Abstract: This work introduces the concept of an M-complete approximate identity (M-cai) for a given operator subspace X of an operator space Y. M-cai's generalize central approximate identities in ideals in -algebras, for it is proved that if X admits an M-cai in Y, then X is a complete M-ideal in Y. It is proved, using ``special M-cai's, that if is a nuclear ideal in a -algebra , then is completely complemented in Y for any (isomorphically) locally reflexive operator space Y with and separable. (This generalizes the previously known special case where , due to Effros-Haagerup.) In turn, this yields a new proof of the Oikhberg-Rosenthal Theorem that is completely complemented in any separable locally reflexive operator superspace, the -algebra of compact operators on . M-cai's are also used in obtaining some special affirmative answers to the open problem of whether is Banach-complemented in for any separable -algebra with . It is shown that if conversely X is a complete M-ideal in Y, then X admits an M-cai in Y in the following situations: (i) Y has the (Banach) bounded approximation property; (ii) Y is 1-locally reflexive and X is -nuclear for some ; (iii) X is a closed 2-sided ideal in an operator algebra Y (via the Effros-Ruan result that then X has a contractive algebraic approximate identity). However it is shown that there exists a separable Banach space X which is an M-ideal in , yet X admits no M-approximate identity in Y.
