In early 1999, the Central Intelligence Agency recognized it was no longer the technology leader it had been when it developed the SR-71 and Corona reconnaissance programs in the 1950s and 1960s. Its systems were struggling to manage the rapidly increasing torrent of information being collected. Facing the reality that the private sector — not government — was leading the information technology revolution, the CIA proposed, with congressional approval, a brand new entity: In-Q-Tel. Founded by a group of private citizens led by Norman Augustine at the request of the Director of Central Intelligence, this external, non-profit enterprise would engage leading researchers throughout the country, speed the insertion of mature technologies into the Agency, support rapid development of mission critical applications, and enhance the CIA’s ability to attract the skills and expertise vital to its success.
In the fall of 2000, Congress posed a number of questions concerning In-Q-Tel’s formation and legal status. The conference committee preparing the FY 2001 Intelligence Authorization Act directed the CIA to arrange for an “independent cost versus benefit assessment...to determine the success or failure of this experiment.”
BENS agreed to form an Independent Panel to conduct an inquiry. Chaired by BENS member C. Lawrence Meador, the panel consisted of 30 individuals, all from the private sector, selected from industries including high technology, venture capital, investment banking, information services and law.
Our report was completed in June 2001. The CIA released the BENS report to the Intelligence and Appropriations Committees of both the House and Senate shortly thereafter.
BENS concluded that the In-Q-Tel model makes good business sense and that their 18 months of continued success might serve as a notice to other government agencies exploring ways to make use of the private sector’s technology.
In 2003, the members of the independent panel were invited back to In-Q-Tel headquarters in Rossyln, VA, to observe progress made and were presented with a citation and awarded the Agency seal for their efforts.
As of 2009, In-Q-Tel had delivered more than 240 technology solutions to the CIA and the broader U.S. intelligence community.
The Report of the Independent Panel on the Central Intelligence Agency In-Q-Tel Venture