[Defense Opinion] Utilizing SW Technology Can Save Defense Costs

[Lee Seong-nam, former Director of Acquisition Base at Defense Acquisition Program Administration (Retired, Air Force Colonel)] According to data from the U.S. Department of Defense, approximately 8% of the functions of the F-4 fighter developed in the 1960s were implemented through software (SW), while the F-16 developed in the 1980s had 45%, and the latest F-35 has 90%. This indicates how significant the role of software is in advanced weaponry.

The U.S. statistical agency VDC (Venture Development Corporation) reported that the proportion of software development costs in military/aerospace development expenses increased from 39.7% in 2002 to 51.4% in 2007. Considering the trend of software development in weapon systems so far, this ratio is estimated to be much higher currently.

Meanwhile, the U.S. Air Force (Software Technology Support Center) announced that 60-90% of the life cycle costs (operation to disposal) of weapon systems are software follow-up support costs, and currently operates three software support organizations with about 4,300 personnel to reduce costs.

In line with these changes in weapon systems, preparations are necessary, but what is the current reality of our military?

Currently, weapons embedded with software such as early warning control aircraft, F-35, F-15K, KF-16, high-altitude unmanned reconnaissance aircraft, and Aegis combat systems are being operated, and advanced weapons with an even greater software proportion will continue to be acquired in the future.

However, as advanced weapons significantly increase operational costs, at some point, unless defense budgets are substantially increased, there will be limitations on force enhancement due to insufficient defense improvement funds.

This is because the defense budget consists of operational costs (salaries, weapon operation and maintenance, etc.) and defense improvement funds (weapon development, procurement, etc.). If the proportion of operational costs increases, the proportion of defense improvement funds decreases accordingly. In 2021, out of approximately 53 trillion KRW in the defense budget, about 17 trillion KRW (32%) was allocated to defense improvement funds, while operational costs accounted for about 36 trillion KRW (68%), more than two-thirds.

The Ministry of National Defense claims that weapon modernization will solve manpower shortages whenever the issue arises due to declining birth rates, but securing massive budgets is not easy, and it should not be overlooked that modernization increases operational costs.

In this defense environment, I propose a way to reduce operational costs through the Air Force’s success story.

When purchasing the KF-16 from the U.S., the Air Force received software technology transfer for the fighter through offset trade (a system where 50% of the purchase cost is transferred as technology), established the "Aviation Software Support Office" in 1997, and has saved about 20 billion KRW annually through more than 35 KF-16 and F-15K software upgrades to date.

A representative case is the development of software for the precision-guided bomb JDAM (Joint Direct Attack Munition) and GBU-24 linkage software in 2011 and 2004, respectively, which the U.S. had demanded $35 million and $24 million for. This not only saved hundreds of millions of KRW in budget but also extended range and improved accuracy, enhancing operational efficiency.

Additionally, when the U.S. denied the sale of the 370 km range long-range air-to-ground missile (JASSM) to Korea, the Air Force supported Boeing’s development of linkage software, enabling the Korean Air Force’s F-15K to operate the German-made 550 km range TAURUS missile from 2016, greatly contributing to force enhancement.

Therefore, to reduce defense costs, I propose utilizing the Air Force Aviation Software Support Office, which has accumulated know-how over the past 20 years, as a software specialized institution that provides integrated support for the Army, Navy, and Air Force weapon systems.

During the 18th National Assembly (National Defense Committee), a request was made to the Ministry of National Defense to “consider upgrading the Air Force Aviation Software Support Office to a Ministry of National Defense direct weapon system software support office” for integrated support of the three services.

The Ministry of National Defense and the Defense Acquisition Program Administration have conducted more than ten commissioned studies on establishing a weapon system software management center and organizational development directions. The Defense Acquisition Program Administration has prepared implementation plans, and the Ministry of National Defense reviewed them through external experts in 2015, but they have not been executed.

The review materials detail that establishing a separate software organization requires significant cost and time, so upgrading the Aviation Software Support Office to a Ministry of National Defense or Joint Chiefs of Staff organization (tentatively named Weapon System Software Center) to provide integrated support for the three services’ weapon systems is proposed.

Given the current difficulties in securing defense budgets and the increasingly challenging future, operating a “Weapon System Software Center” for revolutionary budget savings should be done as soon as possible. This center should not only upgrade weapon system software but also secure advanced software technology through offset trade to break free from technological dependence on advanced weapon countries.

The core of all technologies in the Fourth Industrial Revolution era is software. Our military should not view software merely as technology but recognize it as a threat factor to defense power operation and implement measures promptly. It is a time that requires decisive action from defense decision-makers.

This content was produced with the assistance of AI translation services.