Security, defense, and the protection of critical infrastructure are central elements of national, European, and transatlantic security and defense strategy. In addition to the regular budget, considerable financial resources are currently being made available at several levels. The aim is to implement urgent measures quickly and effectively. The special fund for the German Armed Forces from 2022, worth €100 billion, has already been almost entirely committed. In addition, there is the special fund for defense and infrastructure worth €500 billion approved in March 2025, the financial resources under the “ReArm Europe” plan presented by the European Commission in March 2025 worth €800 billion, the funding from the European Defense Fund (EDF), and the drastically expanded funding volumes of the European Investment Bank (EIB). The current framework conditions have led to an unmistakable spirit of optimism in the security and defense industry (SVI). At the same time, the security and defense sector offers strategic development opportunities for investors, subcontractors, suppliers, SMEs, and startups, as well as for companies from other industries looking to repurpose existing or crisis-related capacities.

However, entrepreneurial participation and entry into the security and defense sector are associated with considerable challenges. Geopolitical changes, hybrid threats, and the surge in demand for defense and dual-use goods are placing increased demands on production capacities, flexibility, operability, automation, and digitalization. Above all, however, the security and defense sector is highly regulated. Compliance with regulatory requirements and compliance in the awarding of contracts is also subject to political and media scrutiny. Not only must a number of national laws on public procurement, the War Weapons Control Act, and the Foreign Trade Act be observed, but also various European and international obligations, such as the Dual-Use Regulation and the Defense Equipment Directive. Regulatory requirements and specific compliance standards must always be taken into account in business and strategic decisions. Even if the authorities are exercising a certain degree of restraint in the current development phase, critical questions, the initiation of official proceedings, or the assertion of high claims for damages may arise in the aftermath. In any case, these are the lessons to be learned from the end of the coronavirus crisis.

Companies operating in the defense, security, and critical infrastructure sectors typically face interdisciplinary questions relating to public procurement, public law, merger and investment control, and antitrust law. In addition, there are issues in the context of M&A transactions, financing, state aid, data protection, cyber security, and AI. We guide our clients safely through the complex regulatory environment, thereby contributing to their long-term success. If necessary, we provide them with a tailor-made team of experienced specialists from all relevant areas of law to ensure a comprehensive and efficient solution to their problems.