(NSI News Source Info) February 17, 2009: In October, the Pentagon approved the sale of 25 F-35 stealth-enabled joint strike fighters to the Israeli Air Force, with an option to purchase up to 50 more. Just last week, I reported that cost overruns that may make the jets cost more than $100 million each were causing the IDF to rethink the purchase. Now, there's a new problem that should give further pause to Israeli purchases of the jets.
When Israel expressed interest in the jets, it asked to install its own technology on them. This wasn't just a question of buying Israeli out of patriotism. Israel fears that the jets will be sold to other countries in the region - like Saudi Arabia - and if our own technology is installed it will allow Israel to maintain a qualitative superiority even if the jets are sold to our enemies. .jpg)
While the United States is the primary customer and financial backer, the United Kingdom, Italy, the Netherlands, Canada, Turkey, Australia, Norway and Denmark have agreed to contribute US$4.375 billion toward the development costs of the program. Total development costs are estimated at more than US$40 billion (underwritten largely by the United States), while the purchase of an estimated 2,400 planes is expected to cost an additional US$200 billion. The nine major partner nations plan to acquire over 3,100 F-35s through 2035, making the F-35 one of the most numerous jet fighters.
There are three levels of international participation. The levels generally reflect the financial stake in the program, the amount of technology transfer and subcontracts open for bid by national companies, and the order in which countries can obtain production aircraft. *The United Kingdom is the sole *"Level 1" partner, contributing US$2.5 billion, about 10% of the development costs under the 1995 Memorandum of Understanding that brought the UK into the project. *Level 2 partners are Italy, which is contributing US$1 billion; and the Netherlands, US$800 million. *Level 3 partners are Canada, US$475 million; Turkey, US$195 million; Australia, US$144 million; Norway, US$122 million and Denmark, US$110 million. Israel and Singapore have joined as *Security Cooperative Participants (SCP).
While the United States is the primary customer and financial backer, the United Kingdom, Italy, the Netherlands, Canada, Turkey, Australia, Norway and Denmark have agreed to contribute US$4.375 billion toward the development costs of the program. Total development costs are estimated at more than US$40 billion (underwritten largely by the United States), while the purchase of an estimated 2,400 planes is expected to cost an additional US$200 billion. The nine major partner nations plan to acquire over 3,100 F-35s through 2035, making the F-35 one of the most numerous jet fighters.
There are three levels of international participation. The levels generally reflect the financial stake in the program, the amount of technology transfer and subcontracts open for bid by national companies, and the order in which countries can obtain production aircraft. *The United Kingdom is the sole *"Level 1" partner, contributing US$2.5 billion, about 10% of the development costs under the 1995 Memorandum of Understanding that brought the UK into the project. *Level 2 partners are Italy, which is contributing US$1 billion; and the Netherlands, US$800 million. *Level 3 partners are Canada, US$475 million; Turkey, US$195 million; Australia, US$144 million; Norway, US$122 million and Denmark, US$110 million. Israel and Singapore have joined as *Security Cooperative Participants (SCP).Participant nations: F-35 Joint Strike Fighter (JSF)
*Primary customer: USA
*Level 1 partner: UK
*Level 2 partner: The Netherlands and Italy
*Level 3 partner: Canada, Turkey, Australia, Norway and Denmark
*Security Cooperative Participants (SCP): Israel and Singapore
Some of the partner countries have wavered in their public commitment to the JSF program, hinting or warning that unless they receive more subcontracts or technology transfer, they will forsake JSF for the Eurofighter Typhoon, Saab JAS 39 Gripen, Dassault Rafale or simply upgrade their existing aircraft. Norway has several times threatened to put their support on hold unless substantial guarantees for an increased industrial share is provided. Despite this Norway has signed all the Memoranda of Understanding, including the latest one detailing the future production phase of the JSF program. They have, however, indicated that they will increase and strengthen their cooperation with both competitors of the JSF, the Typhoon and the Gripen.
Israeli demands include installing an advanced radar and conformal fuel tank design for long-range missions made by Israel Aerospace Industries, as well as other electronic and weapons systems that could require changes to the configuration of the aircraft.
"We have unique needs and need to retain our superiority in the region," a senior defense official explained. "
To meet these needs we must to be able to install our own systems." The US is refusing to allow Israel - the first country to whom the jets have been offered which is outside the US and the eight countries who are full members of the Joint Strike Force program - to install its own technology.
Last week, in an interview with Aviation Week, Maj.-Gen. Charles Davis, executive officer of the JSF program, said that Israel would not be allowed to put its own systems in the JSF, also known as the F-35.
"They [Israel] are going to buy aircraft that have basically the same capability as all the others," Davis told Aviation Week. "
They are trying to do a requirements analyses for future missions. That [customization] is doable through software. It is not doable by Israelis sticking boxes in the airplane. [Elbit and Elta being involved] is not an option," he says.
The IDF is now talking about delaying the purchase to some point beyond 2014. That would lower the cost, but would not solve the technology issue. And one cannot help but get the sense that the IDF feels its been had by the Americans:
In the past, officials said, before announcing a decision to purchase an aircraft the MOD first negotiated the installation of Israeli-made systems and then announced that it had made a decision. This, officials said, was the case with the F-15I and the F-16I.
However in the case of the JSF, the US refused to conduct the negotiations with the MOD until an announcement that it would procure the plane had been made. The announcement was made in October in an official request to the Pentagon.
A defense industry source familiar with the negotiations between Israel and the US said that the talks were "tough" but predicted that a deal would be reached in the coming months and that Israel would finally place an official order.
You can bet that there's going to be a lot of pressure placed on Israel to place that order. With a recession on, what is potentially a $75 billion order would be a huge boost for the American defense industries. You would think it would also be an incentive to make the customer king. And that has to make you wonder why the US is suddenly playing hardball.
Oh by the way, one of the countries that is a member of the Joint Strike Force is Turkey. Other members include the United Kingdom, Italy, the Netherlands, Canada, Australia, Norway and Denmark, each of whom contributed between $110 million (Denmark) and $2.5 billion (United Kingdom) towards the development costs, with the United States footing the balance of the bill. Israel and Singapore paid $20 million each to receive the lower level status of a 'security cooperative participant' in the program. Hmmm.
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