POTENTIAL BARRIERS FOR MILITARY MODERNIZATION THROUGH TECHNOLOGY TRANSFER IN THE UPCOMING EUROPEAN REARMING EFFORTS

Abstract

As of now Europe is on track to drastically boost military capabilities through modernizing and expanding their portfolio (Politico, 2025). The demand for new technologies is driving technology transfers between domestic and foreign defense enterprises—a goal pursued by many nations (Ankit, 2024).The global security landscape in the recent years has been increasingly marked by contradiction, uncertainty, and volatility, with unpredictable risks and threats (EEAS, 2023). Humanity is currently grappling with the negative consequences of globalization, encountering serious challenges and dangers. As a result, new military alliances are forming on the world stage (EDIDP, 2024), accompanied by the expansion of defense industries in various countries, underscoring the need for future transfers of military technology (Vergun, 2023). Additionally, most militaries must adopt a data-driven approach and embrace digital transformation to effectively respond to great power competition and prevail in larger-scale conflicts. However, some countries are experiencing manufacturing challenges in meeting national demand due to ongoing global conflicts and their reliance on foreign suppliers (GAO, 2024). One of NATO's (2023) three primary objectives for 2030 is to enhance understanding which, based on their strategic approach and involves "leveraging innovation and connectivity between Nations, Academia, and Industry." Currently, as the European Union plans to unveil €800bn to “rearm” their Ministries of Defense (The Guardian, 2025), technology transfer is essential not only to keep pace with new technologies but also to adapt proven products to achieve supply independence from foreign powers outside of the EU. This creates new opportunities for scientific exploration and debate, emphasizing the importance of this publication. The central research question is what constitutes technology transfer and how it can be effectively executed between defense industry enterprises to achieve military modernization. This study will examine the process of acquiring technology from foreign providers to identify potential barriers companies may encounter. The publication's goal is to investigate the theoretical foundations of technology transfer, with key factors identified as critical to a successful transfer: a clear definition of the transfer, transfer barriers, desorptive capacity, management stability, cultural influences, time frames and legal considerations. Future work will analyze the current state and challenges of technology transfer, along with strategic solutions for its effective implementation. Given the space constraints of this publication, the primary focus will be on theoretical foundations, paving the way for a more detailed analysis in subsequent work.