers
#8Weird title. Silicon Valley was literally founded by military spending and as far as I know it never really stopped. Apparently the crux of the article is that the military wants more private capital to flow in the defense industry and an healthier ecosystems because the few large companies which have become keys to the military complex have become really inefficient. It’s interesting but a different point entirely.
There has been such a healthy ecosystem of smaller companies in the defense industry, but the pentagon has forced the companies to consolidate. See: "last supper" of 1993 for example, but even before that there have been decades of mergers.
https://www.brookings.edu/articles/merger-mania-should-the-p...
This report has also some nice graphs showing that this has been a very long trend, see Table 1 and figures 2 and 3:
https://media.defense.gov/2022/Feb/15/2002939087/-1/-1/1/STA...
Re: Pentagon woos Silicon Valley to join ranks of arms makers
#9Weird title. Silicon Valley was literally founded by military spending and as far as I know it never really stopped. Apparently the crux of the article is that the military wants more private capital to flow in the defense industry and an healthier ecosystems because the few large companies which have become keys to the military complex have become really inefficient. It’s interesting but a different point entirely.
Yeah, I don’t get it. In the process of becoming a substitute for one of the big primes, any given Silicon Valley corp is going to become just like a Raytheon or NGC. The process of govt contracting at scale breeds inefficiency and rent-seeking.
Re: Pentagon woos Silicon Valley to join ranks of arms makers
#10Is it crazy to imagine this is the “tit” for the “tat” of bailing out SVB?
Yes. The Pentagon didn’t bail out depositors. And they aren’t looking for incompetent bankers. If anything, letting SVB collapse and opening e.g. USAA business accounts for contractors would have been the moustache-twirling move.