THE KEY ROLE OF SMES IN THE EUROPEAN DEFENSE ECOSYSTEM WITH EMPHASIS ON QUANTUM TECHNOLOGIES

Abstract

The research paper focuses on the important role of Small and Medium Sized Enterprises (SMEs) in the development of the European defense ecosystem with emphasis on quantum technologies, incl. with dual use. The research is based on interdisciplinary approach. In addition to the methods of analysis and synthesis of primary and secondary sources of information, generalization, inductive and deductive research approach, the study uses Drexler/Sibbet Team performance model as well as Joseph Schumpeter’s theory from the entrepreneurial ecosystem, which claims that SMEs play a crucial role in economic development through “creative destruction” and innovation. The research is based on the key strategic documents of the European union such as the White paper for European defense - Readiness 2030, the Quantum Europe Strategy, the Enrico Letta's Report on the Future of the Single Market, the Mario Draghi’s report on EU competitiveness, the Sauli Niinistö’s Report on Strengthening Europe’s Civilian and Military Preparedness and Readiness as well as the Global risks report of the World Economic Forum. The results of the study identify quantum technologies both as innovation drivers, but also as risk multipliers across many domains - security, defense, cognitive warfare and geopolitics. At the same time contrary to the perception that the defense sector is mainly reserved for traditional defense contractors and large established firms, the study shows that SMEs act as key accelerators of dual-use technological innovation and development of market niches due to their agility, flexibility, cross-sector adaptability, and closer ties to civilian markets, making them an important player in the process of building open strategic autonomy for the EU. In conclusion, the publication draws certain conclusions and recommendations for the importance of social dialogue and SMEs’ integration into EU defense-industrial ecosystem through their participation in quantum technologies, as it is essential for European defense market and competitiveness.