The Changing Reality – The Defense Budget Shift to HLS

The thin line, between defense and homeland security (HLS). This line is becoming more of an issue as budgets are being channeled to what in the past was defined as “pure” defense.

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Times have changed. The homeland security concerns have become more severe and are not anymore just “police work”. The population has become a target of terrorists and they have become more sophisticated. This calls for more advanced counter measures.

The fact is that some Israeli companies see HLS as a growth engine in the next 5 years when defense expenditure is under a big question mark. The transfer of procurement budgets has changed something very essential – the industries are not only adapting defense systems to HLS use. They develop HLS systems from scratch.

This trend is about to continue and we can expect more and more technological solutions that are tailored to the HLS needs. In many cases the industries, especially in Israel, “teach” the market what it needs. This may look a twisted process, but it is not. On the contrary, This is a very healthy trend that can result in more robust solutions in the international home land security efforts.