1. Colonel Michael McGinley 30 August 2017
Silicon Valley Boston Austin Washington, D.C. Accelerating Commercial Innovation for National Defense 08/ 30 / 2017
Proprietary Sensitive - Not for Public Release

2. “A lively experiment” Silicon Valley Boston Austin Washington, D.C.
Accelerating Commercial Innovation for National Defense
08/ 30 / 2017
Proprietary Sensitive - Not for Public Release

3. DIUx accelerates commercial innovation for national defense
Silicon Valley
Boston
Austin
Washington, D.C.
Accelerating Commercial Innovation for National Defense
08/ 30 / 2017
Proprietary Sensitive - Not for Public Release

4. Commercial R&D Outpacing Federal R&D: > 3 to 1 ($bn)
DIUx
Value Space
Source: National Science Foundation, National Center for Science and Engineering Statistics (NSF/NCSES), National Patterns of R&D Resources (annual series)
Silicon Valley
Boston
Austin
Washington, D.C.
Accelerating Commercial Innovation for National Defense
08/ 30 / 2017
Proprietary Sensitive - Not for Public Release

5. Breakthrough Innovations Relevant to DoD
Silicon Valley
Boston
Austin
Washington, D.C.
Accelerating Commercial Innovation for National Defense
08/ 30 / 2017
Proprietary Sensitive - Not for Public Release

6. DIUx Focus Areas Artificial Intelligence Human Systems
Information Technology
Autonomy
Space
Silicon Valley
Boston
Austin
Washington, D.C.
Accelerating Commercial Innovation for National Defense
08/ 30 / 2017
Proprietary Sensitive - Not for Public Release

7. How DIUx Works The toughest DoD problems…
are given to DIUx’ers with diverse backgrounds…
…to find, pilot, & transition commercial solutions
Silicon Valley
Boston
Austin
Washington, D.C.
Accelerating Commercial Innovation for National Defense
08/ 30 / 2017
Proprietary Sensitive - Not for Public Release

8. We Harness Innovation Across the U.S.
520+ co.’s
in 39 states competed for DIUx contracts
4 Offices (SV, Boston, Austin, DC)
48 Staff (11
civilian, 26
military, 11 contractors)
Silicon Valley
Boston
Austin
Washington, D.C.
Accelerating Commercial Innovation for National Defense
08/ 30 / 2017
Proprietary Sensitive - Not for Public Release

9. 47PILOT CONTRACTS 101 MILLION DOLLARS 60-90 DAYS TO SIGN $1.8 bn of VC
Success Stories
47PILOT CONTRACTS
101 MILLION DOLLARS
60-90 DAYS TO SIGN
$1.8 bn of VC
Silicon Valley
Boston
Austin
Washington, D.C.
Accelerating Commercial Innovation for National Defense
08/ 30 / 2017
Proprietary Sensitive - Not for Public Release

10. Silicon Valley. Boston. Austin. Washington, D. C
Silicon Valley Boston Austin Washington, D.C. Accelerating Commercial Innovation for National Defense 08/ 30 / 2017
Proprietary Sensitive - Not for Public Release

11. Silicon Valley. Boston. Austin. Washington, D. C
Silicon Valley Boston Austin Washington, D.C. Accelerating Commercial Innovation for National Defense 08/ 30 / 2017
Proprietary Sensitive - Not for Public Release

12. Silicon Valley. Boston. Austin. Washington, D. C
Silicon Valley Boston Austin Washington, D.C. Accelerating Commercial Innovation for National Defense 08/ 30 / 2017
Proprietary Sensitive - Not for Public Release

13. Silicon Valley. Boston. Austin. Washington, D. C
Silicon Valley Boston Austin Washington, D.C. Accelerating Commercial Innovation for National Defense 08/ 30 / 2017
Proprietary Sensitive - Not for Public Release

14. “I enthusiastically embrace it.”
“[DIUx] will grow in its influence on the Department of Defense.”
– Secretary of Defense James Mattis, at DIUx on 10 August 2017
Silicon Valley
Boston
Austin
Washington, D.C.
Accelerating Commercial Innovation for National Defense
08/ 30 / 2017
Proprietary Sensitive - Not for Public Release

15. Questions? Work with Us: questions@diux.mil https://diux.mil/
Silicon Valley
Boston
Austin
Washington, D.C.
Accelerating Commercial Innovation for National Defense
08/ 30 / 2017
Proprietary Sensitive - Not for Public Release

16. ADDITIONAL SLIDES Silicon Valley Boston Austin Washington, D.C.
Accelerating Commercial Innovation for National Defense
08/ 30 / 2017
Proprietary Sensitive - Not for Public Release

17. How Traditional Defense Companies Can Work with DIUx
One or more non-traditional defense companies must:
Supply key technologies or products; or
Accomplish a significant amount of the effort; or
Cause a material reduction in the cost or schedule or increase in performance. OR
Enter into a one-third cost share (contributions of cash or non-cash items)
IRAD may count towards this requirement
Silicon Valley
Boston
Austin
Washington, D.C.
Accelerating Commercial Innovation for National Defense
08/ 30 / 2017
Proprietary Sensitive - Not for Public Release

18. Customer Support
“DIUx’s expertise in and knowledge of the nontraditional innovation ecosystem is unique in the Department, and has been a critical enabler for USSOUTHCOM to remain the security partner of choice for nations in the Western Hemisphere.” Admiral K.W. Tidd, U.S. Southern Command
“DIUx’s expertise in 3rd offset technology, coupled with startup company’s sense of urgency and efficient use of contracting and resources has created an extremely effective method for NSW to gain knowledge and accelerate cutting edge solutions into the hands of my Naval Special Warfare operators.” Rear Admiral Tim Szymanski, Naval Special Warfare Command
Silicon Valley
Boston
Austin
Washington, D.C.
Accelerating Commercial Innovation for National Defense
08/ 30 / 2017
Proprietary Sensitive - Not for Public Release

19. VS Commercial Solutions Opening (CSO)
VS. Federal Acquisition Regulations (FAR)
CSO
Simple diux.mil solicitation
<60 days to award Unprotestable award
Negotiable payment milestones Negotiable terms/conditions Negotiable IP/data rights
Commercial accounting standards Sole source justification for
follow on procurement
FAR
Complicated fbo.gov solicitation months to award Protestable award
Set payment milestones
Gov’t terms/conditions required Stringent IP/data rights
DCAA accounting standards
Sole source procurement difficult VS
Silicon Valley
Boston
Austin
Washington, D.C.
Accelerating Commercial Innovation for National Defense
08/ 30 / 2017
Proprietary Sensitive - Not for Public Release