Well they have to privatize it, that's the problem. The people you can recruit into the likes of the FBI, CIA, TSA, armed services, etc. are behind the power curve from the beginning, they will always be behind the bleeding edge.
But as we've seen with mantech and other faceless corporations, they exist for the sole purpose of separating the fed from their money.
Hacking was never a threat to anyone. visa getting ddos'd is not a threat to your safety. sony getting 100 million users credit card info stolen is not a threat to you either, cancel your card, don't use them again, let the market decide.
hacking into natural gas systems and causing an explosion that kills 10 persons is a threat.
In the latter example, i feel there is reasonable cause to legislate security. but that in itself is a risky venture because it sets a minimum bar that will never be exceeded.
on the topic of hacking the power grid, same thing. but there's bigger issuses that no one wants to discuss, like over-reliance on gps.
On the topic of government sponsored hacking, before stuxnet there were only a few people that were hacking into smart meters just for fun. they didn't have any security back in 2008 and they still don't, now everyone and their brother is hacking into the smart grid.and its a political issue because POTUS figured out he can scare people with it. Yet one more way for the government to get its fingers into another cookie jar. the NSA already has every email sent since 1999 stored on tape, but that hasn't stopped any crimes, neither will 10,000 cameras per square mile.
your privacy was gone 10 years ago, its just that now google and others have invented the algorithms needed to process all of the data collected.
on what he said during that video, concerning the creation of a digital black water.. that does not concern me.
what concerns me is how he says "private enterpirses did a lot more than what we think private enterprise should be doing in physical space"