U.S. eager to spur military innovation as China invests in new tech; Japanese industry in 'lukewarm environment'

WASHINGTON – The United States is eager to spur innovation in its defense industry at a time when China is investing in advanced technologies including fifth-generation, or 5G, high-speed communications equipment, artificial intelligence systems and hypersonic weapons. In contrast to a vibrant U.S. industry, Japanese defense-related companies have long been part of a "lukewarm environment where business opportunities are guaranteed but profits are limited," a Japanese defense industry source said. In March, the U.S. Air Force held a new event to hear presentations from about 60 small and startup businesses, with contract money available on the spot to those with innovative ideas. Speed, as well as originality and innovation, is essential in competition between major powers, according to then-Air Force Secretary Heather Wilson. In particular, the United States is alarmed by China's development of hypersonic weapons, as its existing missile defense equipment is unable to shoot such weapons down.