# From technology to capability: new demands on the defense industry

- Source: Nordic Defence Sector (https://nordicdefencesector.com)
- Canonical URL: https://nordicdefencesector.com/en/article/from-technology-to-capability-new-demands-on-the-defence-industry
- Published: 2026-09-16 · Updated: 2026-09-21
- Author: Jacob Wollheim
- Type: Perspective (opinion/analysis) · Section: Industry · Country: sweden
- Sponsored content · Advertiser: MilDef — not editorial news
- Language: en — machine translation from sv; the sv version is authoritative: https://nordicdefencesector.com/sv/article/from-technology-to-capability-new-demands-on-the-defence-industry.md
- Also available in: de (https://nordicdefencesector.com/de/article/from-technology-to-capability-new-demands-on-the-defence-industry.md), dk (https://nordicdefencesector.com/dk/article/from-technology-to-capability-new-demands-on-the-defence-industry.md), es (https://nordicdefencesector.com/es/article/from-technology-to-capability-new-demands-on-the-defence-industry.md), fi (https://nordicdefencesector.com/fi/article/from-technology-to-capability-new-demands-on-the-defence-industry.md), fr (https://nordicdefencesector.com/fr/article/from-technology-to-capability-new-demands-on-the-defence-industry.md), it (https://nordicdefencesector.com/it/article/from-technology-to-capability-new-demands-on-the-defence-industry.md), no (https://nordicdefencesector.com/no/article/from-technology-to-capability-new-demands-on-the-defence-industry.md), pl (https://nordicdefencesector.com/pl/article/from-technology-to-capability-new-demands-on-the-defence-industry.md)
- Primary source: https://mildef.com/defense-insights/trend-reports/defense-industry-insights-july-2026/
- Tags: mildef group, european defence, defence industry, ai, interoperability, production scaling, defence procurement, operational capability, system integration, defence technology, mildef, swedish armed forces, nato

> MilDef points out that the defense industry is undergoing a shift in which the ability to industrialize, scale and rapidly deliver technology is becoming at least as important as technological innovation itself. Speed, production capacity and collaboration are highlighted as key factors in meeting increasing defense investments and complex operational requirements.

![From technology to capability: new demands on the defense industry](https://imagedelivery.net/XO8UY-c6-LfWgEjQsN8IQw/dff02bfa-537e-4e84-3cba-260246c3b400/public)
*MilDef*

**Europe's security situation continues to change, while defense investments are rising. For the defense industry, this means meeting increasing demand while technology development accelerates and pressure to deliver grows.**

– *Expectations on the defense industry have changed. Technical innovation remains crucial, but cannot stand alone. The ability to industrialize, scale and rapidly translate technology into operational capability is at least as important,* says Fredrik Persson, CTO of MilDef Group.

**From innovation to implementation**

Innovation is essential for developing future defense capability, and new defense technology is evolving rapidly, not least within AI. But the focus is increasingly shifting from what the technology can do, to how it can actually be used. Many initiatives fail during the transition from pilot project to production, integration, and long-term use in operational environments.

According to MilDef, this means creating the conditions for new technology to be implemented today and continuously developed to meet future needs.

– *We can’t predict exactly what the operational requirements will be in a few years' time. One of the industry's major challenges is managing rapid technological leaps within systems that have long life cycles. We have to develop solutions that allow new technology to be integrated quickly, while ensuring reliable operations and creating the conditions for continued development*, says Fredrik Persson, CTO of MilDef Group.

**Speed has become a strategic advantage**

Today's pace means that traditionally long development and procurement processes are being challenged, as technology and operational needs may change significantly over the course of the process. This increases the risk that a solution is already partly outdated by the time it reaches the user.

According to MilDef, speed is therefore not about lowering the requirements for security, quality, or robustness, but about changing how solutions are developed, deployed and continuously improved.

- *A mature solution that can be used operationally today can be more valuable than a technically superior solution that will be operational several years from now*, explains Fredrik Persson, CTO of MilDef Group.

**Scaling production**

But speed is only part of the challenge. Moving from a functional solution to production at scale brings a different set of challenges. Scalability has to be considered at an early stage. The ability to deliver in higher volumes becomes a competitive advantage.

- *The challenge isn’t only about developing advanced technology. It is equally important to build the production capacity, supply chains and partnerships required to deliver at greater scale and over time,* says Fredrik Persson, CTO of MilDef Group.

**Defense capability is built together**

As needs increase and systems become increasingly complex, partnerships take on greater significance. No single supplier has the capacity or expertise required to meet all needs alone.

Collaboration between different parts of the defense industry becomes part of the ability to develop and scale new solutions. But the importance of collaboration extends further than that. As European armed forces increasingly need to operate together, their technology must be able to do so as well. Interoperability is not merely a technical feature but a prerequisite for joint operational capability.

**Trends that will shape future development**

These issues form part of a broader transformation taking place within the defense industry. In MilDef's latest *[Defense Industry Insights](https://mildef.com/defense-insights/trend-reports/defense-industry-insights-july-2026/?utm_source=nordicdefencesector&utm_medium=native&utm_campaign=trends&utm_content=w38)*, the company examines in greater depth seven development trends expected to have major significance for the industry and future defense decisions: what’s driving them, why they matter, and what they mean going forward.

## FAQ

**What does Fredrik Persson at MilDef Group mean by the requirements on the defence industry having changed?**

Fredrik Persson, CTO at MilDef Group, believes that technical innovation remains crucial, but that the ability to industrialise, scale and rapidly convert technology into operational capability is at least equally important. Many initiatives fail during the transition from pilot project to production and long-term operational use. Last fact-checked: 2026-09-15.

**Why is managing rapid technological leaps in military systems a challenge?**

The challenge lies in the fact that military systems often have long life cycles while technology develops rapidly, particularly within AI. According to Fredrik Persson, solutions must be developed so that new technology can be quickly integrated while ensuring operation and enabling continued further development. Last fact-checked: 2026-09-15.

**How does MilDef describe the importance of speed in development and procurement processes?**

MilDef argues that traditionally lengthy development and procurement processes are being challenged because technology and operational needs have time to change in the meantime. Speed is not about lowering requirements for security or quality, but about the fact that a mature solution that works operationally today can be more valuable than a better solution that takes several years to arrive. Last fact-checked: 2026-09-15.

**According to MilDef, what is required to be able to scale up the production of defence technology?**

According to Fredrik Persson, scalability must be viewed as part of the solution from early on in development. Production capacity, supply chains and partnerships are required to be able to deliver at greater volume over time, which becomes a decisive competitive factor for the defence industry. Last fact-checked: 2026-09-15.

**Why are partnerships and interoperability becoming increasingly important within the defence industry?**

No single supplier has the capacity or expertise required to meet all needs alone, according to the article. As European armed forces increasingly need to operate together, the technology must be able to do so as well, making interoperability a prerequisite for joint operational capability. Last fact-checked: 2026-09-15.

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