How AI Is Disrupting Defense

Ross Law from Morgan Stanley's European Aerospace and Defense team interviews Arushi Agarwal from the European Sustainability Research team about the increasing integration of AI in European defense spending. The conversation covers the evolving relationship between sustainability and national security, the significant projected increase in AI-related defense spending, key AI applications in defense (cybersecurity, unmanned systems, simulation and wargaming), the dual-use potential of these technologies, and the emerging regulatory landscape in Europe. The discussion also touches upon the ethical considerations and challenges of AI in defense, emphasizing the need for responsible AI development and investment strategies.