Thankfully it was still alive. What are your three waves . I focus on the internet. Is the ways we see, and one way that is coming. The first wave, getting America Online, getting the world online. Back in 1985, only 32 of people were online 3 of people were online. We knew it was going to be tough. It took us a decade. By the end of it, 2000, everybody was connected. That set the stage for the last 15 years or so, Building Software and services on top of the internet. That is the second wave. Now we are seeing the third wave pick up steam, the internet integrated in seamless and pervasive ways, sometimes invisible ways throughout our lives. Changing health care, transportation, energy, food. Pretty big sectors of the economy. Requires a different playbook point be successful. Can you give an example of a product that will see in the third wave . Take health care. Everyone focuses on the challenges of health care, how do use technology to make it more convenient to have Better Outcomes . Andy anderson said when people come for second opinions, 25 of the time they were a first opinion. But is a Data Analysis problem. There is a lot of work when one company met with tempest creating an operating system for cancer, much more precise in terms of the diagnosis and what drugs or therapies people should take. We know kids learn differently. How do we use technology to create a more personalized how do we use technology to create a more personalized adapted way to learn . All kinds of things. Some of that is changed in the first wave. Not that much. For most people it is the same as it was 10 or 20 years ago. In your book you talk about a 2040 scenario, you say google is not going to be that big Company Everybody talks about. Steve theres always things that rise and fall. Half of the u. S. Traffic was through a a well. Not nearly as important as it was in its peak. Companies rise and fall. Cities rise and fall. There is this Natural Evolution of things. Exactly who the leaders of the paccar, its hard to predict. Some of them will be new brands. Not just in a few places, it is crazy. Almost 80 23 states. California, new york, 47 states. Obviously we solve that in the recent election. We need to make sure we have a more inclusive innovation economy and we are backing startups creating jobs everywhere, not just doing that in the Silicon Valley. When i read that statistic, going to california, massachusetts, new york, i was surprised Washington State wasnt included. The 30 states that voted for donald trump what we are essentially doing, we are backing entrepreneurs in places like San Francisco, new york, boston, doing disruptive things. Some of that is destroying jobs. That will accelerate with artificial intelligence, robotics, trucks and cars. That is inevitable. Technology has always done that. That is inevitable. Technology made it easier to do farming. What we need to do is make sure we are offsetting jobs being we are offsetting jobs being lost by backing startups who can create jobs in the middle of the country, not just the entrepreneurs on the coast. Theres got to be something that we figure out ways to make sure capital flows of Venture Capital flowed evenly. 10 to women. 1 africanamericans. Right now it does matter where you happen to live, who you know, what you look like in terms of getting access. We need to level the Playing Field so everybody, everywhere has a shot at the american dream. The process that can create jobs everywhere, and get more people a sense that they are part of the future. They are not going to be left behind. Americans are having two distinct conversations about technologically driven change. Does this go to the digital does this go to the Digital Divide . And the innovation divide. Parts of the country dont have access to broadband. We have this debate, we need to invest in better roads and bridges. Invest in better roads and we also need to invest in a we also need to invest in a digital infrastructure. To make sure it is broadly available across the countrys widow have people who have these connections that are the platforms that enable them to do innovative things. That is part of the dynamic. We talk about the rise of the rest. How do you make sure everyone has access, so you dont have these places where the wealth and innovation is happening in the rest of the country feels left behind . We have been using the term internet of things. You use the term internet of everything. Steve internet of things is interesting concept. Things like smart cities. This third wave is the internet and everything. Even the internet as a phenomenon starts to become taken for granted, like electricity. Electricity was a new technology. Once it goes out, we take it for granted. That is one of the dynamics in the third wife. The internet is embedded in everything. The policy members understand the dynamics. We get the rules right. What about Cyber Security and cyber terrorism, all of these are big deals. Policy wasnt that important. The fda, Something Like that, financial services, making sure protections, the dynamic around the innovators engaging with policymakers are more important the policy members understand than it was in the second. Government is going to play an Important Role in the third wave. It is different than the first and second waves. What were the policy issues you dealt with . The policy, it was important. It just became largely unimportant. If you look back on the early days of the internet, the government did fund the basic research that created the internet. The government decided to break up the phone companies. That unleashed a lot of competition in the internet which drove down prices. It is embedded in a flat rate. That only happened because of the judicial decision, we would not have seen competition, prices come down. It was illegal for consumers or businesses to connect to the internet. It was restricted to government use and educational use. If you work as a student, we are quite sure how this is going to work. A relatively light touch in terms of regulation. It is an example of the government playing a central role making the internet a relatively light touch in possible. The energy, what is the right balance . How do you make sure you are unleashing new ideas to allow this third wave to flourish . You talk about aol being a decade in the making overnight process. When i first read that book in 1980, i knew in my heart the internet was going to happen. When i graduated from college, there were no Internet Companies to go to. There wasnt much of a startup culture. I worked for some big companies. Finally i moved the d. C. Area to start a startup. It was a big failure. For the people i met, i started America Online in 1985. It took a decade before anybody knew what we were doing. It was 1992. We have less than 200,000 customers. It is just an example that sometimes revolutions have been an evolutionary wave. It wasnt so true in the second wave. They really were overnight successes. They are big companies. You are going to need more perseverance. That defined the first wave, partnership, policy, perseverance. Theyre going to be very important again in the third wave. That is part of the reason i wrote the book. Telling some stories from the past that could help inform the future, including the idea of those three ps. Wattage you develop here in washington . Steve i was able to learn about a company in Tysons Corner area. You could connect to game machines, i thought it was a good idea, but just as we were coming to market, atari imploded. It turned out to be an unsuccessful thing. Some of the people at that company were here as well. It was by accident why i was here. The d. C. Area played a pivotal role. Darpa was in northern virginia. A lot of other Communications Innovators were in the d. C. Area. D. C. Played a significant role in that. The center of gravity shifted from networks and on ramps to software. Im expecting it will have more regional entrepreneurship. Detroit, pittsburgh, atlanta, minneapolis, st. Louis, all kinds of cities developing on the expertise they have, trying to attract the capital and talent, and in the process create the jobs that are so desperately needed. What are you finding beyond the coast . It is very encouraging. I wish more investors in new york city or San Francisco would get on planes to visit. They are great ideas, great companies. There are examples showing breakout potential. In baltimore with under armour, we started there. Theres a company in indianapolis called exact target. 3 billion, nearly 2000 employees in indianapolis. In detroit, the company that tried to displace take displaced autoworkers, retrain them to build watches and other products. They are growing like gangbusters. The story is not just about tech, Silicon Valley, it is all the sectors of our economy. We do need to make sure there are more investors, and maybe as part of the agenda of the Trump Administration, one of the areas that will hopefully get focused on, how do you create investment incentives, all these other places. Called the investing and opportunity act. They created their own incentives to invest in these emerging cities. The Trump Administration has announced the american tech council. Is that perhaps a mover . We need to have more constructive engagement, some of these third wave sectors. More of that dialogue. Elon musk was criticized for engaging. I think it is important. I want to have them in the room. I want to make sure he is explaining the challenges and opportunities that are possible. Hopefully he is advocating for things that matter. So we can continue to win the global battle for talent. The white house is going to reach out to innovators. I encourage people who have interesting ideas and perspectives about what is going to happen to make sure those perspectives are understood who are trying to figure what the rules of the road should be for this third wave. Back to your book, as we move into the third wave, what are the battles i would like to see end is the animosity between Silicon Valley and washington d. C. Steve it is a problem. There are obviously some exceptions, but some dont want to engage and get frustrated by government. Some extent that is the case. At the same time when you are dealing with health care, the drugs we take, medical devices we use, food systems or transportation systems, it is not unreasonable the government would have some regulations around those industries. We need to make sure they are the right industries. When you shift from that focus to a third wave focus, when it is a fundamental part of everyday life, theres going to be some dialogue. We need to figure how to keep that opportunity. We dont want through to make our kids sick. We dont want drugs crashing in playgrounds. Same time, how do we make sure the United States leads and has the framework that is friendly to disruptors and entrepreneurs . We create the jobs and Economic Growth here. What is the vehicle you use to invest in these companies . Steve there is an Investment Company called revolution, and revolution ventures, focusing on earlier stage ventures. We talk about those as being speedups, not startups. We travel around the country and see angel investments. What are some companies that revolution has invested in that we have heard of . Steve some of them are still emerging. It was focused on car sharing. We have backed companies in the food area, suite greens. A concept that is going quite rapidly, boston, new york mr. To spread around the country. More recently, detroit and other companies. Some really interesting things around precision data. There is a mixed of different sectors we focused on on the venture side. The key focus is this rise for us. How we make sure everyone has access to capital . There is another foundation. Steve we invest in ideas that can change the world. In the early years, additional divides, we launched founders. How do you encourage more investors back but dont just focus on profit but on purpose and measure that impact . There is a whole thing around corporations that builds impact into their charter. We have done a lot of research on millennials. When you were developing a you well, what was your aol, what was your relationship with steve jobs . Steve in the earliest days come here just been fired by apple. When he came back in, his company was acquired by apple. We Work Together on a number of initiatives including digital music. He obviously was one of the iconic entrepreneurs that had led the way. Some of the ideas he put in place at apple, they are going to be important in the third way. Apple has hinted they will be focused on health care. How do they use the approach apple has around software and services and designed to help revolutionize the Health Care System . Some of the instincts he has, that perspective will carry on. There is an incident in the book where the Apple Corporation puts you in your office at a catatonic state for a while. Steve the late 80s, we got started at aol, every competitor at the time was prodigy. We couldnt compete headtohead. We created apple personal edition. I think it was the first time apple license their brand name to another company. They decided maybe that was a mistake. We had debates. They wanted to sell only in apple stores, things like that. I got a call, saying we want to tear up the contract. We dont like the idea of this service anymore. It was a scary moment. We thought maybe we are not going to make it. The rest is history. Instead of being a disaster, it ended up being a catalyst. Who is Elwood Edwards . Steve pretty famous. He is pretty famous. At least his voice is pretty famous. Mail, like youve got welcome messages, he was the voice of the person. He worked in the Customer Service department in the late 80s and someone heard us wondering how we could make it sound less techie and add a , when you would connected to our service, would say welcome. And found more personal. The woman overheard me saying that and she said my husband, elwood does radio voice over work. Host what was the toughest year of your life, businesswise . Leaving aol for more than a , note, i took a backseat running the company daytoday. That merger did not work so well. The idea of the merger made a lot of sense that the execution of it did not. The idea was good, but the execution was not and it was first trading frustrating for everyone. I had this passion for an idea of these companies and what they could do together, but we could not get out of our own way. Years later, i decided to step aside and leave the board. Nextad of backing the generation of entrepreneurs that is low we have been doing. It was a lot of fun. Thequote in your book government does not have any single mechanism to address the internet of things or the challenges it is presenting. That is one of the concerns i have. When the paperback came out recently ahead of chapter, a seven part of agenda on how america can lead the way. Right now, i do not think there was a depreciation of some of the challenges or a fraternitys that present themselves in the third wave. A fragmented approach to regulations which might have worked in the past, i do not think it wouldve worked in the future. Things that are involved, for example in the best financial world, Technology Issues, ms. Are all things that are Technology Issues as well. I think we have to take a step back and make sure we have the right regulatory framework, and policy framework, so that this policy this country can lead the way. I remind people, particularly here in washington that 250 years ago, america itself was a startup. It was just an idea. Americane way in the revolution, the technology revolution, we led the way in the western revolution, and that will require getting it right. Getting the innovators working with policymakers so that we have a more cosi cohesive approach to democracy. Steve case is the author of this book. Announcer cspan, where history unfolds daily. 1979, cspan was created as a Public Service by americas cable and television companies. It is brought to you today by your cable or satellite provider. Afterday night afterwards, christopher scalia, son of the Late Supreme CourtJustice Antonin Scalia a talks about his book scalia speaks. He is interviewed by david savage. Speech, ands stump i was looking forward to finding a written version of it because i loved best beach. It included a wonderful passage where he compared the living constitution of approach to a Television Commercial from the 1980s, where someone is making pasta, heating up storebought pasta sauce and the husband says to his wife, you are using this sauce, not doing homemade . What about the oregano . And the wife says, it is in their. What about the pepper . It is in there. The garlic . It is in there. And my dad would say, that is the kind of constitution we have now. The right to abortion . It is in there. Would you like a right to die . It is in there. Anything you would like is in the constitution. Residents trump has been spending the week in florida at the maralago dissolve resort. Here is a look at his interaction with the coast guard members are attended the golf game with him. [applause] thank you all. I would just like to thank you. There are a couple of people, when it comes to people who like to play golf. I had about 50 people raise their hand and about 25 people showed up. Chargesd the course, no. You can have a little tournament , and in deciding the best player is, right . We will make a decision on who the best layer is. It is terrific. Sportsman, we going to have a little coast guard challenge. You may join the course. This is the 17th hole, i think all of you will be watching my shot. A shot and then a birdie, you know what i mean . The media will say that i got a bogey, but i actually got a birdie. [laughter] ive is it is an honor to have you, and we hope that you will come back. Frankly, the job that they did in florida and in texas they saved 16,000 people. It is unheard of. So we just won a thank you. You guys have a good time. Tell me who wins, we will get you a little trophy, ok . Thank you. [laughter] thank you everybody, thank you very much. [applause] an answer been coming up on the new years weekend on cspan, on saturday at eight p. M. Eastern, north Korean Refugees describe life under the kim jongun regime. Tens of thousands of north korean defectors are living without papers in china, under the shadows. They are being physically or sexually exploited while the u. S. Continues origin china and russia to support more economic sanctions, it should also do beijingstop repatriating defectors back to north korea. On sunday at 6 30 p. M. Eastern, James Clapper on his career in the intelligence community. We call the new paradigm inoculate collection. It makes a point about the difficulty of being so precise, given the global interconnection represented by the internet. It is where everybody communicates. The difficulty of sorting out good people and bad people on monday, at 10 a. M. Eastern, eight tech summit on the selfdriving revolution. And at noon, former Clinton Administration officials on the legacy of ill clinton he knew what he was signing up for. You knew the people he wanted to help. He knew the people he wanted wanted people, all he was to deliver for the people who needed the government to be on their side. Ouncer watch this near new year weekend on cspan. The cspan at basked tour january witha raleigh, columbia, and montgomery. Officials andwith follow the tour. Join us on a january 16 at 9 30 a. M. Eastern for our stop in rally, rally, north carolina. Earlier this month, the western Governors Association held its annual winter meeting in phoenix, arizona. One of the topics was Forest Management and Natural Disaster preparedness. This is one hour and 15 minutes long. Ladies and gentlemen, i am proud to present the 32nd governor of the state of south dakota accompanied here in phoenix by , the first lady of south dakota, linda dalgaard. The chairman of the western Governors Association, the honorable Dennis Daugaard dennisdugar