Security

The case for Rio 2016

Wed, 08/27/2008 - 5:43pm
MARK RALSTON/AFP/Getty Images

We're still a year away from learning who will host the 2016 Summer Olympics. But, while Beijing is fresh in our minds, I thought it'd be high time to consider the lessons and legacies of the 2008 games with an eye on the future.

If we learned one thing from Beijing 2008, it's that the Olympics are a perfect pretext for a massive security crackdown. So why not award the 2016 games to a city that could actually use a massive security crackdown?  

The murder rate in the state of Rio de Janiero is down to 39 per 100,000, from a high of 64 per 100,000 people in the mid-1990s. That's still high, and one still encounters machine guns while browsing shopping stalls. Some think meditation may do the trick, but an Olympic effort to crack down on petty crime (not political opposition, mind you) could do wonders.

The other finalist host cities are Chicago, Tokyo, and Madrid. The United States recently hosted in 2002 and 1996, Japan in 2006, and Spain in 1992. South America has never hosted the Olympics. Considering Brazil's growing economic clout, the time seems to be about right to finally change that.

Plus, India is gearing up for a 2020 bid of its own. With Beijing 2008, Sochi 2014, Rio 2016, and New Delhi 2020, all of the BRICs would get the recognition they deserve as the 21st century's rising powers. 

Of course, it is important that Rio be truly ready. As my colleague Josh Keating argues in today's Web exclusive, hosting international sporting events can do more harm than good for a country's reputation. The 2010 World Cup in South Africa, for one, appears to be headed toward disaster. But Brazil insists that it successfully hosted the 2007 Pan America Games, and would have proper practice after hosting the 2014 World Cup. Here's hoping Rio gets a good look from the IOC next fall.

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Wanna get away?

Fri, 08/08/2008 - 4:43pm

Iraqis are painting the security walls in Sadr City:

Wathiq Khuzaie/Getty Images
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Coca-Cola key to Africa's stability?

Mon, 07/28/2008 - 1:26pm
ABDELHAK SENNA/AFP/Getty Images

Finally, a political indicator I can get behind. Coca-Cola sales are a key signal of peace and prosperity in Africa, according to an intriguing theory from Jonathan Ledgard, The Economist's Africa correspondent.

Africans buy more than 36 billion bottles of Coca-Cola each year, and the price is low enough that many even in the most impoverished villages can afford a bottle now and then. Folks love their Coca-Cola: As the largest private employer on the continent, Coca-Cola is so entrenched in hearts that people go to the grave with the stuff. And since Coca-Cola tracks its sales and distribution in Africa down to the most minute details, any swift drops in sales or problems in the distribution chain can point to real-time economic hardship and instability.

In other words, if Coke sales drop off swiftly and suddently in parts of, say, Kenya, there is a good chance that either the area has become too dangerous for deliverymen to make their rounds or that something catastrophic is happening to people's incomes. Either way, bad news.

Having been raised on Coca-Cola myself, this seems intuitive. In the O'Hara household, drinking the last Coke without picking up another 12-pack was tantamount to a declaration of war.

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Another nuclear mishap for the Air Force?

Fri, 07/25/2008 - 5:54pm

Minot Air Force Base is not having a good news year. Last year, cruise missiles armed with nuclear weapons left the base by accident; this March, the Air Force discovered it had inadvertently shipped fuse components for nuclear weapons to Taiwan in 2006; and in May, Minot's 5th Bomb Wing failed a security test. Now we have news of another mishap, this time involving classified material at Minot.

In a story that more properly belongs in the beginning of a bad made-for-TV drama, a missile crew in possession of a nuclear launch code "component," while waiting for transport in a crew rest area, fell asleep.

An initial report simply said that "a nuclear launch code was lost or misplaced," but the Air Force later clarified that the codes in possession of the sleeping crewmembers had been superseded by a new set and were no longer usable. In addition, according to the press release, the codes were locked up with a combination known only to the crew and the entire facility was secured throughout the incident by Air Force Security Forces.

Now, it is true that the codes were probably never in danger of being compromised. It would also be understandable in almost any other circumstance that the crew would fall asleep while waiting for transport; generally, missile crews consist of three people who rotate watches over a three-day period. These rotations are likely tiring, and indeed the crews have been complaining about the length of the new rotations (for more about life as a "missileer," check out this fascinating article in the Bulletin of the Atomic Scientists). And the punishment for the people at fault looks to be swift.

More worrisome, though, is the pattern incidents like these are beginning to reveal. The "loose nukes" incident last year resulted from a whole cascade of minor security slip-ups just like this one, and where one such incident is reported many more are likely present. The prestige of working with U.S. nuclear forces continues to drop -- how do we make sure the ultimate weapons stay secure if things continue to get worse?

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Big bucks for cyber security

Mon, 07/21/2008 - 5:31pm

Walter Pincus reports today on a surprisingly large allocation of U.S. federal funds for cyber security:

A highly classified, multiyear, multibillion-dollar project, CNCI -- or "Cyber Initiative" -- is designed to develop a plan to secure government computer systems against foreign and domestic intruders and prepare for future threats. Any initial plan can later be expanded to cover sensitive civilian systems to protect financial, commercial and other vital infrastructure data."

The cyber security issue is a tricky one. For lack of a better option, the job of protecting government computer systems has fallen to the Department of Homeland Security (DHS), although the Air Force is an active player. The Navy and the Army also have their own programs.

I called James Lewis, an expert at the Center for Strategic and International Studies, to get some insight. He told me that the White House was becoming concerned because "DHS hasn't really done anything" on the issue of cyber security. "Some of it's internal squabbling" he says, "but they just can't seem to get their act together. You hear [Defense Secretary Robert] Gates and [Director of National Intelligence Mike] McConnell talking about it, but you never hear anything from [DHS Secrtary Michael] Chertoff."

So far, CNCI has been criticized for being too secretive, though the initiative is a step forward overall. In fact, it's good news that someone is finally starting to take this seriously. Both presidential candidates have expressed a committment to improving cyber security. Senator Obama has said he will appoint a "national cyber advisor" and will make the issue "the top priority that it should be in the 21st century." Senator McCain has pointed to a need to "invest far more in the federal task of cyber security" in order to protect strategic interests at home.

Knowing just who is supposed to be in charge of cyber security would be a good start. As Lewis points out, "It's not something you can do on an ad hoc basis like we've been doing for the past several years," adding, "We need to be better organized and better at assigning responsibilities."

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Chinese troops guarding carrots, tomatoes

Mon, 07/14/2008 - 6:41pm
China Photos/Getty Images

Having spent nearly $7 billion on security for next month's Olympics, Beijing will likely earn the mantle of most protected city in the history of the games. But China's efforts aren't limited to protecting sensitive sites and crowds from terrorist mayhem.

That's right: Beijing, stung by its flagging reputation for food safety after last year's blowups over tainted toothpaste and pet food, is now monitoring vegetables growing in rural farms. Meanwhile, livestock for the Olympic meat supply are raised in secret farms away from cities, McClatchy reports:

Guards carefully monitor the perimeter of Lin Yuan's farm, where carrots, peppers, tomatoes and other vegetables will ripen just in time for the hungry athletes arriving for the Beijing Summer Olympics.

"What is special now is the security," Lin said as he strolled out of a greenhouse and pointed to sentries at the farm's entry gate.

The beefed-up security hasn't impressed everyone. Both the American and Australian Olympic contingents will be shipping their own food in for the games. After the American announcement in April became a source of embarassment for the Chinese, Beijing banned the use of outside food at the Olympics. Chinese officals apparently relented, however, as the Aussies say they're "taking some snack bars, some packaged cereals and things like that."

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Intelligence community dances around climate change

Wed, 06/25/2008 - 6:32pm
FILE; Chip Somodevilla/Getty Images

Courtesy of Wired's Noah Schactman, here is National Intelligence Council Chairman Thomas Fingar's testimony about the first ever National Intelligence Assessment on the National Security Implications of Global Climate Change (pdf).

I attended Fingar's testimony on the Hill this morning and was struck less by the NIA's findings -- droughts and crop failures might lead to instability in the third world and coastal flooding may threaten the U.S. defense infrastructure -- than the unique nature of the report itself. Fingar acknowledged this in his testimony to the House Permanent Select Committee on Intelligence and the Select Committee on Energy Independence and Global Warming:

This study used a fundamentally different kind of analytical methodology from what is typical for an intelligence product such as a National Intelligence Estimate. We depended upon open sources and greatly leveraged outside expertise."

Intelligence Committee Chairwoman Rep. Anna Eshoo and her fellow Democrats at the hearing were excited about a greater future role for open-source intelligence gathering, and Fingar seemed receptive to the concept. But from his testimony, it didn't seem as if the research conducted contained any new information that couldn't be inferred by a layman reading the findings of the Intergovernmental Panel on Climate Change, which was the starting point on the NIA's research. As such, the NIA doesn't really seem to accomplish much beyond stressing the urgency of climate change by describing it as a security issue.

This makes it all the more odd that the actual text of the NIA was classified by the National Intelligence Council. Fingar suggested that releasing specifics about how certain countries would be specifically affected would complicate U.S. diplomatic efforts, though my guess is that the countries in greatest danger from global warming are already well aware of it. Rep. Ed Markey saw a White House agenda in the classification:

If people know specifically what these problems will be and where they will be and who they will affect then perhaps we will finally have the political will to solve the problem... The president doesn't want America to know the real risks of global warming.

I'm mostly curious to know if the report actually contains information that isn't already public knowledge. If nothing else, it would be nice to think that this partisan tug-of-war is being fought over a document that actually matters.

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British official loses top-secret al Qaeda documents

Wed, 06/11/2008 - 7:00pm

It's tough to catch al Qaeda personnel when intelligence on their top leaders is scarce, but it's even more difficult to run an effective counterterrorism program when your country's spies leave sensitive documents in public places. That's what happened today in England.

This mind-boggling security breach occurred when a passenger spotted an orange folder that had been left on a train, and upon discovering its contents, handed it to the BBC:

The two reports were assessments made by the government's Joint Intelligence Committee.

One, on Iraq's security forces, was commissioned by the Ministry of Defence. According to the BBC's security correspondent, Frank Gardner, it included a top-secret and in some places 'damning' assessment of Iraq's security forces,

The other document, reportedly entitled 'Al-Qaeda Vulnerabilities', was commissioned jointly by the Foreign Office and the Home Office.

Just seven pages long but classified as 'UK Top Secret,' this latest intelligence assessment on al-Qaeda is so sensitive that every document is numbered and marked 'for UK/US/Canadian and Australian eyes only,' according to our correspondent."

Sound familiar? Several weeks ago, Canadian Minister of Foreign Affairs Maxime Bernier resigned after it was discovered that he left classified NATO documents at an ex-girlfriend's house.

I have to give the edge to Bernier here. At least he might have been trying to impress his female company with his top-secret documents.

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Attention Olympics fans: Beijing wants your data

Wed, 06/11/2008 - 12:01pm

Feng Li/Getty Images

The last thing Beijing wants to see at the Olympic opening ceremonies on August 8 is Tibetan flags, "Stop genocide in Darfur" signs, or similar such provocations from "troublemakers." And given Beijing's paranoia, it's hardly surprising that this year's opening and closing ceremonies are going to have some of the tightest security of any event, ever.

Each ticket for the ceremonies will have a microchip embedded with the user's photograph, passport details, addresses, emails, and telephone numbers. All event tickets also have microchips to prevent counterfeiting, but only the ceremony tickets will contain the personal data. Some have raised fears of data theft, and others question whether activists known to the Chinese authorities could even attempt to attend, since many of them are being detained or at least closely watched ahead of the games. Perhaps the biggest concern is that the tickets will be too effective: If you are attending the ceremonies with a few friends or family members and your tickets get switched among you, expect big delays at the gates.


Breaking: Pakistan makes a deal with Taliban

Wed, 05/21/2008 - 12:43pm

Pakistan will pull its troops out of the Swat valley in its Northwest Frontier Province according to an agreement signed today by government negotiators and local Taliban leaders. Local authorities also agreed to enforce Sharia law so long as girls are allowed to attend school and militants do not carry weapons in public. Pakistan's new government is also negotiating a seperate agreement with Baithullah Mehsud, leader of Pakistani Taliban and suspect in Benazir Bhutto's assasination. The U.S. worries that peace deals will give the Taliban more freedom to launch attacks across the border in Afghanistan. 

In an FP web-exclusive posted yesterday, Daniel Markey of the Council on Foreign Relations doubts that these deals will hold up, but argues that the U.S. still should not oppose them. Even a temporary ceasefire, he says, could give Pakistan some time to recover from recent military and political setbacks and allow development projects access to previously off-limits parts of the country.

We'll have more on the developments in Northwest Pakistan in the coming days.

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Is Russia the 10th most violent country on earth?

Tue, 05/20/2008 - 7:03pm

Most of the new Global Peace Index compiled by the Economist Intelligence Unit isn't all that surprising. Perennial global list-toppper Iceland is apparently the most peaceful country in the world while Iraq is the most violent. Even the United States' rank, 97, isn't really much of a shock. It's fighting two wars after all.

But does Russia really deserve to be 10th from the bottom, behind violence-wracked states like Colombia, Nigeria, Zimbabwe, Sri Lanka, DR Congo and Pakistan? Here's the explanation:

Russia scored low because of its high military spending, booming arms sales and poor relations with its neighbors, says the study, the brainchild of Steve Killelea, an Australian philanthropist and entrepreneur. Also hitting Russia's ranking were "high scores for homicides, jailed population, distrust among citizens, violent crime" and a lack of respect for human rights, it said. [..] While the study noted "increased stability in Chechnya," it pointed to Russia's "moderately tense" relations with its neighbors and extremely high arms exports.

Fair enough. Russia's not exactly Iceland. But as bad as things are in the North Caucasus and as repressive as Putin's government might have been, it still doesn't seem right to see it ranked five spots below Burma's genocidal junta.

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South African violence about more than xenophobia

Tue, 05/20/2008 - 2:22pm

STRINGER/AFP/Getty Images

For over a week now, Johannesburg has been struck by a wave of violence directed at migrants from neighboring countries. Currently the death toll stands at 22, but as riots continue today in the Reiger Park area, that number will continue to rise. So will the number of people who have been forced from their homes, which has by now entered the thousands. South Africa's President Thabo Mbeki made a plea for an end to orchestrated violence in impoverished settlements, as the government debated whether to call in the army to combat the violent mobs. So far, control of the rioting has been left up to the police, who, although they have already arrested nearly 300 people, appear overwhelmed by the situation and have seen little abatement in the xenophobic crime wave.

Zimbabweans make up a large percentage of the immigrants in South Africa, and are estimated to number up to three million in that country. As the human rights situation in Zimbabwe deteriorates, and thousands more flee post-election violence, intimidation and disastrous economic hardship, that number is likely to increase. But according to an editorial yesterday in the Financial Times:

It would be wrong to think this explosion of xenophobia is simply the reaction to uncontrolled immigration. It is also the result of rising food prices, falling living standards, unemployment of 30 per cent and above, and a government perceived as deaf to the plight of the poor."

Indeed, there are deeper issues underlying the anger spilling over in Johannesburg. Not least of which are the growing food insecurity in the nation, a broken system for handling refugees and total failure of Mbeki's government to seek political solutions to the crisis in Zimbabwe. The South African Institute of Race Relations today released a statement outlining nine policy failures of Thabo Mbeki's government including failure to maintain the rule of law, lack of border control, slowing economic growth, poor service delivery and failures of foreign policy. It seems that although Mr. Mbeki's current problem is how to put a stop to maurading mobs, prevention of future flare-ups will require both vast policy reform and more than a little soul-searching.

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Jailbreak shakes public confidence in Singapore

Tue, 05/20/2008 - 12:05pm

ROSLAN RAHMAN/AFP/Getty Images

Singapore's robust security state may make it one of the world's worst places to be a terrorist, but some cracks are beginning to show in the country's tough image. Mas Selamat Kastari, the head of the al Qaeda-linked terrorist group Jemaah Islamiyah, is still at large after escaping from a Singaporean detention center in February.

As FP Managing Editor William Dobson reports in the upcoming issue of Newsweekthe state's failure to recapture Kastari combined and the keystone kops nature of his escape (He climbed out a bathroom window and cushioned his fall with rolls of toilet paper.) are shaking the public's faith in their regime's competence:

As much as the government is trying to spin the prison break as a cautionary tale, the episode is revealing shortcomings in Singapore's nanny state. [...] Singapore does an excellent job mobilizing its resources and directing them at recognized problems. But there are few external or independent checks on the system—and this lack of scrutiny, combined with the government's generally successful record, has produced serious blind spots. Past circumstances have made it "easy to become smug," says the Western diplomat. But this smugness has now proved dangerous.

As Dobson points out, Singapore's citizens place enormous faith in their normally ultracompetent government, allowing the state to justify its sometimes harsh authoritarianism. Officials are now scrambling to restore that faith.

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Experts divided over Taiwan F-16 sale

Fri, 05/16/2008 - 11:53am

PIERRE VERDY/AFP/Getty Images

The Bush administration is currently debating a plan to sell 66 advanced F-16 jets to Taiwan. The F-16 sale was a recurring theme in a panel discussion Monday at the Carnegie Endowment on cross-straits relations featuring Bonnie Glaser of CSIS, Michael Swaine of Carnegie, and Douglas H. Paal, Carnegie's new China program director.

The participants presented somewhat differing opinions on the diplomatically sensitive move. Swaine doesn't see a good time for U.S. approval of the sale in the near to medium term. Glaser, on the other hand, feels it will happen because postponing the sale until the next administration risks getting off on the wrong foot with China. She recommends the window after the Olympics but before Bush leaves office. Carnegie's Minxin Pei weighed in that if the sale goes forward, China would likely respond negatively to a request by Taiwan to withdraw some of the 1,000 balistic missiles aimed at it. But it's not as if jets and missiles are easily equated military capabilities in tit-for-tat negotiations, Glaser said.

Glaser also remarked how this underscores a differing approach to cross-straits negotiations where some, including the U.S., view defense aid to Taiwan as a necessary precursor to productive negotiations as it gives the island nation a more solid footing on which to withstand threats. Others, namely China, strongly respond to arms sales as obstacles to diplomacy which discourage cross-straits engagement.

The State Department wants to delay the F-16 issue until after the Olympics, but I agree that if the U.S. is going to do this, it would be much better to sweep it under the rug of the outgoing administration so the new administration can chalk it up to "change" or whatever they're into at that point.


Tuesday Map: Abkhazia, what’s really at stake?

Tue, 05/13/2008 - 6:23pm

The smaller the renegade province, the bigger the pawn -- at least so it seems in the world of post-communist geostrategic positioning.  Just as the dust has begun to settle around the Kosovo independence issue, Georgia’s breakaway provinces of Abkhazia and South Ossetia now find themselves front and center in the separatist question lime light.

In recent months, the U.S. has pushed for Georgian memebership in NATO, rebel pockets and all; while Russia has upped its ties with both of Georgia's de facto independent states. And just this week, the EU threw in its two cents, declaring support for Georgian territorial integrity.

With Moscow-Tbilisi tensions running high, let’s take a look at what Abkhazia and South Ossetia really have to offer...beyond their mad drone-downing skills:

Map by Phillipe Rekacewicz - UNEP/GRID-ARENDAL

According to this week’s Tuesday Map of Georgia’s environmental and security issues from the IDMC (Internal Displacement Monitoring Centre), the two rebel provinces come complete with two refugee camps (orange triangles), two nuclear waste sites (yellow markers), and one “large aging Soviet industrial complex still generating pollution” (red circle).

Abkhazia does have a beautiful coast -- so beautiful, in fact, that the most famous Georgian of them all incorporated it into Georgia proper back in 1931, setting the province on course for decades of ethnic tension and the economic isolation. Beautiful or not though, this week's map shows that much of Abkhazia's shore line is actually chock full of “pesticides and/or heavy metals (mainly inherited from the Soviet period)” (yellow patches).

All in all, I can see why neither Georgia nor Russia will give up their influence over this diamond in the rough -- what country wouldn't forsake regional stability for a few more nuclear waste sites?

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The bounty on this guy's head? $250 mil

Tue, 05/13/2008 - 2:54pm

sudantribune.com

Sudanese President Omar Hassan al-Bashir is not pleased about last weekend's brazen attack by Darfur rebels. It was the first time fighting has reached the outskirts of Khartoum not just in the bloody five years of fighting in Darfur, but in  the decades of conflict in Sudan.

Bashir is so peeved that he's put an astonishing $250 million reward on the head of rebel leader Khalil Ibrahim (pictured). For reference, that's 10 times the reward for Osama bin Laden.

Why the enormous bounty? Perhaps Ibrahim's fighting words have Bashir concerned. Here's Ibrahim in an interview yesterday, according to the IHT:

This is just the start of a process, and the end is the termination of this regime...Don't expect just one more attack. This is just the beginning."

Bashir also cut diplomatic ties with Chad on Sunday, accusing Chadian President Idriss Deby, who is from the same tribe as Ibrahim, of backing the attack. This is going to get worse before it gets better. 

UPDATE: If $250 mil sounds like an absurd amount (and it does), then that's because it is. When it was reported by the Sudanese state media yesterday, it came across as just another attention-getting ploy, and that if someone actually caught Ibrahim, Bashir and his cronies would make the bounty hunter an offer he couldn't refuse, and he'd go away with far, far less. But try three zeros less: Apparently, there was currency confusion in the Sudanese government. The reward of 500 million Sudanese pounds (the equivalent of $250 mil) was offered in new Sudanese pounds, according to state media. The country revalued its currency last year, and the new pounds are worth 1,000 times the old ones. But the information office came out today and said that they're using old Sudanese pounds for some reason, so we're talking peanuts for Ibrahim: $250,000.

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CIA director sounds off on the future of the world

Fri, 05/02/2008 - 7:00pm

CIA Director Michael Hayden gave a smart talk earlier this week about where the world is headed and what role the United States will play in it (video). With the world population set to grow about 34 percent by mid-century, the agency will be especially attentive to demographic transitions in countries that can't sustain higher populations, he said. But Hayden also had a message for China:

China is a competitor—certainly in the economic realm, and, increasingly, on the geopolitical stage. But China is not an inevitable enemy. There are good policy choices available to both Washington and Beijing that can keep us on the largely peaceful, constructive path we've been on for almost 40 years now.

On a very hopeful note, Hayden also said Americans have to start putting themselves in others' shoes:

[A] greater number of actors will have influence on the world stage in this century. And that presents one overriding challenge to those of us responsible for our nation's security: We must do a better job of understanding cultures, histories, religions, and traditions that are not our own. We must broaden our understanding, and guard against viewing the world exclusively through an American prism. We must not rely exclusively on an American—or even more broadly, Western—lens in assessing foreign challenges and helping policymakers decide how to respond.


New Baghdad embassy will be part trailer park

Tue, 04/29/2008 - 12:35pm

Two weeks ago, U.S. Ambassador to Iraq Ryan Crocker announced that diplomats and staff could finally move into the massive, new U.S. embassy as early as May. But thanks to a gross underestimation of housing needs, some embassy staff will be forced to remain in their trailers until more rooftop-protected housing can be secured inside the compound.

Apparently this snafu resulted from housing figures, calculated in 2005, that failed to predict the more than doubling in embassy staff that occured between the start and end of the embassy's construction.

To make matters worse, a portion of the staff that will remain in the trailers, currently parked behind Saddam Hussein's former palace (turned U.S. command center) will not be provided with rooftop reinforcement. They will receive some "enhanced protection," though (read: sandbags).

Without rooftop coverage, the Green Zone's looking like an awfully rough place to be these days.


Apple's history of violence

Mon, 04/28/2008 - 4:46pm

Reader Jonathan Hendry wrote in with some interesting backstory related to my post about Apple, Inc. becoming a defense contractor:

Actually, [Steve] Jobs isn't a stranger to selling to the Pentagon. While his products are thought of as consumer electronics, there was a time when his best customers were in very serious industries like defense and high finance (UBS, Swissbank, Merrill Lynch, First Chicago, Soros, etc).

Jobs' company NeXT Computer (which Apple bought in 1997, bringing him back into the fold) sold quite a few machines to the spooks in the early 90s. The spy agencies liked how quickly software could be developed on the NeXT operating system. I personally interviewed for a defense-oriented NeXT programming job with, I think, Lockheed-Martin back in 1994, my senior year of college. (I don't recall what the system was, but I know I would have needed a security clearance - they gave me the forms to fill out. I wound up taking a job in Chicago that put me on a contract at Swissbank.)

Around 1993, NeXT stopped making computers, changing to an OS-only strategy. Supposedly they had to run the assembly line for a little while longer, in order to fulfill the spare-parts stock requirements of their defense contracts.

I expect Mr. Jobs is feeling a little deja vu right now.

Jonathan's email reminded me that the Pentagon has recently begun integrating Apple computers to bolster its network security. So, high-profile defense contracts are nothing new to the most powerful man in business.

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Did Apple, Inc. just become a defense contractor?

Fri, 04/25/2008 - 5:10pm

Steve Jobs's shop recently announced the $278 million purchase of a small computer-chip maker named P.A. Semi—a takeover that most analysts assumed was designed to shore up efficient chip technology for future versions of the iPhone.

But it turns out some of P.A. Semi's best customers are defense contractors, including Lockheed Martin and Raytheon, and they're not at all comfortable with the company's new latte-drinking, yoga-practicing, peacenik boss. Rumors are flying that Apple will shut down production of a key processor used in "more than 10" different defense systems.

EE Times reports

Apple Inc. may have to face the ire of the U.S. Department of Defense following its planned acquisition of P.A. Semi Inc. The startup's PWRficient processor is designed into DoD programs in every major branch of the armed services, said one P.A. Semi customer who expects Apple will end production of the parts.

"We've had customers saying they are going to the DoD on this one," said a source in one of the several companies making embedded computer boards with the processor.

Lends new meaning to the term "iPod Killer," doesn't it?