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The high importance of the technological factor of military power is demonstrated from President Ronald Reagan’s “Star Wars”, to the Network Centric Warfare (NCW) during the last Gulf War. Given the constraints weighting on defence budgets, the real dilemma in Europe stems from the following equation: “military capacity / technological capacity”. As European countries became aware of a capacity gap, they redirected their expenditures into equipments, at the expense of Research and Development (R&D). Solutions to this dilemma are being considered, notably a better synergy between military and civilian sectors. Yet, the best answer to the technological challenge remains the pooling of research efforts in the European Union (EU).