In this episode of Building the Base, Lauren Bedula and Hondo Geurts sit down with the Honorable Heidi Shyu, Under Secretary of Defense for Research and Engineering. Ms. Shyu discusses her transition from industry to government, highlighting her role in accelerating technological innovation within the Department of Defense (DoD). She outlines her efforts to engage both large defense primes and small startups to drive innovation, particularly through initiatives like the APFIT funding program, which has significantly boosted small companies by helping them scale into production. Ms. Shyu shares her personal journey from an uncertain college graduate with a mathematics degree to a leader in defense, emphasizing the importance of taking risks, embracing challenges, and staying adaptable in one's career. She also speaks to the evolution of the defense industrial base, noting the increasing role of startups and commercial innovation in shaping the future of defense technology. This episode was recorded live at the Reagan National Defense Forum on December 7, 2024.

Five Key Takeaways: 

1. Collaboration between industry and government is essential for accelerating technological innovation, particularly in defense, through constant engagement and joint problem-solving.
2. Accelerate the Procurement and Fielding of Innovative Technologies (​APFIT) Funding helps small businesses bridge the "valley of death" by providing capital to scale their technologies, which leads to faster transitions into production and procurement.
3. The defense industrial base has experienced what Ms. Shyu calls a “sea change” with the rise of startups and venture-funded companies, driving innovation and enabling quicker development of capabilities.
4. ​The Office of Strategic Capital (OSC)​ provides guaranteed loans to small companies, addressing funding gaps and helping them scale their hardware-focused innovations into production. [Note: The OSC application window is open NOW through February 3, 2025.]
5. Women in defense tech are encouraged to take risks, embrace opportunities outside their comfort zones, and continuously learn to advance in their careers.