Defense & Aerospace Report Defense & Aerospace Report Podcast [Washington Roundtable Aug 29, ’25]
Aug 29, 2025
Dov Zakheim, former Pentagon Comptroller, Jim Townsend, ex-Pentagon Europe Chief, and Patrick Cronin, Asia-Pacific Security Chair, dive into the intricacies of U.S.-Russia relations amidst the Ukraine war. They dissect a major Russian attack in Kyiv and discuss the implications of U.S. stakes in defense firms under the current administration. The conversation also touches on the shifting alliances in the Indo-Pacific, particularly the evolving U.S.-India relations and the role of Europe, while lamenting the loss of key intelligence expertise on Russia.
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Buying Stakes Is Corporatism, Not The Fix
- Dov Zakheim warns U.S. ownership stakes in defense firms would be a departure from American tradition and is corporatism, not socialism.
- He argues fixing government contracting and execution is a better priority than partial nationalization.
Use Contract Incentives To Shape Industry
- Do use contractual levers like tighter option-year rules and stricter award-fee practices to discipline defense contractors.
- Do push firms to invest more in their own R&D and redesign government R&D support to incentivize private spending.
Russia's Strikes Send A Message To Europe
- Jim Townsend says Russia's intensified strikes aim to intimidate Europe as it steps up support for Ukraine.
- He warns Alaska meeting fallout makes European leaders appear compromised and weak at home.