A talk by Ayesha Siddiqa, Islamabad-based independent political and defence analyst and author. Pakistan has emerged as a strategic ally of the US in the 'war on terror'. It is the third largest receiver of US aid in the world, but it also serves as a breeding ground for fundamentalist groups. How long can the relationship between the US and Pakistan continue? This book shows how Pakistan is an unusual ally for the US in that it is a military state, controlled by its army. The Pakistan military not only defines policy - it is entrenched in the corporate sector and controls the country's largest companies. So Pakistan's economic base, its companies and its main assets, are in the hands of a tiny minority of senior army officials. This merging of the military and corporate sectors has powerful consequences. Ayesha Siddiqa's book, "Military Inc." analyses the internal and external dynamics of this gradual power-building and its larger impact that it is having on Pakistan's relationship with the United States and the wider world. From the World Beyond the Headlines Series. Co-Sponsored by the South Asia Language and Area Center and the Committee on Southern Asian Studies.