Israel Aerospace Industries Chief Sees Defense Ties as Path to Regional Normalization

Boaz Levy, CEO of Israel Aerospace Industries (IAI), has warned that the ongoing conflict necessitates a continuous increase in interceptor missile production due to persistent shortages. He explained in an interview with "Walla!" at the MEAD conference that the asymmetric nature of the war, marked by extensive ballistic missile launches, creates an unending demand for these interceptors, exacerbated by both Israeli and American production constraints. Levy stated that IAI's production lines are operating around the clock to meet the security establishment's needs, including orders from Germany.

Levy stressed the critical need for increased defense budgets to bolster interceptor missile stockpiles, noting that while decision-makers recognize this necessity, the Ministry of Defense defines the requirements and the Ministry of Finance controls the budget. He admitted he doesn't sleep soundly concerning interceptor missile reserves, emphasizing IAI's role in providing these systems efficiently, though he cautioned that advanced system production is time-consuming.

Beyond military applications, Levy views air defense systems as a potential foundation for technological and security partnerships between Israel and regional nations. He highlighted the MEAD conference as a vital platform for engagement, underscoring IAI's dual role in military and civilian sectors. With approximately 16,000 employees, including 8,000 engineers, IAI possesses capabilities that could build a "technological bridge" fostering security, economic cooperation, and broader regional partnerships.

Levy also pointed to artificial intelligence as a transformative force in defense, blurring lines between civilian and military domains. He noted that recent conflicts have demonstrated that threats can reach urban centers, and AI-driven continuous intelligence gathering, including satellite data on terrain, population movements, and resources, can be shared to build joint defense capabilities. He envisions alliances leveraging space capabilities and satellite data to create integrated regional air defense systems.

IAI's defense capabilities, Levy believes, can act as a "locomotive" for normalization with regional countries. While IAI receives inquiries globally, including from Europe and the Gulf states, most interactions currently involve defense system sales rather than formal alliances. He suggested that these security collaborations could evolve into broader strategic partnerships, asserting that providing citizen protection is a legitimate basis for intergovernmental cooperation. IAI's strengths lie in its integrated capabilities across land, sea, air, and space, covering the entire operational cycle from threat detection to interception.