>> this week in defense news, responding to potential changes for 30-year-old legislation at the pentagon. to combat a at how cyber security threat. [captioning performed by the national captioning institute, which is responsible for its caption content and accuracy. visit ncicap.org] ♪ >> welcome to defense news. headlines,k's top the f 35 joint strike fighter will make its debut at two major areas chose this summer. f-35's appearance at the royal international air tend to show will demonstrate -- air tattoo

willingness to retaliate against enemy forces. senator john mccain says the fight against islamic state militant risks becoming another vietnam. in a letter to secretary of defense ashton carter, mccain compares the policy to the vietnam war. the senate -- the chair of the senate armed services committee is a frequent critic of the administration's approach to the middle east. a new national security strategy, with recommendations for new overhaul. general joseph dunford, chairman of the joint chiefs, says the pentagon is currently ill-suited to face challenges from nations like iran, russia, and china. the new strategy will allow the pentagon to face more complex fights. last week, secretary of defense urged reforms.

changes are happening? >> goldwater nichols is 30 years old. it was structured for a very specific time. the idea was to take some of the power away to make it more joint. the problem is, 30 years later, we are more used to the types of operations like in iraq and afghanistan, which are more about the type of operations. there is the sense that, goldwater-nichols just isn't as useful in the modern era of warfare. you have seen secretary carter talk about this over the past year. >> now the hill has some of its own ideas. >> just has the pentagon has been exploring internally the armed services committee has been leading its own efforts over a series of hearings with chairman john

if these changes proposed by -- we don't know what these changes proposed by senator mccain are going to be. we do know that there is some talk of consolidating, an idea that has some traction in this area of shrinking defense budgets. >> carter came out and spoke about this recently? week, secretary carter used a speech to kind of layout reform ideas. several different iterations, we will see what happens with that. this first iteration was incremental in a lot of ways. it codified the chairman of the joint chiefs as sort of the chief military advisor. that is something that secretary carter said in his speech

just makes it official. it gives these service chiefs more acquisition authority. couple of smaller things that came out. they want to eliminate a couple of four-star billets, making them three stars. similarly, congress said they want to see headquarters reduced by 25% personnel wise. there wasn't the kind of seismic shift that lots of people expected. carter said specifically that they think that co-coms work. making cyber command into a full con-com in the future. >> was there a response from the hill yet? >> just this week, we saw from senator mccain and others though they are also in the favor of elevating cyber command to a

not reallyese are expensive changes proposed by the pentagon. senator mccain has said that there is some overlap. they expect to be more substantial. that is what we can expect from the senator. >> it is interesting that the pentagon came out on this kind of at a random moment. >> we know they have been working on it for a while, and it is part of the lesson learned last year. congress pushed through acquisition reform on its own, and there is the sense that the pentagon was kind of caught flat-footed, and congress kind of forced its way and with some ideas. the pentagon liked some of the ideas. but, since then, he has held a series of meetings

to try to get a sense of what the changes could be that would make sense, incorporate those with his own thinking. >> i don't think anyone doubts that vago muradian, -- that goldwater-nichols, the initial version, was significant. any thoughts on how this could compare? >> exactly what form it was going to take was unclear, but it is important to know that the first goldwater-nichols grew out of this disastrous attempt to rescue american hostages in iran. that had kind of a clear solution, to have the military services work more directly. now, there isn't really a problem. this might be a solution in search of a problem. >> what is next? what shoul

>> on the hill, we will see what they end up doing in the near term. expect that you're going to see a lot of pentagon officials doing the same thing. >> and senator mccain is going to work with his democratic counterpart, jack reed, and really work through what these changes will be and a closed-door markup of the policy bill in about a month. >> the policy bill incorporates far more. >> health care reform, any .umber of policy issues >> there is a lot included there. in terms of timeline, do we have any idea? >> the entire congress is going to have to vote on the defense policy bill eventually. >> they move on the

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♪ jill: welcome back to "defense news." cyber security is a big topic in the defense community. with me now is amber, senior reporter with our sister publication, who interviewed the technology chief at bae systems. bae is one of many companies that make up the defense-industrial base. did he talk to a bit about how companies like the ae are targeted?

array of challenges, like nationstates, politically charged kind of thing. he did talk about the various types of threats they are facing. jill: let's take a look at what he had to say. >> if you think of cyber security adversaries, anything from nationstates to have to organizationsal who are going to try to find some sort of advantage, in not only the commercial marketplace, but a place you can find military information. whether it is in our hands or not -- many be -- many places, people are working on sites that are not our network at all, it .oesn't stop adversaries if they are launching cyberattacks with military grade kind of cyber systems against a commercial enterprise such as

security teams need to go and be prepared for. that is where things like information sharing become critical. we are not just purely a commercial provider of talent, we are also a provider of that talent to the government. that makes us a target, nonetheless. jill: sounds almost like they are a target by association to some degree. did he talk at all about the strategy for combating that threat? amber: information sharing is probably the biggest strategy, and something that is a top priority between government and industry right now, lowering the barriers for information sharing. that occurs through legislation, bringing people together. you have the defense industrial base group continuing to expand. sharing threat signatures, known adversaries, that is probably the biggest

trying to come back that right now, to bolster security for suspense -- four defense systems. they are really just trying to take a more open approach to defense. jill: let's check out more. >> we all need to accept that cyberspace is a very different landscape with a very different set of bounds. we use it for commercial toposes, governments use it talk to their constituents, but you also have come out there in cyberspace, nationstates. you have the criminals, you have many others who are doing things that may be they can't even perceive themselves as an attack, but is information gathering. in the united states, we had a very clear separation of corporate and commercial from the government. outside of this country, you

if you look at the list of attacks, whether it is right or , one can see that we are already in an age where if was a physical war, they would have attacked and only been focused on another military force, but are now finding that corporation. the notion of, can you avoid this -- you can't. this leads us to the criticality of nation sharing. we are going to need to have the aggregate. some sort of group that is on their trying to have some sort of outcome. a nationstate may attack a corporation.

phishing e-mail, maybe something different than that other side. this is where we need to share the data on attacks, exports, vulnerabilities, adversary groups. it is only from there that we can all bolster our security systems. sharing of standards has been absolutely critical, because government systems have always had to stand up to the worst of all these types of hackers. ,e do have control systems security and architecture designs, ways of designing our networks, that if the corporations are two leverage certain types of segmentation, they can make themselves more read -- more resilient. i think that is where we really need to get to. this much more open approach on how do we defend.

against. rise the strength of kind of all parties. defend against any type of attack. there is government workers that get phishing e-mails trying to make a back. -- make a buck. there are commercial workers whose systems are taken down from what appears to be militaries. we can try line that commercial companies need commercial tools and vice versa. that is really where sharing everything comes about. jill: so, it is a universal problem. amber: it is, no boundaries. jill: when we return, a look at encryption and why cracking the code might not be the right strategy for the government.

jill: welcome back to "defense news." the battle between the fbi and apple over accessing the san bernardino shooter's iphone spurred a conversation on encryption. here to discuss the issue is jeremy grant, managing director at the chertoff group. chertoff group put out a white paper that puts -- that looks at encryption. in it, it talks about the consequences of extraordinary access. how much does the defense department deal with encryption? jeremy: quite a bit. encryption is something actually essential to the defense of our country. it ensures our communications can't be intercepted, and that if any of the data that is stored is somehow captured, it also can't be accessed. it is actually essential to national security. it

at it. the way the defense community has developed strong encryption products is through a partnership between the government and private sector. for years, the dod, the nsa and in standardsorked bodies and other organizations to develop really strong encryption solutions. what that means that the solutions we are using today in the government are the same ones the private sector is using to protect themselves. when we start talking about schemes that would enable extraordinary access. we are really talking about is a bifurcation of the encryption products in this country, where governments would have one set of capabilities, and consumer and businesses would have another. jill: with the fbi and iphone standoff that went on for a while, the question is whether the fbi to have access to the iphones. chertoff took an interesting position. tal

it took what it did. jeremy: the paper that we put out really looked at the encryption issue not just from a law enforcement and intelligence perspective, but from a of different facets. we thought it was important to do so. .e are a small advisory firm a number of officials who have been in intelligence, homeland security, but also from industry. we work in many cases bridging the gap between industry and government. the question we started getting from allies on both sides were quite numerous. we thought it was important to put a paper out and looked at it not just from a law-enforcement perspective but also from a technology, security, business market perspective. on balance, we take a look and we said that it is not ubiquitous encryption is not going to have an impact or post challenges for law enforcement and the national security community, but when you take a look at

of the debate, putting mandates on some kind of extraordinary access, would end up to grading our national security. jill: the defense department, i would imagine, faces similar hurdles with encryption at times. , iemy: in military history think people have been using encryption for a good 2000 years. caesar, something cited by cryptographers as one of the first examples. i think what you are seeing for at least 2000 years that one country's military will use encryption to try to protect its messages and another country will try to break those messages. enigma system that was being used by german -- cracking the enigma system used by the germans was key to winning the war. jill: in some of the dialogue, there seems to be a reluctance of

thank you for being here. on this week's money minute, sponsored by navy federal credit union, jeanette mac explains how to decide if a 15 or 30 year mortgage is best for you. jeanette: the differences between a 15 and 30 year loan may seem like simple math. year, you have higher monthly payments but you pay less interest. taking a closer look, it is more than just your numbers. the larger monthly payments that come with your mortgage require you to budget differently. it is also good to have a substantial savings account in place to mitigate risk for major unexpected expenses. if you rely on a mortgage interest you pay each year as a tax reduction, know that a 15 year may decrease your right off.

independent contractor, you may benefit from a longer-term mortgage. a 15 year mortgage may be an option especially if you apply the extra money make to your new monthly mortgage payment with a lower interest rate, you can pay off your home quicker and apply savings toward your retirement. jill: thanks very much. when we return, a look at hero core. -- me and the guys walked into this you woulda thought from the name it was gonna be packed with sailors. so i immediately picked out the biggest guy in there. and i walked straight up to him. now he looks me square in the eye, and, i swear he says, "welcome to navy federal credit union." whoa friendly alert! i got a great auto rate outta that guy. now i have a wonderful hybrid. slate blue. crème interior. he was so nice! open to the armed forces and their families for over 80 years. navy federal credit union.

jill: welcome back to "defense news." we hear a lot about heroism of many veterans,or it doesn't end when you leave the battlefield. trains -- assists federal agents to stop online explication and bring offenders to justice. >> even wrestling one

is work -- even rescuing one child, it is worth it. >> that child is something else's son or daughter. >> somebody has got to be there to stave away the wolves. >> now ready to stave away the wolves are these graduates of vago muradia hero corps -- graduates of hero corps in d.c.. they work to combat child pornographers. their work can lead to arrests, the rescue of young victims, and a possible conviction. me, istoughest part, for knowing someone is guilty and not being able to prove they are guilty. >> this is a program that we have partnered with with the department of defense, and with protect, the organization that

, on the homeland security investigation side of ice, we focus on cyber crimes, and primarily on child explication issues. >> the program started in 2013 and has trained 83 heroes. , i wasctober 6, 2013 wounded in afghanistan by a suicide bomber. part of my nose and my right eye. .> a member of the hero corps >> if i am able to save a kid in the process of doing this job -- it might make them, in an otherwise sad time, bring a smile to their face, bring a little help. they might be going through a tough time, but there is no

light at the end of the tunnel and you come, -- and you can come out stronger. >> he was serving in the 75th ranger resident -- ranger regiment. >> the department of defense has trained them and now we get to use them, give them some additional training, particularly in forensics, and then put them out there to try to do this important work. army veteranlso an and he thought he could serve again domestically. >> i was pretty impressed with the way they were did the mission. they really knew how to target. this is a mission just like your missions overseas. there is an enemy out there and you guys can help get that enemy. the skills that you have already shown will help us get these perpetrators. >> when you look at members of special operations command

something that can ofsomething that 1% of 1% the public can get into and thrive. the mentality that they bring in, and the service qualities that they bring in has been unmatched. >> our partnership with so-called is vital -- with socom is vital. we are talking about children as young as babies and older. this work is not for everyone. >> i self-evaluation and thought, am i ready for this? i asked myself those questions. i feel like, with the support system that we have through the hero program, and with our counterparts in the field, we will be able to attack this head on, together, as

across the country with investigators, and they will benefit the investigators themselves. >> i have seen guys turn around from the depths of depression to once again being that vital, vibrant superstar. , i was looking for that team mentality one more time. i believe i have found that with the hero corps. jill: that is all this week. tune in next sunday, same time, when we speak to the former secretary of defense. in the meantime, be sure to check out defensenews.com. ♪

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