Technology firms eye expanded homeland security pie

Sonic Foundry, a Madison, Wis., technology company, opened its doors in 1991, but it never drew the attention on Capitol Hill that firms such as Microsoft, Yahoo and Cisco Systems did. Since the Sept. 11 attacks, however, dozens of small to medium-sized technology firms with security solutions, like Sonic, have been canvassing Capitol Hill--and lawmakers are giving them attention that they did not receive in the past.

Sonic, for instance, which hired Washington law and lobbying firm Arent Fox Kintner Plotkin & Kahn to help boost its profile, this week took part in a congressional briefing on computer security with Rep. Tammy Baldwin, D-Wis., and Commerce Deputy Undersecretary for Technology Benjamin Wu to show off their technology, which enables government agencies to manage and analyze media, biometric and database information.

Another firm, Micromedex, a Denver-based medical database company, hired Holland & Knight to help its emergency product get noticed by lawmakers working on bioterrorism legislation. Other firms recently lobbying to increase their visibility include Los Gatos, Calif.-based biometrics firm Identix, which hired Hill & Knowlton; and San Antonio, Texas-based Digital Defense, which hired Hall, Green, Rupil.

"It's well-known that [budget] dollars will be going into homeland security and national defense, so companies...want to be competitive in that process," said Douglas McCormack, an Arent Fox lobbyist representing Sonic.

Indeed, President Bush's fiscal 2003 budget request included $37.7 billion for homeland defense and a portion of that money is to go toward technology solutions for border security, bioterrorism, emergency response and intelligence-sharing. In addition, at least $4.2 billion of Bush's budget is also devoted to specific cyberterrorism protection programs.

And right now, the government is only at the very earliest stages of sorting out where to allocate the technology funds. The Defense Department is currently sifting through 12,000 responses to their broad appeal last fall for new technological ideas to help combat global terrorism. The General Services Administration is analyzing more than 160 responses to an administration proposal to build a government-wide Intranet, which would internally connect all agencies together via a private computer network.

Hiring a lobbying firm, therefore, can be useful for helping companies boost their presence with technology decision makers within government agencies and with appropriators who will be funding the security technology projects.

"Companies like Sonic are interested in following the budget and appropriations process and with developing relationships with the agencies that are involved in homeland security," said McCormack. "Since it's an area that is still emerging and a moving target, it requires a lot of legwork to figure out who the decision makers are."

One company that has already figured out who to talk to and ensured that its technology was mentioned in legislation is Aether Systems, a wireless data firm based in Owings Mill, Md.

When Congress was debating the aviation security bill last year, Aether worked with several outside consulting firms, including Brandon Associates, to help launch an education campaign on its wireless technology with lawmakers and staff working on the bill.

After a number of discussions with legislators, language was written into the aviation legislation that highlights how wireless applications can enhance security. Aether makes a product called PocketBlue, which instantly links mobile devices to a variety of different databases that includes criminal information, driver's licenses and other data.

"It was clear that one of the outcomes of Sept. 11 was that there was going to be a significant amount of focus on funding new types of technology to empower our law enforcement officials and clearly it was in our interest to be part of the education process," said David Grip, director of marketing for Aether's mobile government division, when asked why his company started meeting with Capitol Hill staff on its technology.

Although the aviation bill does not spell out that PocketBlue be the product used, the legislation is helping the company. Its product was recently chosen for a pilot program by Boston's Logan Airport to be used in its counterterrorism efforts. "Our hopes are that the pilot program will result in a contract to buy more of them," Grip said.

Meanwhile, on Capitol Hill, aides said while they are receptive to hearing the high-tech pitches, they are also wary about setting a technology standard that could lead to a monopoly in a particular market.

"You have to be careful and ask, is this a technology that can save lives? Or are we writing legislation that just creates a monopoly?" asked one Senate Democratic staff member.