sec. carter: thank you, kevin, thank you for having me here and organizing and riding on the airplane with me. we do very much appreciate that. i want to thank all of you. all of you participantss from what is america wonderful, innovative, open technology community. it is one of our country's great strengths. i am committed to building -- at the pentagon and innovators throughout the nation. from the tech innovators in silicon valley, yes, but many other hubs and places around the country. i visited silicon valley four times as secretary of defense, but a week before last was with the submarine engineers in an electric boat in connecticut. it is very widespread. it is the pride of the country and the strength of the country, our entire technology base. as we continue building these bridges, i am also focused on promoting the great innovators

who are within the department. in the labs, schools, on the battlefield. you heard from some of them today. our innovators, our senior leaders involved in both of these critical and interconnected missions. alongside the many technology and business and academic leaders who joined the discussion today, they play a critical role in accelerating the spirit and innovation we need to maintain our edge in a complex and changing world. what i wanted to do is describe the logic of my commitment to this agenda. the actions we are taking to pursue it. describe how these efforts and they continued creativity and engagement of so many of you will enable us to meet the challenges of today and tomorrow. now, when i began my career as

kevin pointed out in physics, most technology of consequence of originated in america. much of that was sponsored i the government, articulate he the -- much of that was sponsored by the government particularly the , department of defense. today we are still sponsors, but more technology is global. the technology base is commercial. indeed, the security environment today is also dramatically different from the way it was 25 years ago. requiring new ways of investing and operating in its own right. we have come a today, as you know, no fewer than five immediate strategic challenges countering the prospect of russian aggression and coercion, especially europe, managing historic change in the vital asia-pacific region where china

is rising, which is fine, but behaving aggressively, which is not. strengthening our deterrent and defense forces in the face of north korea's nuclear provocations, checking uranian aggression in the gulf, and confronting terrorism, including accelerating the certain defeat of isil in iraq and syria, and wherever it metastasizes in places like afghanistan. since, moreover, we have a pretty good record of never predicting successfully the strategic future. we have to also be flexible and agile preparing for it. preparing for unknowns we cannot anticipate. in the department of defense we do not have the luxury of choosing between these challenges, or between acting in the present and investing in the future. we have to accommodate both changes in technological landscape and strategic landscape, we have to do it all. to stay ahead of these

challenges and stay the best i have been pushing the pentagon, all of us, to think outside of the five sided box and invest aggressively in innovation with innovative technologies and innovative practices, and innovative people. let me address each of those in turn. first we are investing in high

and technologies to enhance our own asymmetric and hybrid capabilities. overall the budget invests nearly $72 billion in r&d. let me give you context -- that is more than double what apple intel, and google spent last year combined. that includes 12.5 billion specifically invested in science and technology to support groundbreaking work happening in the dozens of labs and engineering centers across the country, as you just heard about from mary miller. it also includes investments and work in innovative companies, and universities and darpa to develop and advance some of the disruptive technologies and capabilities that steve walker talked about earlier today. we are making groundbreaking advances in areas like undersea systems, hypersonic's, electronic warfare, big data analytics, advanced material, energy and propulsion, robotics, autonomy, and advanced computing. those funds also support the growing nationwide network of public, private manufacturing innovation institutes. we are working with companies, universities and research labs to fund technologies like 3-d printing, advanced materials, integrative or tonics, and digital manufacturing and design. we announce a new one this

spring, focused on revolutionary textiles. the combined fibers with electronics to create fabrics that can sense, communicate, store energy, monitor health, change color, much more. another we announced last fall is focused on flexible hybrid electronics which makes it possible to shape lightweight, structural integrity sensors on ships, bridges, aircraft and so on. meanwhile, also investing to continue to make dod a leader in cyber security. the department of defense has three missions in cyberspace. first, the highest priority -- defending the networks and weapon system. they are no good if they have been hacked. our second mission is to help our partners across the government defend the nation against cyber attacks from abroad. the third mission is to provide offense of cyber options that

can be used in a conflict, as we are doing now against isil in iraq and syria. the latest defense budget, we are investing more in all three missions, a total of $35 billion in the next five years. a great deal of that is helping to modernize and secure dod's hundreds of networks. all the while, where pushing forward with breakthroughs in cyber technology by creating network defenses that can swiftly adapt to threats and self patch practically in real-time. innovation -- technical innovation and investment is necessary, but not sufficient. we have to pursue innovative practices. the world we live in demands it. the cold war with characterized by strength of the leaders happening more weapons. today's era of competition is characterized by the additional variables of speed and agility.

leading the race now depends on who can out innovate faster. it is no longer just a matter of what we buy, it also matters a lot how we buy them. how quickly we buy them, whom we buy them from. how quickly and creatively we are able to use them in different ways, all of this to stay ahead of future threat. our dod labs and engineering centers are embracing new methods to meet the needs faster, more efficiently and effectively. we have encouraged this. i have encouraged this through persistent reform such as better buying power. six years ago, under secretary of logistics, dod began that are , anetter buying power

initiative to continuously improve the way we bought. under frank kendall, we are under a third version of that. focused on reducing cost growth and cycle time through greater use of prototypes, modular open systems and architectures, and accelerating the integration of commercial technology. it all comes down to meeting the needs of the war fighter faster, more efficiently, and more effectively. it is an intensely competitive world. this is a particular focus of dod strategic capabilities office. you heard about that from will roper. when i created it in 2012, i was deputy secretary of defense, i did that to help reimagine existing systems and our inventory by giving them new roles and game changing additional capability that would confound our enemies. we are building fast.

i think he mentioned this -- resilient micro drones. we are developing an arsenal plain. we have network defense aircraft. these are just a couple of examples about what they're doing. stay tuned. to stay innovative going forward, dod has to continue to be open to new ideas and new partnerships, that is why we have embarked on initiatives like the start up in silicon valley. another one to come. i was there last month to announce we are iterating the effort to be next level. several new features. it is a nationwide release. there is a second office to be located in boston. you'll hear more about that in july. we will have more processing power since the budget requests will boost new funding to direct towards nontraditional companies with emerging commercially-based technologies that meet our military needs.

of course its principal purpose is to connect innovative companies with that $72 billion of annual overall innovation funding. we have upgraded the operating system with a new partnership style your ship structure led by raj shaw, a combat veteran and cofounder and ceo of a successful technology startup. great guys. we will keep iterating together and learning from each other going forward. that is the point. that is also a reason why i had recently created the defense innovation board. to advise me and future defense secretaries on how to continue holding bridges to be technology can -- community. how we can continue to change to be more competitive.

i am pleased that eric schmidt is serving as the first chair. he is doing a great job putting together the rest of the board. today i can tell you this board will include for example, reid hoffman, the lead of linkedin. former socom commander bill mcraven, and walter isaacson. we have additional innovators lined up. stay tuned. they will begin their work over the summer. i expect to receive their first recommendations in the fall. among other things i have charged them with helping keep the secretary of defense to keep dod helping to keep the imbued with a culture of innovation and -- in people, organizations, and technology. to support people who innovate. support those creative figures in the department willing to try

new things, fail fast and innovate and iterate and ensure that we are always doing everything we can to stay ahead of potential adversaries. i stress innovation in people because as good as america's technology is, it is nothing compared to the people. they are the key reason why the military is the finest fighting force in the world. in the future we have to continue to recruit and retain the very best talent for what is after all, and all volunteer force. that is why we are building what i call the force of the future, to ensure amidst all of the changes in generations, technologies, and labor markets, we are always postured to bring in, developed, and retain the best young men and women that america has to offer. as part of that, we are

implementing new initiatives to give some of our own people military and civilians the opportunity to get out, spend time outside and learn how the rest of the world works outside of our walls. for example we are broadening the corporate fellows program, including by opening it up to all of our qualified enlisted personnel. we also have a pilot program which lets people take a sabbatical from the military service for a few years while they get a degree, learning new skills, or start a family. we are looking for ways to allow more of america's brightest minds to come into the dod, maybe for a short time. maybe for one project. but to contribute to the great mission of protecting america and making a better world. we are bringing in resident entrepreuners. we will hire a chief recruiting officer. as we have in the past with dave packard, cofounder of hp who also served as secretary of

defense. he is one of the people who got me into this business. we have created the new defense digital service, you heard from chris lynch earlier today. he is helping us bring encoders with companies like google and shopify for what we call a tour of duty. they have solved problems like improved data sharing to make sure veterans get access to the benefits. we are also nearing completion, as i stand here today, of our pilots program called hack the pentagon. this is similar to the bug

bounties that many leading tech companies have. we are conducting the first ever one done by the federal government. it has exceeded our expectations. over 1400 hackers registered, they have discovered over 100 bugs so far. they are helping us to be more secure at a fraction of the cost. in a way that enlists the brilliance of the hackers rather than wait to learn the lessons of the black hackers. the force is full of talented people, some active-duty, but also reservist who have saved networks for us by hunting down intruders, performing forensics that help keep them secure, and combating adversaries in the cyber realm. these are some of the actions we are taking to build the force in the future in a way that

reinforces our innovation initiative. we also have announced action to help retain talent. helping to retain service members by helping them balance their commitments to the force and their families, through expanded maternity and paternity leave, extended childcare hours on bases, and by offering military members of families the possibility of geographic deployment flexibility in return for additional service commitments. yesterday, i announced the next links. the pentagon to expand our ability to attract, train and retain the best talent america has to offer. on the military side we have proposed changes to the promotion system to allow military officers to pursue broadening opportunities like earning a doctorate or pursuing other advanced training, or doing a tour with industry. to temporarily defer when they are considered for promotion without being penalized by timeline restrictions. a very big move. we have also moved to allow civilians with specific skill sets such as cyber and other scientific and technical qualifications to enter the

officer ranks at a level commensurate with their experience. we currently do this with doctors, but not other jobs. they are not only high skill, but also hard to fill. rapidly changing and in high demand by the private sector. we are proposing changes that would foster innovation to our civilian workforce. for example, we have proposed allowing recruiters to hire top talent directly from college campuses. again, the first time for us. a kid graduates, will not wait around for an offer from the government. they will not wait six months. we are expanding dod scholarship for service program. building to a talent exchanges with the private sector. we will better leverage our

existing authorities to directly hire qualified experts. today we only have 90 such people across the department. you have heard from two of them today. chris lynch and will roper. i am sure you agree that we are better off with their service. we will be well served to include more thinkers like them directly intervening to the mission of national -- directly contributing to the mission of national defense. the all volunteer force is a critical part of the military edge. everyone should understand this need in my commitment. we have always been able to out innovate the enemies because we have our people, the builders, innovators from the military and civilian force, as well as the contractors and the nation's overall wonderful strength, which is its technology-based. people that think creatively, they are flexible. we have been able to combine our

advanced technology with creative operational practices to solve a problem at hand. in order for our people to continue accelerating the breakthroughs in progress that ensure our continued dominance, we have to back them up with the freedom to innovate and take risks. also a stable and secure funding environment. this last reason is why i remain concerned about proposals in the draft defense bills in congress that would undercut the bipartisan budget agreement, reached last year. it was supposed to guide the budget for two years. the unraveling of bipartisanship could end up in a return of sequester, which is our greatest risk. -- as a department. also objectionable in a time of war, provisions cutting the overseas were fighting accounts. -- war fighting accounts fighting accounts. there are also new and and studied managerial appraisals, adding and moving boxes here and

there, that the department's leadership is not recommended. i would hope that such micromanagement will not be a feature of any enacted ndaa. we all play a role in ensuring the success of the national security mission. for those interested in follow-up -- foreign policy and national security, a lot of problems to work on. it is also true for those interested in technology. the intersection of the two is truly an opportunity rich, and very fulfilling environment. i want to thank you all for being here today. for considering the words of the forward thinking individuals from government, business, and academia who have shared their thoughts with you. my pledge to you is that you will always have a strong and willing partner in america's department of defense. we may not know how to do it, but we are trying to do it -- we might not do it perfectly, but we are always trying to do it better. helping defend your country for you, helping defend your country, and make it a better world is one of the noblest things a business leader or

entrepreneur or young person can do with their life. i we are grateful to all of you here for the passion, the interests, the spirit of innovation that makes us all stronger and safer. thank you. [applause] kevin: thank you, mr. secretary for those remarks and thoughts. some of us have heard you say repeatedly through the year in your effort. maybe one way to start off -- as i was sitting there listening to you go to the new efforts and expansions, this room just heard

from a lot of folks who are interested, but skeptics as well is that what you're trying to do either on the whole or specifically with the silicon valley outreach. do you understand the skepticism? perhaps the better question is, if -- you just posted the budget boasted of the budget for the effort would jump to $30 million. there is new leadership. a lot of folks who know the defense department think that is not a lot impaired to what the defense department spends. why is this not something with a three-star general, a staff of 500, a really world-class level dod expected thing? sec. carter: two good points. first of all, are we iterating -- it is experimental for a reason. we are trying to excel. that is why i just made the changes. that is fine. that is like good innovators do. they start one direction and

decide they should adjust. that is what we are doing. that will continue to happen, by the way. the fact that we are doing that, and in fact we are establishing more reflects my confidence in the basic idea. which is to have another way, just another way, because we have many, of connecting to the wonderful innovative ecosystem of the united states. it is a way of signifying that and making a final -- funel that can come into the up -- department, $72 billion worth. it is the connection that is important. i also want diox because it will be an exchange place and trading post from which innovative people come back and forth to have some money when it is itself sees the opportunity.

one of the principal things it is doing is connecting innovative people to our mission. where they can plug-in from the department of defense. that is the focus. as you know, because of your own expertise, we have constantly to work on -- i will use in engineering term -- the impedance match between government and industry. not all of that gulf will all be bridged. where we can change the way we operate to make us more connected to those who are agile, that is principally the areas -- the speed at which we act, the speed at which we make decisions, the speed at which we can allocate funding to r&d, we need to do that, otherwise we will not be the most agile. in today's world, if you are not

the most agile, you are not the best. we have to be be best to protect ourselves. we will keep changing everything we are doing here that i described. in a good sense and just kind of way. that is the spirit. i am confident in the concept of doix because i am confident that connecting the defense department to the world of innovation is one of the secrets to america's future military strength. kevin: tell me more about the progress of that connection and bridging the gap. i think, we talked about this a little on the ride home. the secretary was the first defense secretary to go to the world economic forum. but as a fish out of water place for military guys. bankers in switzerland of all

places. really not for the military. the reception was fairly warm. i remember asking you then, i wanted to give a progress report. the reception your hearing or feeling from the firms you are meeting. they both have the ceo level, compared to the perception of the reporting of the groundswell of the divide between these people. what is the reality and why are they willing to bridge the gap? is it because it is good for business or a newer sense of patriotism. sec. carter: the reaction generally is overwhelmingly gratifyingly positive. that is not because we are so great at what we are doing, or how we approach, but because these are people who want to make a difference in life. that is why they are in our innovative culture. it is in their nature to make a difference. the mission really inspires people.

keeping people safe, creating that life that allows people to get up in the morning and take their kids to school, leave them safely, go to work, live their lives, stream their dreams, raise their families -- creating that environment, contributing to that mission -- that is inspiring. these are people who want to act in an inspired way. they want to make a difference and contribute. when they see our mission, they are attracted. that is why i do this. that is why all of the people do this. are there reservations? yes, two principal reservations. the first those i hope the government is not too clunky to connect to. that the burden on us to try to open up the door and create that impedance match that makes it

possible and less -- easier for people to connect. that is what doix is about. that is about letting ideas and people go back and forth. we have to make that easier. the other thing is, are we going to put restrictions on people? there we also try to minimize restrictions and intrusiveness. we understand this is an open business community. the internet is open, a free internet is a value all by itself. we're standing for the values of our society. that is what we are defending. we are adapting to that as well. to me those are hesitations that people legitimately have. it is our job. kevin: one of those executives you met with this week was elon musk. a lot of people were wondering what that was about?

sec. carter: it was about innovation. this is one of the great innovators of the country. it is gratifying to me that he and i have a great relationship, it goes back years. he takes an interest in what we are doing. we did not talk business there, that was not the point. other people do that for me. we were talking innovation in every way. i am looking for people like that. that is why the defense innovation board is so important. i want people to have innovative experience who have tried things themselves to come in and say, i have done this and it works. i can say, i wonder if i can apply that. a bug bounty is a perfect example of that. i said, why are we not doing that? it turned out to be no reason why we could not do it. so we did it. it has been great.

kevin: what are the other challenges to come for you? this is not the first year for you. you are the deputy secretary, under secretary, you have been trying to change and streamline acquisitions for a long time. the room full of folks here i am sure are familiar with acquisitions. what are your proudest achievements so far? sec. carter: there are other things that we are trying to do in addition to being agile and innovative. we are trying to be efficient. a big priority is -- as acquisition executive is to make sure that we get the best use of the taxpayer dollar. we owe them that. by the way, more importantly, it is easier for me to go and argue with the congress, which is difficult in today's environment of -- i mentioned gridlock, it is tough in washington.

i need to argue for the money that we need to protect ourselves. i am better off arguing for that if i can also show that we are using every dollar they give us well. i was not satisfied with that as undersecretary for acquisition technology and logistics, and i wanted to improve that. i still want to improve that. my successor wants to improve that. that is also an imperative at every business. constantly get leaner. constantly do better. drive costs out. we have to do that in our programs as well. we get more for the dollar and more trust for the dollar. we have to be innovative in our war practice as well. i told you about the problems we face right now. you followed closely what we are doing with isil. we are going to defeat isil.

we have to. we have to be innovative. that is why we will use air power and all kinds of partners that we can work with. who can hold and govern territory that we take back and help them take back from isil. we are using new things we have not used before like cyber. you say, i don't know how to prioritize those things -- we have to be innovative across the board. i am completely committed. it is widely understood in the departments that that is a key to the future. it is not just me, you have heard from other people today. most people in our society know that to be good you have to be a -- agile. kevin: time for a couple more. we know you have a hard stop. you mentioned isil, i wanted to ask about the speed of

technology, getting to the fighter of today's warfront which is special operators doing elite work. are you satisfied with the pace of the new technology in reaching those guys? sec. carter: never. any question you ask me begins with mi satisfied? -- am i satisfied? no. we have to do it better. no. getting stuff out in the field faster and faster is important. i had the experience now for seven years, most of the lion's share with our wars in afghanistan and iraq, getting things into the field. in the case of the him rep --

which saved lives, we had to do things outside of the system. they say, what kind of system do you have in order to get the war fighters what they need, you have to go outside of the system. there is an answer, we have a system that is basically meant to buy things over a long time and the best things. that is a problem when you have ongoing operations. it is a problem in a rapidly changing world. making our acquisition system run more quickly, the war taught us some things. otherwise there is not a lot to say great about a war. we had to do what we had to do. people may great sacrifices for it. it did have one little silver lining on it, which is we learned a lot about agility. the counter id stuff, sadly, we made advances in medicine in

response to things like tbi, prostheses, and other places. in today's fights and also the fights that we do not want, but could happen, say north korea, again, you have to be innovative. you have to say, if something happened, what would i wish i had done? what tomorrow, what i wish i had done today? you do not want that list to be long. kevin: i am glad you mentioned north korea, there is a sense that the active fighting -- it is special operative focused -- we have two aircraft carriers in the same region. we have nuclear concerns. we still have big war worries. sec. carter: you are right. from high-end, but even the low end, as i pointed out. you can consider the counter isil fight low end.

no fight today is truly low end. we have to do it all. we are alert. we stand watch in north korea -- the slogan there is ready to fight tonight. no one wants to do that. but we are ready. kevin: one more question -- i will get the game clock to make sure we are on schedule, out of the news in the last day, reports in afghanistan that the rules will change to allow for greater strikes or airstrikes. can you confirm or expand on what is changing? sec. carter: i can. the president made a decision to enable the commander there to have some additional authority

to act proactively. that is to anticipate situations in which the afghan security forces would benefit from our support. this is using the forces we have in a better way, basically as we go through the fighting season. rather than -- rather than be simply reactive. it makes good sense. it is a good use of combat power that we have there. the mission is the same, to help afghans maintain control of the country, and to avoid having a counterterrorism challenge once again. from afghanistan. that is what we are up to. this will enable our commander there to do this in a more effective way, using the forces

that he has there. this was pursuant to the general and my discussions. the president gave it his full support, i am grateful for that. it is a good move to make and should really help us help the afghans. kevin: thank you. we have a limited time. these things go fast. i will call for one question. sec. carter: go ahead. we did start late. i will try to give a short answer. >> tom from u.s. news and world

report. have we lost military tech advantage against china because of their increasing research and the fact that some of our weapons systems -- are we poised to regain some of that advantage would be third offset strategy? sec. carter: yes and yes. china has, in the last 25 years, improved -- obviously it's a economy, the standard of living for the people, and with that comes advance of its military capability. no question. we have a number of allies and friends in the region that we work with. we are always watching the deterrent equation there, not just china but north korea and

others. you might have mentioned russia also, trying to improve its military. all of these are different situations, again, we're not looking for conflict with any of those. do they measure themselves against us? i am sure. making sure the u.s. military remains the best, and the so to speak the firstest with the mostest, is that an objective of ours? it is. including the third offset. >> shawn with federal computer

week magazine, you talked about how hacking isil was sort of unprecedented, as you probably know during the surge of 2006 in iraq, there was a lot of digital tools used. i am wondering how you draw upon those lessons learned from those a few years ago. sec. carter: it is a good question. yes, we did in iraq and afghanistan. i do think you have to recognize this recognize that isil's tradecraft in using technology to advance evil objectives, both operationally and ideologically is unprecedented. it is frequently said, i think it is basically right, if al qaeda was an internet generation terrorist group, isil is a social media generation terrorist group. it is different, even from a few years ago. yes, we learned some things. we can use some techniques that were used in afghanistan and iraq in those days, but this is different.

even as what is on your desk is different today or in your pocket than it was three years ago, five years ago. these guys are up to date. in that regard. not their thinking in general. >> you said in recent months. good point. kevin: you said in recent months the u.s. was engaging in cyber warfare with them like never before. that was months ago. sec. carter: it is like never before, which is not to say we have never done it before, but it is like never before. we have really made it a priority. that is logical, to this room that is probably unremarkable news. a lot of people associate the fight against isil with airstrikes and the things they see on tv, and they may not realize this is part of the

formula for success. we will have success. we need to do this. kevin: more questions in the back. >> thank you for capitalizing m.i.t. lab. a question about force for the future, is the initiative about broadening the education of the military and civilian leadership so they understand what they are buying, the technology, how to use it -- and if so, are there opportunities for world-class universities where you have a large military population -- i am taking of william and mary, can they play a role, or is it just military education? sec. carter: no. the future is the military and civilian workforce. it is about the whole pipeline. it is about recruitment and making sure that we are connected to the entire population. i will remind you for example, something i said yesterday,

which is most of our new military recruits come from six states. we really need to reach out. that is why women in service, that is half of the population. i want to be able to draw from the entire population. i want to have the best people, i have to -- people have to meet standards, but i want the widest possible pool. it affects recruitment and retention. partly people want to improve themselves. in today's world you will know we all have to keep changing and improving. the idea that you went to school, that you live the rest of your life on the backs of what you learned years ago, that is not fly in today's world. we all have to keep learning. people are going to only want to be with us and stick with us if they feel that they have opportunities to develop. that is one of the reasons to

it, plus they get better. that means they do better stuff for us. retention is a complex matter. people make decisions for complicated reasons. i mentioned family programs for example. they are important for the reason that we are not just try to be nice to people. that is nice as well, but when people have been with us for a while, and therefore we have made an investment in them and and they know a lot and they are capable, and they still have a whole career ahead of them, we do not want someone at that point to leave. that happens to be the time when many people are having a family. it matters whether you can consistent -- with everything else we need to do, we need to send people where we need to send them. where we can make it possible for people, easier for people to reconcile everything else they are trying to do with us, that is in our interest. it is a whole pipeline. accession, retention, development and service, the whole deal.

it is military and civilian. it is -- people innovating how we do that. people are learning all kinds of ways in human resources management the generation ago were not done. internet helps that. linkedin is an example, that is why i am so glad reed has joined my innovation board. we have to keep thinking about how we manage our people if we keep the best. kevin: are you going to bring someone in as a cyber colonel? sec. carter: i want our service chiefs and secretaries -- i am trying to give them latitude, not rules. i want them to decide which specialties makes the most

sense. we will see that over time as they think about it. i am trying to give them the latitude to change where they see an opportunity that their current rigidity does not permit them to exploit. kevin: i will go to john. john: thank you, john harper, with national defense magazine. mr. secretary, can you give us a preview of the kind of people you will be adding to the defense innovation board in the future. people that might surprise us. are you tasking them with tackling any particular urgent challenges, or is it more of just a general, how you are doing business and the technology are looking at? sec. carter: well, i would have told you if i was going to tell you today. i think you catch the tune when you see eric schmidt and reid hoffman. these are people who know

something about innovation, and have done it. are they got -- are there going to be surprises? i hope they are surprises for you. i am looking for surprises for me. that is the reason. i want to learn from them things that we have not thought of that would be good. i am not expecting them to know about the fence. -- to know about defense. i know about defense, our people know about the fence. -- defense. that is not my problem. i would like to know what is going on in the outside world that i might not know about that has proven successful that might be applicable to us. that is what i am looking for. these are innovative people. just in conversations with them, i have this experience all of the time. people say, here is what i did to build my company, to think my way through this problem. to get people i needed. i say to myself, why have we not done that? a bug bounty is a perfect example. chris, i don't know if he is still here, why has nobody in the federal government done that?

there is no good answer. it is essentially free. you get all of this talent. they are having a great time. you are getting a security audit for free. it is like, wow. good deal. somebody else thought of that. we did not. if all we ever apply is things we have thought of, we will not remain the best. as wonderful as we are, -- not remain the best. wonderful as we are. the whole point is to connect to a larger world of innovation. kevin: i was formally an investigative reporter. we used to ask the same thing, how come you don't do that? their answer was the same, because congress does not tell us to.

i will take a last question. you mentioned earlier, you need congress approval to do the changes you want, some of them especially with reforming acquisition. what is your response to some suggestions? sec. carter: i appreciate the effort that chairman mccain and thornberry have put in. i think they're trying to think the same way. what is in the future? i do have differences. in general, micromanagement from the hill of what our executives and leadership functions is not a good idea. these things take time. i would think there are important ideas having to do with, for example, the role of the chairman in integrating

commands trans regionally. i have made some proposals there. there is definitely a need. i would like to talk to people about that. improving our acquisitions system. i have been at this for a long time. i am always ready to talk to people about this. the two things i hope we can work through and i really cannot agree with our deferring wartime funding in a time of war, and budget instability. that hurts us. all i can do is ask people to come behind us. i think micromanagement by the congress of executive departments is not a good way to go. however, i am willing to work with them in terms of provisions. i just made proposal yesterday. the future ones that are -- will require being enacted. they are the ones that are

our senior leadership, our service secretaries, our joint chiefs of staff have thought hard about. we took months and years working through them. they are considered proposals by the people they have charged with running the department of defense. i think we need to respect the judgment, the collective judgment and the leadership of the department of defense. i'm hoping we can works -- work through some of these things. kevin: you are the third defense secretary to worry about those things. never too early to ask -- are you going to be around to keep these initiatives going? sec. carter: every day president obama is there as long as he wants me to. i am confident that the ideas we have been talking about today makes so much sense that they will continue in the future. look at people like will roper, this is necessary. i think everyone gets it. everyone gets the logic.

i am confident that long after i am gone or any individual leader is gone these things are going to continue. they make sense. kevin: as we wrap up, i think it is very important to have this conversation. i thank you very much for coming here. it has been about a year plus since your initiative has started. as i said on the top there has been a lot of reporting at different levels for international security press corps to get its head around things like technology. i have been with you on the road -- you should hear him talk to scientists, it is a whole other ash carter. it is an exciting field. i hope it does take hold. we want to thank all of our participants and thank you the audience. those of you watching on a live stream.

our underwriters. i will also take the privilege to announce, this is our tech summit among the biggest event is the summit on november 17. i hope ash carter will help me get great speakers for that. you are welcome to come back. anyone else -- i have to thank my mother and father. front row and center. [applause] kevin: you have given my mother a great birthday present. thank you, everybody. thank you, mr. secretary. [applause] [captioning performed by the national captioning institute, which is responsible for its caption content and accuracy. visit ncicap.org] [captions copyright national cable satellite corp. 2016] ♪

>> this is an amazing for the family story.

terrible cruelty was perpetrated. the empire was increased. it is also a family where fathers kill their son's, where wives have their husbands overthrown and murdered. it is a family unlike any other. q&a, the author discusses his book "the romanovs" about the dynasty that rolled russia for 300 years. >> all of the children were wearing their own bizarre bulletproof vests. sown with diamonds. inthat they could have money case they needed to escape and by their way out. they spent months sewing in there is diamonds. tragically, when the bullets

came, the bullets bounced off of the diamonds. they did not die. >> tonight at 8:00 p.m. eastern on c-span's q&a. here on c-span this morning, washington journal is next. at 10:00, a look at the house agenda. later, presidential candidate hillary clinton and bernie sanders speak a different campaign events in washington, d.c. journal,s washington robert of the heritage foundation and rebecca with the center for american progress talks about the house legislative agenda and that recent plan revealed by paul ryan to help fight poverty in the u.s. and a look at the implementation of the iranian nuclear

agreement. shirleyuthor craig discusses the 1976 republican convention and how the outcome set the stage for ronald reagan's election four years later. >> good morning, the debate on capitol hill. trail, donaldn trump expected to make his case against hillary clinton. we will have coverage of his remarks and hillary clinton is heading to one of the key battleground states. her first visit to ohio since securing the democratic nomination. on wednesday, the president will join mrs. clinton in wisconsin. thes sunday morning, june