According to corroborating reports, French and German mediators are now expected to submit their findings separately, having failed to reconcile the positions of the industrial partners. One source close to the discussions even suggests that the German mediator is likely to conclude that developing a joint combat aircraft is impossible. At the heart of the deadlock lies a persistent dispute between Dassault Aviation and Airbus—the latter representing German and Spanish interests—over governance and the sharing of responsibilities within the program, which is worth €100bn.

Faced with this crisis, political leaders may yet attempt to regain control. German Chancellor Friedrich Merz has expressed readiness to act to unblock the situation, as a mid-April deadline for reaching an agreement looms. Meanwhile, Dassault's CEO Eric Trappier warned that the project would be "dead" without a shift in Airbus' position. Meanwhile, alternative scenarios are emerging, suggesting the abandoning of the manned aircraft in favor of enhanced cooperation on software, data systems and drones. A meeting between Friedrich Merz and Emmanuel Macron, scheduled during a European summit in Cyprus, could prove decisive for the future of FCAS.