Leonardo is Italy’s contribution to the European defense club, though “contribution” might be generous. It is a sprawling, state-backed conglomerate that has never quite decided if it wants to be a serious competitor or a protected national champion. The Italian government owns nearly a third, which means its strategy is written in parliament first and in boardrooms second. It builds helicopters, aircraft subsystems, defense electronics, and through Thales Alenia it has a foot in space. None of it screams leadership, all of it screams survival.

The helicopter division is the one bright spot. AW139s and AW101s sell well enough to keep the production lines busy and the export brochures glossy. Beyond that, Leonardo is usually the junior partner. Eurofighter? Italy gets a seat but Germany and the UK call the shots. FCAS? They’re hanging around the table, but nobody believes Rome will dictate the future of European airpower. Even in space, Leonardo’s role is reduced to being the Italian shareholder in Thales Alenia, which makes it a subcontractor in its own joint venture.

Financially, Leonardo has the metabolism of a utility. Cash flow is steady because governments never stop buying helicopters, radars, or support contracts, but there’s no real growth engine. The company tries to pitch itself as a tech innovator in cyber, unmanned systems, or space, but the reality is that everything it does comes with a subsidy or a government guarantee. It is not chasing markets, it is managing state priorities.

Politically, that makes it useful. Italy wants a seat at every European defense and space program. Leonardo ensures the flag is planted, even if the workshare is small and the influence marginal. Airbus or Thales may lead, but Leonardo is always there to remind Brussels and Paris that Rome has to get its slice. That seat at the table is the company’s greatest asset, not its product line.

So Leonardo is less an industrial powerhouse and more an insurance policy for Italian prestige. It will keep building helicopters, pitching satellites, and showing up in joint programs. It will not set the pace of innovation, it will not outcompete the French or Germans, and it will never be allowed to fail. It is, in short, a state-owned relic that survives because Italy cannot imagine not having its own aerospace giant.