The problem here is typically Canadian: we looked stupidly at the short term usefulness of this immediate technology, saw no real market, and decided to cut it all off to "save money" instead of believing in the value of the engineering culture and technological developments for their own sake. Make and produce the Arrow, use it as a "halo" product, and trickle its technologies down into the other commercially viable models - this is something car companies do with concepts / supercars.
The typical Canadian thing to do is to not believe in our own ability to create novel technology, and to let our tech companies hang out to dry when problems come along. Nortel, RIM Blackberry, Avro, and countless others. Now we have General Fusion and D-Wave and other homegrown tech companies, continuing to push the envelope; how long until we decide once again to not believe in our own abilities and just give up once more?
I don't want to get political, but what you're talking about sounds a lot like corporate welfare.
I don't know much about Nortel, but Avro seemed like the sort of company that was trying harder to get featured in Popular Mechanics than make something useful, and I don't know if anybody ever considered Blackberry tech cool enough for it to be a "halo" product. Supporting home-grown tech sounds great, but how do you prevent porking?
> what you're talking about sounds a lot like corporate welfare.
What if it is? What if the only way to make longer term speculative investments work in a place like Canada is simply to put some government muscle behind them?
> I don't know if anybody ever considered Blackberry tech cool enough for it to be a "halo" product
Did you miss the 2000s? Blackberries were THE phone for anyone in corporate / political life. RIM's play should have been to make their mobile device management software control iPhones and Androids as soon as humanly possible, and Blackberry Messenger should have been brought out on every platform right away. Keep the enterprises under control and use that steady money to regroup and find a way to make phones that compete with the iPhone later.
Instead they just doubled down on stupid until it basically killed them.
> RIM's play should have been to make their mobile device management software control iPhones and Androids as soon as humanly possible
I'm not convinced that would have worked. I remember the 2000s, and I remember that a selling point for iPhones was the fact that corporations would let them get away from Blackberry's controls. The big problem is that they would have had to get Apple to agree to let Blackberry lock down the iPhones, and IIRC, Apple wasn't a fan of that idea.
Had RIM realized the game was up when Android started eating into their marketshare and went all in on BBM as a messaging platform we would probably be talking today about BBM marketshare relative to MS Teams and Slack.
What's almost never discussed is how RIM and Nortel refused to compete with Google & Apple and Cisco in the case of Nortel for talent.
I've heard of many engineers at RIM making the jump to their competitors but the opposite was never brought up. Seeing how their first touch devices turned out almost 2 years after the iPhone feeling like they were 4 years behind, it was easy to see that not competing for talent lead them to have the B team in charge.
Leaving aside the Arrow specifically[1] basically the question is how long can Canada keep up, such that this work provides the sorts of benefits that you are expecting?
Every generation of combat aircraft ends up roughly an order of magnitude more expensive than the one before (Augustine's Law: https://en.wikipedia.org/wiki/Augustine%27s_laws#/media/File...). So, let's say that Canada decides it could afford the Arrow, could it afford a domestic 3rd Generation Fighter (something like the F-4)? Could it afford a domestic Fourth Generation Fighter (F-15/F-16)? Could it afford a domestic Fifth Generation Fighter (F-22/F-35)? Since the cancellation of the Arrow, the UK has not made a single purely domestic air superiority fighter, everything has been transnational. They found affording a domestic 3rd Generation fighters too difficult, so would Canada have been able to do better? Maybe Canada could have gotten some benefit from spin-off technologies, briefly, in the 1950's and into the 1960's, but would it be sustaining if the larger and richer UK couldn't afford it? (Or, as someone else put it to me once, if you want spin off technologies, why not fund those directly, rather than laundering them through mass produced weapons systems?)
[1]: Most 1950's fighters that underperformed were because of the engine troubles, and the Iroquois engine never actually flew outside of a few hours on the tail of a B-47, so it's not guaranteed that it would have worked out in practice. The fighters that didn't underperform due to engine troubles did so because of fire control systems, and after the deserved cancellation of the Astra/Sparrow II program the Arrow was supposed to carry the AIM-4 Falcon missile, which we have ample evidence was very very bad. So as a weapon system, I've only limited confidence that the Arrow would have lived up to its hype.
> Every generation of combat aircraft ends up roughly an order of magnitude more expensive than the one before
Do you really think that's a law, though? Consider the incompetencies of Boeing that are being revealed these days with the 737 Max debacle, combined with the tragedy that was Canada's approach to the JSF / F-35 and the amount of money that was pissed away on absolutely nothing in that space.
There's no reason to believe that it's not possible for a smaller, scrappier, yet reliably-subsidized corporation in Canada to produce things for cheaper than in the States by bypassing a lot of the corruption / inefficiency / etc that plagues these companies and these development approaches presently.
Tornado ADV cost 14m Pounds in 1980[1]. Eurofighter Typhoon cost 100m Pounds[2] in 2006. Saab Viggen cost of 2mUSD in 1967. Saab Gripen cost something like 70m in 2006. (All four of those numbers are replacement cost, ignoring R&D overhead.)
Yes, inflation is real, but the costs in the Augustine's Law chart I provided earlier weren't otherwise adjusted for inflation either, and the rest of the costs of living haven't gone up by an order of magnitude over that stretch.
As for the armwaving about how magically the waste/fraud/abuse in the American defense systems can be avoided, US aircraft win competitive bids on the international market against other countries fighters, suggesting that US price/capability rates are at least as good as other countries can offer. As every Canadian airpower enthusiast would know, the Panvia Tornado and the French Mirage were entered into the New Fighter Aircraft competition that resulted in the CF-18. But the American design won, because it was cheaper/better than the alternatives. (Neither the Tornado nor the Mirage made the cut to 3 finalists- the Tornado was too expensive, the Mirage not good enough.) So... where's the waste/fraud/abuse?
It seems to depend largely on how dependent on Government dollars the company is; there are Canadian success stories, but many of them are not critically tied to Government budgets.
It's become worse over time, of course; we can hardly build new schools or subways any longer, let alone fund multi-billion dollar halo projects.
These are exactly the reasons behind the differences in eastern and western Canada. In the prairies we have a far more "do it yourself, screw government" attitude - for good or for bad.
You've also described quite clearly one of the multitude of reasons we're leaving Canada shortly.
Canada has a modern monetary system and pretty much always has. If we decide we're going to build jet fighters the government can simply print the money and do it.
I know, the fiscally responsible person inside of me cringes, but MMT is certainly in vogue with a lot of people who think that the wealth of a country and the trust in its currency and inflation are more flexible than might have been assumed previously.
The typical Canadian thing to do is to not believe in our own ability to create novel technology, and to let our tech companies hang out to dry when problems come along. Nortel, RIM Blackberry, Avro, and countless others. Now we have General Fusion and D-Wave and other homegrown tech companies, continuing to push the envelope; how long until we decide once again to not believe in our own abilities and just give up once more?