Lockheed Martin CEO says America must invest in digital defense

Lockheed Martin CEO says America must invest in digital defense systems to prepare for the future

  • Lockheed Martin CEO Jim Taiclet told CNBC’s Jim Cramer on Tuesday that the U.S. needs to invest in digital technology, citing the company’s partnerships with companies like Microsoft, Nvidia and Intel.
  • “What we’re trying to do in our company is to be kind of an enabler to integrate the digital technologies of the 21st century into our armed forces and national defense,” Taiclet said.

Lockheed Martin CEO Jim Taiclet told CNBC’s Jim Cramer on Tuesday that the U.S. needs to invest in digital technology to prepare for the future.

“What we’re trying to do in our company is to be kind of an enabler to integrate the digital technologies of the 21st century into our armed forces and national defense,” Taiclet said. “We really need to bring together and mobilize all of American industry to work on this.”

Taiclet added that Lockheed has alliances with companies such as Nvidia, Microsoft and Intel to bring digital technology to the defense sector more quickly.

Lockheed shares rose in October after the company reported a better-than-expected quarter and geopolitical tensions boosted demand for its military equipment. The Biden administration is seeking a $105 billion security aid package to support the security needs of allies such as Ukraine and Israel.

Taiclet said Lockheed is capable of doubling its F35 aircraft with the right investments from the government and its suppliers, but it could take a few years. He also said that several years ago the company was asked to double production of some of the systems effective in Ukraine – such as the Patriot missile – adding that it was in the process of increasing these munitions by about 60% .

“We want to operate on offense and defense and utilize the latest technology to actually accomplish that,” he said.

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