The British discover that someone has perfected a way of tracking submerged submarines and is offering the technology to the highest bidder. An international crisis breaks when a Royal Navy Polaris submarine equipped with sixteen nuclear warheads disappears while on patrol. The British send agent James Bond to secure the tracking device and locate the missing vessel before its missiles are launched at the West. A shipping magnate, Karl Stromberg, has employed two brilliant scientists to develop a submarine tracking system. Once it is finished, he assures them of multimillion-dollar payouts to their Swiss bank accounts, but not before ruthlessly murdering his young assistant by dumping her into a tank inhabited by a man-eating tiger shark. Shortly afterwards, British & Soviet submarines vanish while on routine moves, and Bond is called into action. Also called to duty is his Soviet counterpart, Major Anya Amasova (Barbara Bach). Though they are initially working against each other, the British Secret Service & KGB begin to work together to find the microfilm contains the tracking system. Bond & Anya must deal with Stromberg's goons who have been ordered to eliminate anyone who comes into contact with the microfilm. One of these is Jaws (Richard Kiel), a 7' towering goliath with metal teeth. When a U.S. submarine is also hijacked, Bond & Anya must move quickly to avert World War 3, which Stromberg is hoping to start...

Both the British and Russians are amazed when a submarine from each country disappears and the only link is a microfilm detailing the movements of the British submarine meaning that somehow a submarine can be tracked via it's "wake". The British sends agent James Bond and the Russians send Major Anya Amasova, otherwise known as "Triple-X". After first fighting against each other over the microfilm, the two agents are ordered to work together against the real enemy, mad shipping billionaire Carl Stromberg who plans to use the submarines to destroy the world via nuclear missiles so that any survivors are forced to live in Stromberg's dream world beneath the sea. However James must also defend himself against Anya as she finds out that James had killed her lover on a previous mission...

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