The Iraqi government have withheld a license for the U.S. security firm Blackwater to operate in Iraq. In 2007 employees were involved in the fatal shooting of Iraqis. The use of privateers in war zones is highly contentious, but the number of civilians involved has risen sharply. In the first Iraq war the number was small, but it has become common not only by the U.S. but other governments have privatised war along with virtually every thing else.
Individuals employed by these outfits, which can be seen to have made considerable profits, are not covered by rules of engagement. They and their families can lose out too if they are killed or wounded on duty. While they are active, however, they can earn considerably more than military personnel and they live in luxury apartments which should be well protected given the nature of their declared expertise.

Blackwater have responded and said that, if ordered to, they will pull out warning that it would be U.S. diplomats that would suffer more than themselves.
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