L3’s Michael Strianese: Lack of Defense Budget Visibility Harms Industry R&D Efforts

Michael Strianese

L3 Technologies CEO Michael Strianese told Defense News in an interview published Monday a lack of visibility over budgets as a result of continuing resolutions drives defense contractors to take more risks when it comes to research and development.

“Generally, we don’t build to inventory; we build to a contract,” Strianese said.

“And with the lack of budget visibility, we certainly take a much more substantial risk in building products that will not get sold.”

He also called on the government to ensure the timely passage of annual appropriations in order to provide companies the visibility to come up with plans and make R&D investments.

Strianese is due to retire as L3 CEO at the end of the year and will be succeeded by President and Chief Operating Officer Christopher Kubasik.

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