Safran

CFM International delivered 729 LEAP engines in H1 2025, up 10% year-over-year, with each engine containing Safran-built components that took decades to develop. The LEAP's 3D-printed fuel nozzles, lightweight composite fan blades, and ceramic matrix composite parts emerged from a 50-50 joint venture with GE formed in 1974. This is obligate mutualism: neither partner can produce the engine alone. GE brings hot-section turbine expertise; Safran contributes low-pressure systems and nacelles. When one partner develops a breakthrough—GE's ceramic matrix composites reducing weight by 500 pounds per engine—the other integrates it into complementary systems.

The biological pattern is lichen: two organisms (fungus and algae) forming a single functional unit that neither could achieve independently. Like lichen colonizing bare rock where neither partner survives alone, CFM entered the narrowbody market in 1981 when Boeing and Airbus each had entrenched engine suppliers. The CFM56 became the best-selling jet engine in history (33,000+ units) because the partnership combined GE's materials science with Safran's aerodynamics. Now the LEAP, certified in 2014, powers 80% of new narrowbody aircraft. Safran's 2024 revenue hit €27.3 billion (+18%), with Propulsion generating €13.7 billion and 20.6% operating margin.

This mutualism extends beyond CFM. Safran's landing gear division serves Airbus A320neo, Boeing 737 MAX, and COMAC C919—extracting value from competing platforms. Equipment & Defense (€6.8 billion revenue, 17.5% margin in 2024) supplies nacelles, wiring, seating, and avionics across manufacturers. The company employs 92,000 people across 32 countries, with 56% of revenue from civil aftermarket and original equipment. Aftermarket creates positive feedback loops: each LEAP engine installed generates 25 years of spare parts demand; 1,850 LEAP engines in service as of 2024 create a growing installed base requiring blade replacements, bearing repairs, and software updates.

Coevolution with airframers drives R&D. Safran invested €1.7 billion in R&D in 2024, developing open-rotor engines for next-generation aircraft and hybrid-electric systems for regional planes. When Airbus commits to hydrogen propulsion by 2035, Safran must develop compatible fuel systems and cryogenic pumps. When Boeing redesigns the 737 MAX after crashes, Safran adapts landing gear and nacelles. The partnership structure buffers individual program risk: LEAP-1A for Airbus, LEAP-1B for Boeing, LEAP-1C for COMAC. If one airframer stumbles, others compensate. Safran's €3.2 billion free cash flow in 2024 and 15.1% group operating margin demonstrate the durability of codependent partnerships in capital-intensive industries where neither partner can exit without destroying shared value.