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Significance

The accord threatens to deepen the longest crisis in US-Israeli relations. Ongoing political strife, strategic differences and potential clashes over implementation and verification of the nuclear deal will further complicate the next 18 months.

Impacts

The F-35 deal will provide a boost to the capabilities of Israel's defence industry, which provides components for the jet.

The F-35s will increase Israeli intelligence capabilities, as they are designed to be a communications platform as well as strike force.

However, greater US drone sales will cut into the dominant Israeli share of the market, hurting profits in that growing sector.

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