Defence Finance Monitor

Defence Finance Monitor

The Privatization of Strategy: Accountability and Political Risks

Sep 01, 2025
∙ Paid

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Photo by Wim van 't Einde on Unsplash

One of the most striking transformations in contemporary warfare is the extent to which private corporations have become embedded in the core functions of military power. In earlier eras, private industry served primarily as a supplier of hardware—producing weapons, vehicles, and equipment under state direction. Today, however, technology firms not only manufacture but operate essential infrastructures, from satellite networks and cloud architectures to AI-powered data platforms. This shift means that the ability of states to conduct military operations increasingly depends on assets outside their direct control. When companies decide how and where their technologies are deployed, they exert real influence over national security outcomes. The privatization of strategic functions thus raises profound questions of sovereignty, accountability, and legitimacy, as decisions that once rested exclusively in the hands of governments are now shaped by corporate actors with their own interests, incentives, and vulnerabilities.


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