The United States and its Allies in the North Atlantic Treaty Organization (NATO) shifted their collective focus away from the North Atlantic in the early 1990s because Russia was no longer a dominant threat to Western security as it had been during the Cold War. After two decades of fighting in the Middle East (since the 1990-1991 Gulf War), in 2011, the United States announced a "pivot to the Asia-Pacific region." Since 2014, however, a resurgent Russia has caused the Alliance to once again turn its attention to the North Atlantic. This thesis assesses Iceland's role in NATO during the Cold War and beyond. It relies on historical information to develop analyses on alliance management and the power of small states. The thesis then turns to contemporary events and sources to explain NATO's heightened state of alarm in the face of an increasingly aggressive and opportunistic Kremlin. Western air and naval forces have witnessed a marked increase in confrontational incidents with Russian military forces, and East-West tension has increased. In this context of NATO's "pivot back to the North Atlantic," Iceland's geostrategic value to the Alliance has again come to the fore.Although Iceland has never had a national military establishment, it was a founding member of the North Atlantic Treaty Organization (NATO) in 1949. Due to its geographic location, it has been an extraordinarily important Ally despite its small economy and lack of military forces. However, Iceland's membership in the Alliance was called into question several times from the 1950s through the 1970s due to various factors. Why was Iceland's place in the Alliance somewhat precarious during that time, and might these factors affect Iceland's future role in NATO? How have Iceland's domestic politics affected its actions in the Alliance? What parallels can be drawn between Iceland and other countries with regard to small states in international politics and alliance relations?In the years immediately following World War II, many of the belligerents in the war pioneered novel military alliances with each other. Some of these new alliances reflected an "East versus West" confrontation of communism versus free-market democracy that lasted for more than 40 years. The strongest of these alliances, NATO, was formed in 1949. There were 12 founding members in NATO: Belgium, Canada, Denmark, France, Iceland, Italy, Luxembourg, the Netherlands, Norway, Portugal, the United Kingdom, and the United States.One of these countries might seem incongruous in a military alliance because it has never had a national military establishment: the Republic of Iceland. A small country with a comparatively moderate population size, Iceland is separated from mainland Europe by hundreds of miles of sea. In modern times, Iceland has been a nation of peaceful citizens who do not regularly involve themselves in the affairs of other nations. Iceland turned its back on 400 years of preferring non-engagement in military affairs when it helped to found NATO, a military alliance, in 1949. Why did Iceland join NATO as a founding member, and how important are its contributions to the Alliance?