The phrase military-industrial complex was first used on January 17, 1961, by President Dwight D. Eisenhower in his farewell address to the nation in what is called his Military Industrial Complex Speech.
"In the councils of government, we must guard against the acquisition of unwarranted influence, whether sought or unsought, by the military industrial complex. The potential for the disastrous rise of misplaced power exists and will persist.
"We must never let the weight of this combination endanger our liberties or democratic processes. We should take nothing for granted. Only an alert and knowledgeable citizenry can compel the proper meshing of the huge industrial and military machinery of defense with our peaceful methods and goals, so that security and liberty may prosper together."
His children suggest that in an earlier draft of the speech, he refered to the "military-industrial-congressional complex".
The military-industrial complex is generally defined as a "coalition consisting of the military and industrialists who profit by manufacturing arms and selling them to the government." (War profiteering) Eisenhower related, however, that until World War II, the United States did not have an armaments industry. Even though "American makers of plowshares could, with time and as required, make swords as well," the United States could "no longer risk emergency improvisation" of the country's national defense.
The United States, he continues, had been compelled to create a permanent armaments industry of vast proportions. At that time, the U.S. was annually spending more on military security "than the net income of all United States corporations." This conjunction of an immense military establishment and a large arms industry, he said, was "new in the American experience" and that there was an imperative need for this development. FULL ARTICLE HERE