melissa: president obama expected to speak in minutes from his cybersecurity summit at stanford. apple ceo tim cook is one of the headliners. he is at the podium right now. but president obama's other ties with silicon valley might be getting a little frayed at edges. mark zuckerberg, marisa mayer, eric schmidt, larry page all passing on the president's invitation. these were the same folks shelling out maximum contributions to get him elected go years ago. here to discuss all of it, our very own charlie gasparino. geraldo rivera is here, host of "geraldo at large." dan henninger, deputy "wall street journal" editorial director. what a panel for friday or any day. what do you think of the folks in silicon valley dan, not going to the cybersecurity speech? >> sound like they are marking down barack obama's capital out there, as something to do with the fcc and net neutrality but the cyber speech, i think, on paper, if one might say that in digital age, make as certain amount of sense. but he is going to go out there and say that the federal bureaucracies will collect more of this data about hacking and share it but almost a contradiction in terms. the bureaucracies are going to be able to get on top of hackers sitting in china, iran, and north korea. i mean, i like the idea but i think implementation is going to be extremely difficult. melissa: do you guys think it's a political statement they're not coming to the speech? do you think his term is almost over? that they are sick sick of him or what is the reason they're not coming out? >> it is the left coast listen, mark zuckerberg gushes over this guy -- melissa: he did. i don't know if he does still now. >> he does. funny i saw him with chris christie at a conference not too long ago. melissa: there you go. >> are they cooling on him? the whole country is cooling on barack obama at this point. >> i disagree. melissa: thank goodness. that's what i love about geraldo. >> sympathy about what he has done. attacked banks and now attacking essentially silicon valley. two of the biggest engines, two of the biggest businesses in this country. >> i think the president is more popular than he has been in years. i think the bath bears me out. over 50% again. i think going back to substance of this why these guys chose not to go, i don't know that is politics but i think cybersecurity, that is cyber attacks represent the true existential threat to this digital addicted nation. it will only get worse. i hope we have a whole pentagon devoted just to this. melissa: do we need a new bureaucracy? we have whole pentagon and homeland security. we have a lot of folks supposed to be working on this nsa. why create a new bureaucracy? >> i have vision of 6500 chinese guys with top of the line computers in a room trying to -- >> doesn't our fbi supposed to be doing this? isn't the justice department -- >> this is so big. >> bigger than fbi? >> if you can shut down imagine shutting down fox with a click of a dial. >> you think a huge new bureaucracy other than -- >> how it is designed, as long as they understand priorities why zuckerberg these guys are passing, that is politics. i don't care about politics. i care about security. >> might be insane idea. >> why is it a problem? why do hackers get into systems? because somebody in these big organizations opens an email, hit as link and allows them in. the best thing you could do is just like when physicians were told to wash their hands at end of 19th century. you don't transmit bacteria. people should be told be careful about the stuff they open. we get is 50 pieces of spam. >> i don't open any attachment if it doesn't come from someone i know. melissa: new all-time high for s&p 500. dow is slipping after crossing 18,000 for the first time this year, flirting with an a all-time high. the dow needs to end the day up at least 81 points to hit a new record close. charlie, give me your take on the market. >> this is your president's economy. rich get richer and they -- >> he is your president as well? >> he is the guy you like. >> domestic product for third quarter, 5%. >> good, about time. >> about time to celebrate success. >> what i'm telling you look at numbers. look underneath the numbers. -- >> you guys are looking under numbers. look at numbers. >> poor gone poorer around rich gone richer? >> that true. that is true. raise the minimum wage. close the gap. >> the poor will get a little less poor. >> less poor is better than more. melissa: percentage much population, record highest level since '70s under this president. why we're talking about raising minimum wage. that's why 5% growth doesn't feel like 5% growth because everybody is working part time. >> market over 18,000, means definition. a lot of money is flowing in because the world's central banks are creating liquidity and zero% interest rates and nowhere else to go. >> why don't you say something like that? why don't you recognize businesses are doing business better than a year or two five years ago? celebrate the success of the free enterprise system? >> doing better than five years ago? doing better than seven years ago but not as good as eight years ago. melissa: find a story i really care about here, mcdonald's. flaunting its beef in a new commercial showing off big mack in all of its delicious glory. announcing this is not greek yogurt. and it will never be. -- kale. did you. >> did you he had it that story. >> i saw worst commercial at super bowl, supposed to hug your mother. i thought that was terrible. >> from a mcdonald's executive. >> former mcdonald's executive talked about how mcdonald's should go back to its roots. melissa: embrace its fattiness. >> we're not healthy alternative. we're disgusting. >> put a lot of fries on them. drink our coke. melissa: so true. i eat healthy all the time all week long. watch my weight. when i go to mcdonald's i want mcdonald's. i will have a cheeseburger french fries, they're there for a reason. not supposed to be good for you. i'm celebrating. >> cale is made by a bunch of commies. >> kale is for commies. melissa: wow. supreme court justice ruth bader ginsberg apparently no stranger to pregame boozing. the 81-year-old admitting she wasn't 100% sober for this year's state of the union address. who was. you can't watch that thing sober. lest you she was putting gin in ginsberg. that really good wine had her nodding off. melissa. that is what i said too. >> your 81, honey, i want to hang out with you. >> my grandmother, god bless her soul is 100. melissa: wow really? >> would drink -- melissa: half a battle. >> gallo crappy wine with the twist-off. melissa: a day? no. >> but she went to bed at 5:00 and woke up at 5:00. >> sounds like it beats kale. >> that's true. melissa: women may take all the cheesy lingerie in stride but when it comes to valentine's day men are more sensitive. according to research men get more upset than women if they receive a bad gift from their significant other for valentine's day. gentlemen what do you think you're getting for valentine's day, charlie gasparino? >> nothing. >> if my wife give me one more scarf i come on program -- honey, there are the last six scarves you gave me. melissa: i did get my husband a present this year. >> what did he get you? melissa: i don't know what he got me. it is not a teddy bear. >> valentine's day card. >> not a teddy -- melissa: only one that got that. i. >> i want to watch. >> nothing is more traumatic whether you get a valentine's day card from girl you got a crush on. if you didn't it ruined your life. melissa: they mandate bringing card for every single kid, for every single kid in class so no one's feelings get hurt. >> my nine-year-old were filling out cards. there were 23 of them. melissa: there you go. you guys managed to away from the idea you get cranky with a bad gift. geraldo sounded crankky about the scarf. dan, what do you think? >> i don't get cranky at all. melissa: you don't. >> a lot of holidays are on their last legs. nobody has time. >> totally a chamber of commerce holiday. but i got a call from ming coat store. honey, i'm here. >> that is wonderful. get me something too. >> thank you. melissa: scoring the candidates. we got report cards for potential 2016 contenders. let's say no one is making straight as here. keep your shovel close. once again time to start hoarding blankets and heating up hot chocolate. more snow on the way. more "money" coming up. in my world, wall isn't a street. return on investment isn't the only return i'm looking forward to. for some every dollar is earned with sweat, sacrifice, courage. which is why usaa is honored to help our members with everything from investing for retirement to saving for college. our commitment to current and former military members and their families is without equal. start investing with as little as fifty dollars. melissa: oil is up more than 2% on the day. we're getting more bullish news crossing the wires. "wall street journal" reporting that two libyan oil fields have been attacked. the oil field is operated by conocophillips, marathon oil and hess corporation and total's field was also attacked. sources tell this to "the wall street journal." those stocks higher on the day. we're keeping close eye on oil. "fox news poll" grading potential 2016 contenders. poor state of affairs. no one gets an a. charlie gasparino and todd starnes from fox news radio. thanks for joining the party we're having. nobody getting an a. they were grading them on what kind after president they would be. todd scott walker leading republican side but with a "b." >> i think this is good for a college dropout. i think you can bump up that up to an a minus. look really think reflect what is a lot of republicans feel. they just don't know who they like. meanwhile, jeb bush. here is what i'm troubled about. you have jeb bush out there. we used to make fun i did it all the time on my radio show made fun of president obama with $36,000 chicken dinners. you have jeb bush out there, doing $100,000 chicken dinner and wall street. melissa: yeah, i'm not paying $100,000 for a chicken dinner. veronica, what do you think? marco rubio, b. chris christie, a c. we'll move on to the dems in a second. what do you think of the republicans? >> this is such a wide potential field at this point. a lot of people -- melissa: sure about chris christie. giving him a low-grade. >> this is of note because he is so much lower than some other folks. that could be saying -- >> for christie, excuse me, veronica, i know it is early but shows lingering bad taste from "bridgegate," the patina is off that particular rose. i think he had it going. everything was going for him. whether he had no involvement whatsoever he put a sour taste. you can be a tough guy only if you have a stellar background. does not or does not appear to. i think this shows that chris christie will not be serious candidate. >> i agree with geraldo. the d minus in drivers ed will kill him. >> i live under the george washington bridge. i take it personally. melissa: hillary clinton getting a b-plus, of everybody in thehighest grade. that is among democrats but also, you know, of how they think she would govern. >> she is very formidable, hillary clinton. this should be a wake-up call to republicans. this lady will be a tough candidate to pete. i believe that jeb bush for all his $100,000 chicken dinners is only candidate that can stan up against her. melissa: joe biden got b-minus. that is probably highest grade. he has to be like whoo-hoo. >> before or after the butt buddy? melissa: oh. that was unfortunate misspeaking. >> what was that? melissa: he said in speech but some question whether he has a studder and he was trying to say buddy. >> a butt buddy? melissa: looking for his butt buddy. >> i never had a butt buddy. >> none much your business. melissa: get away from that. >> i'm open-minded. i'm from new york. melissa: there you go. maybe we'll end on that note. thanks a lot you guys. [laughter]. millions of americans can look forward to yet another winter storm. heavy snowfall impacting not only president's day weekend but could take a toll on first quarter gdp, subtracting a quarter after percentage point. fox news meteorologist rick reichmuth joins me now. rick oh, i love the hat. what is it like out there? a little chilly? >> it is super cold out here. you know there is a lot of people in the middle of the country who say is 9 degrees, doesn't people like that bad -- 19. dakotas and montana, they get to minus 25 minus 30. tough be outside much of the northeast. that causes some big problems. we're dealing with coldest arielly by the time we get to monday in a couple of decades. look at some weather maps. we'll show you what is going on. we have got cold air out there. 19 degrees in sticker but cold in parts of the south. 31 in louisville. it is also very windy with this storm. we're talking about winds that, winds bringing temperatures down, feels like minus one in scranton and five in pittsburgh. you get the idea. we also have another storm moving in. today is kind of a break between two storms. this next storm will bring a lot of snow across eastern parts of new england and places like boston up to portsmouth and portland maine. these areas have seen up to six feet of snow over last couple of weeks. we have more snow and blizzard watches in effect with this melissa. we'll talk about winds 50 to 70 miles an hour and areas that have seen so much snow looking possibly another foot to foot 1/2 of snow accumulating by the time we get to sunday afternoon. so snow, wind cold. it just doesn't really seem to get a break. the models in boston, look at that one model showing 15 inches. no real end to this. melissa: no real end in sight. sounds like you had somebody out there drinking with ruth bailedder ginsberg maybe. who that person was. come on inside to bring the drinks with them. >> you could use a little bit of a hot drink right now. melissa: absolutely rick. thanks for joining us. we're waiting live remarks from president obama. takes the podium from the cybersecurity summit where some of silicon valley's finest, noticeably absent. just because you're here illegally doesn't mean the irs doesn't have your back. stunning admission about tax refunds for illegal immigrants. smart money coming up. if you suffer from a dry mouth then you'll know how uncomfortable it can be. but did you know that the lack of saliva can also lead to tooth decay and bad breath? well, there is biotene specially formulated with moisturizers and lubricants... biotene can provide soothing relief and it helps keep your mouth healthy too. biotene, for people who suffer from a dry mouth. when the moment's spontaneous, why pause to take a pill? or stop to find a bathroom? cialis for daily use is approved to treat both erectile dysfunction and the urinary symptoms of bph, like needing to go frequently, day or night. tell your doctor about all your medical conditions and medicines, and ask if your heart is healthy enough for sex. do not take cialis if you take nitrates for chest pain as it may cause an unsafe drop in blood pressure. do not drink alcohol in excess. side effects may include headache, upset stomach, delayed backache or muscle ache. to avoid long-term injury, get medical help right away for an erection lasting more than four hours. if you have any sudden decrease or loss in hearing or vision or any symptoms of an allergic reaction stop taking cialis and get medical help right away. ask your doctor about cialis for daily use and a free 30-tablet trial. ♪ ♪ i'm almost done. 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[ male announcer ] introducing xfinity my account. available on any device. melissa: we are just moments away from president obama's live remarks in heart of silicon valley. peter barnes is at the white house with what more we can expect from this. peter. >> hey, melissa, we want to tank about some of the executives that are attending this big event the president will talk to. some who aren't you talked about at top of the hour. those who are, tim cook ceo of apple, who just finished his remarks. talked about security and mobile payment systems. brian moynihan of bank of america is there, aaron levy of fox. vox. as far as initiatives the president talked about, dozens of companies including apple intel and others are supporting the president's 2014 cybersecurity framework which offers voluntary guide lines for cyber investment and performance benchmarks and communications. we will announce a new second stiff order for information sharing. he is expected to sign the information order, executive order on stage in just a few minutes. companies are also supporting a new secure, payment new secure payment technologies and multifactor authentications to replace passwords. the president will also push congress to pass new tougher cybersecurity legislation. melissa? melissa: peter, so much. -- thank you so much. illegal immigrants will be shown the money after all. irs commissioner admitted that undocumented workers who never paid taxes at all will be eligible for tax refunds under president obama's executive action. veronica, geraldo and todd are back with us. getting refunds. we talked about this on the show. we assumed folks paying taxes under tax i.d. number paid in would be eligible to get money back but the irs commissioner clarified yesterday, folks working illegally, didn't file taxes would get refunds. am i only one this makes no sense to. >> makes no sense to vast majority of fox viewers but have to put it in a bit of context. melissa: i can't wait to hear this. >> context is if you're earning a certain level where you don't pay income tax just like a legal resident, who would be at that level below the threshold of federal income tax, if you are an undocumented immigrant in this parallel system you are treated in the same way as the legal resident. that is the theory behind this. and don't necessarily object to it. melissa: i think he -- >> of course i am alone. >> alone in the building. melissa: you are treated as if you were working legally but you're not? but you're not. >> the problem is you're not. again sets up a set of rules for the illegals and sets up another set of rules for those who are law-abiding, tax paying citizens. >> no, it is parallel. melissa: you're breaking the law. >> they're breaking the law. >> which is under the irs as, separate -- >> there was a time in the country, when you had, hundreds of people coming into your country without permission they used to call that invasion. people used to go to war over things like that. now we have all these people coming across the border they're taking our resources taking resources of the american taxpayer, resources that they do not deserve. melissa: as a law-abiding society, we're talking about people who are breaking the law and doing something illegal and you're financially rewarding them for doing something illegal. that is where i get hung up. >> huge issue. not to mention where is all the money coming from. first of all we don't know how many illegal residents, illegal folks are in the country. so you don't know how much money these refunds could amount to. especially if you're looking three years back in terms of people's how long they have been working here illegally. looking three years back. also people who have illegal documentation. it is not right. >> when this cold-snapped happened i was taking car home to the upper east side. we stopped at a light. i swear to god melissa i saw a dozen guys on bicycles delivering pizza and chinese food and korean food and deli sandwiches. everyone i guaranty is undocumented. melissa: how do you know that? how do you know that? how do you know that? >> not taking a cab or a bus. melissa: if you're assuming that every delivery person is illegal? >> yes i am. yes i am. you tell me the american citizen will volunteer to deliver on the bicycle -- >> you're darned right. you're darned right they are. if they need a job -- >> they are absolutely not. the reason the market has grown is because those jobs have gone wonting. there are 500,000 undocumented immigrants in the five boroughs of new york alone. melissa: why give them my tax dollars? >> because they paid into the system. melissa: no, no they haven't. >> no they have paid in. if they make $3,000 they don't pay federal income tax. >> didn't file any tax documents. >> this is chump change. this is incendiary -- >> financial straits we're in as issue. >> utterly disagree. >> got to us the point. everything is chump change. well that chump change adds up over time. so look at end of the day, you have people who are not here in this country legally. taking money that belongs to the american taxpayer. and that is not right. >> delivering your chinese food. melissa: what other situation where we financially reward people for breaking law. >> you're not rewarding them for the law they broke which is a minor federal misdemeanor. rewarding them for hard work. melissa: we'll leave it there. turning a blind eye on disaster. u.n. says yemen is falling apart before our eyes. president obama calls it a success. this is scary one coming up. f like mute buttons equal danger. ...that sound good? not being on this phone call sounds good. it's not muted. was that you jason? it was geoffrey! it was jason. it could've been brenda. always obvious. sometimes they just drop in. cme group can help you navigate risks and capture opportunities. we enable you to reach global markets and drive forward with broader possibilities. cme group: how the world advances. at ally bank no branches equals great rates. it's a fact. kind of like shopping hungry equals overshopping. >> we are giving you a live look at sanford university where the president is expected to speak at his cyber security summit moments from now. we'll bring it live just as soon as it happens. it's a big day for stocks with all-time highs for the s&p 500. the dow holding near 18,000. oil charging higher as well. crude settling up 3% on the day. to 52.78 on the barrel. let's go to adam shapiro on the floor of new york stock exchange with more on the trade. >> let's talk more what's going on with the digital world. king digital monopolizing on their, you know, strength in mobile delivery of their games just kicking it today. they expected in their earnings report future bookings of 586 million. that was 45 million more than analysts expected. that stock enjoying a bump up. take a look at what happened to zynga. zynga shares are down 15% today. their future bookings $182 million. $19 million less than analysts had expected. before you write zynga off like pac-man "the a-team" their ceo said 75% of their bookings will come from mobile delivery. i pity the fool who do not listen to him. >> sizes closing in on us troops in iraq. the militants gaining on the total control of a town. more than 300 us marines are stationed there. todd and giraldo are there to discuss. giraldo you were there on the base. this is '05. '04. let take a look. >> this is the country's wild west. literally. including the big, bad borders with libya, saudi arabia, and jordan. we flew out from al-assad from the troubled syrian border on a saturday morning to the region known as al kien. >> the saddest thing about that this is ground that we paid for with blood and treasure. and because the president did not leave a residual force behind, we have to reconquer it. now our marines are embattled encircled. and we cannot let it fall. like the town of kobani in syria, we have to make a stand at al-assad. we must keep that ground and keep isis from advancing. the president's declaration of we will degrade and destroy isis, we have to do something. >> thirteen minutes away is where isis is holed up right now. what do you think? >> we need to destroy these folks. destroy them. forget degrade. i think the argument coming from the white house is that, look, there's air support. in the event things get dicey. they can send in planes and take out the islamic extremists. again, i go back to this issue here that this president this administration won't call the enemy what it is. how can we possibly defeat them. how can they have a plan to defeat an enemy they are for some reason, refuse to call their name. the islamic extremists. melissa: if you address it then you have to go attack it. the president doesn't seem want to to do it. >> that's right. >> we have to refine, if i can use that presumption or pretertiariespretentious word. it's not islamic extremists. it's sunni. yemen is not as big a crisis as being portrayed. (?) the shias are our natural allies in this fight. it's sunni muslim extremism that we're fighting. isis is its most vicious incarnation. we cannot let this base fall. america's honor is at stake. (?) those marines cannot be withdrawn. they must be reinforced. we have the apatches. i want the a tens there. i want aerial hits. we have to use those sunni tribal leaders. get them back on our side. bring back david. we have this wonderful man who is the architect of the surge. the one who got those sunni tribal leaders on our side in the surge bring him off the bench. get him back to work. this ridiculous investigation that eric holder insists on maintaining against this man is -- is -- is anti thetical to the interests of america. let's beat these guys at al-assad. >> do you think we'll come in with that kind of force in this area when we need to? or do you think washington, specifically the president doesn't have the stomach for it? >> the here's the scary part. we don't know. i'm afraid to know what this president will not do. i think jirld zero giraldo is absolutely right. i'm not hopeful this administration will do what needs to be done. >> we can't wait. >> you're right. >> we can't be quiet. (?) this is our alamo here. melissa: how many people have they been allowed to get so close and so nearby though? >> well, part of the reason is it's hard to tell who the enemy is. you know, these sunni tribal leaders and others are afraid of the shiite army of baghdad. the incompetent iraqi army has it's stud right constituted right now. the shi'ites are being killed by their own country. we have to show them that isis is being -- a good word an active word. we need to do this. we have to fight here. draw the line in the sand. melissa: let me turn you to yemen. out of the un, yemen is collapsing before our eyes. we cannot sit down and watch. similar passionate words. but you don't buy into that? >> well, i believe that yemen is a country that's been a mess for a long time. it's a conglomeration of a bunch of areas that we've put together so much as the middle east is. not a lot going on there. the shi'ites present more of an upside. >> unless you're the white house and hold yemen up as a success story. then you have a problem. melissa: the president is speaking now on cyber security. let's go and listen in. president obama: and in a hopeful sign for middle class families, wages are beginning to rise again. meanwhile, we're doing more to prepare our young people for a competitive world. our high school graduation rate hit an all-time high. more americans are finishing college than ever before. here at stanford and across the country, we have the best universities. we have the best scientists in the world. the most dynamic economy in the world. no place represents that better than this region. so make no mistake, more than any other nation on other, the united states is positioned to lead in the 21st century. and so much of our economic competitiveness is tied to what brings me here today. and that is, america's leadership in the digital economy. it's our ability, almost unique, across the planet. our ability to innovate and to learn and to discover and to create and build and do business online and stretch the boundaries of what's possible. that's what drives us. and so when we had to decide where to have this summit, the decision was easy because so much of our information age began right here. at stanford. it was here where two students bill hewlett and dave packard met in a garage not far from here started a country that built one of the first personal computers weighing in at 40 pounds. [laughter] it was from here in 1968 where a researcher douglas angel bart astonished an audience with two computers connected online. and hyper text you could click on with something called a mouse. a year later, a computer here received the first message from another computer. 350 miles away. the beginnings of what would eventually become the internet. (?) and, by the way it's no secret that many of these innovations built on government-funded research it's one of the reasons that if we want to maintain our economic leadership in the world america has to keep investing in basic research and science and technology. it's absolutely critical. [applauding] president obama: so here at stanford, pioneers developed the protocols and architecture of the internet dsl, the first web page in america, innovations for cloud computing. student projects here became yahoo and google. those are pretty good student projects. [laughter] your graduates have gone on to help create thousands of companies that have shaped our digital society from cisco to sun microsystems. youtube to instagram. stub hub. bunbos. according to one study, if all the companies traced back to stanford form their own nation you would be one of the largest nations in the world and have a pretty good football team as well. [laughter] [applauding] president obama: and today with your cutting edge research programs and your new cyber initiatives you're helping us navigate some of the most complicated cyber challenges we have as a nation. that's why we're here. i want to thank all of you who joined us today. members of congress. representatives from the private sector. government academia, privacy and consumer groups and especially the students who are here. and just as we're all connected like never before, we have to work together like never before. both to seize opportunities, but also meet the challenges of this information age. and it's one of the great paradoxes of our time that the very technologies that empower us to do great good, can also be used to undermine us and inflict great harm. the same information technologies that help make our military the most advanced in the world are targeted by hackers from china and russia who go after our defense contractors and systems that are built for our troops. the same social media we use in government to advocate for democracy and human rights around the world can also be used by terrorists to spread hateful ideologies. so these cyber threats are a challenge to our national security. much of our critical infrastructure our financial systems, our power grid, health systems, run on networks connected to the internet, which is hugely empowering, but also dangerous. and creates new points of vulnerability that we didn't have before. foreign governments and criminals are probing these systems every single day. we only have to think of real life examples. an air traffic control system going down and disrupting flights or black-outs that plunge cities into darkness. to imagine what a set of sis at thematic attacks might do. this is a matter of public safety. as a nation we do more business online than ever before. trillions of dollars a year. (?) and high-tech industries like those across the valley supports millions of american jobs. all this gives us an enormous competitive advantage in the global economy. and for that very reason, american companies are being targeted. their trade secrets stolen. intellectual property, ripped off. the north korean cyber attack on sony pictures destroyed data and disabled thousands of computers and exposed personal information of sony employees. these attacks are hurting american companies and costing american jobs. so this is a threat to america's economic security. as consumers, we do more online than ever before. we manage our bank accounts. we shop. we pay our bills. we handle our medical records. and as a country, one of our greatest resources are the young people who are here today. digitally fearless and unencumbered by convention and uninterested in old debates and they're remaking the world every day, but it also means that this problem of how we secure this digital world is only going to increase. i want more americans succeeding in our digital world. i want young people like you to unleash the next waves of innovation and launch the next start-ups and give americans the tools to create new jobs and businesses and to expand connectivity in places that we currently can't imagine. to help open up new worlds and new experiences and empower individuals in ways that would seem unimaginable ten, 15, 20 years ago. that's why we're working to connect 99% of america's students to high-speed internet. when it comes to educating our children, we can't afford any digital divides. that's why we're helping more communities get across to the next generation of broadband faster with cheaper internet so that students and entrepreneurs and small businesses across america, not just in pockets of america have the same opportunities to learn and compete as you do here in the valley. it's why i've come out so strongly and publicly for net neutrality. for an open and free internet. [applauding] president obama: because we have to preserve one of the greatest engines for creativity and innovation in human history. so our connectivity brings extraordinary benefiaily lives, but it also brings risks. and when companies get hacked americans personal information including their financial information gets stolen. identity theft can ruin your credit rating and turn your life upside down. more than 100 million americans had their data comprised, including in some cases, credit card information. we want our children to go online and explore the world, but we also want them to be safe and not have their privacy violated. so it's a direct threat of the economic security of the american families, not just the economy overall and to the well-being of our children. which means, we have to put in place mechanisms to protect them. shortly after i took office before i had gray hair -- [laughter] -- i said these cyber threats were the most serious we face as a nation. i made confronting them a priority. and given the complexity of these threats, i believe we have to be guided by some basic principles. so let me share those with you today. first, this has to be a shared mission. so much of our computer networks and critical infrastructure are in the private sector, which means government cannot do this alone. but the fact is that the private sector can't do it alone either because it's government that often has the latest information on new threats. there's only one way to defend america from these cyber threats, and that is, through government and industry working together sharing appropriate information as true partners. second, we have to focus on our unique strengths. government has many capabilities, but it's not appropriate or even possible for a government to secure the computer networks of private businesses. many of the companies who are here today are cutting edge. but the private sector doesn't always have the capabilities needed during a cyber attack. the situational awareness or the ability to warn other companies in real time or to coordinate a response across companies and sectors. so we'll have to be smart and efficient and focus on which each sector does best and then do it together. third, we'll have to constantly evolve. the first computer viruses hit personal computers in the early 1980s. and essentially we've been in a cyber arms race ever since. we design new defenses, and then hackers and criminals design new ways to penetrate them. whether it's phishing or botnets, spyware now ransom ware. these attacks are getting more sophisticated every day. we have to be as fast and nimble in constantly evolving our defenses. and fourth, and most importantly, in all our work, we have to make sure we're protecting the privacy and civil liberty of the american people. and we grapple with these issues in government. we pursued important reforms to make sure we are respecting people's privacy as well as ensuring our national security. and the private sector wrestles with this as well. when consumers share their personal information with companies, they deserve to know that it will be protected. when government and industry share information about cyber threats, we have to do so in a way that safeguards your personal information. when people go online, we shouldn't have to forfeit the basic privacy that we're entitled to as americans. in recent years we've worked to put these principles into practice. as part of our comprehensive strategy, we've boosted our defenses in government, we're sharing more information with the private sector to help those companies defend themselves, we're working with industry to use what we call a cyber security framework to prevent, respond to, and recover from attacks when they happen. and, by the way i recently went to the national cyber security communications integration center which is part of the department of homeland security. where we monitor cyber threats 24/7. and so defending against cyber threats just like terrorism, or other threats is one more reason that we're calling on congress, not to engage in politics, this is not a republican or democratic issue. but work to make sure that our security is -- is safe safeguarded and we fully fund the department of homeland security. because it has great responsibilities in this area. so we're making progress. and i've recently announced new actions to keep up this momentum. we call for a standard so americans know within 30 days to know if their information has been stolen. we propose information that gives americans baseline protections to decide what data companies collect from you and the right to know how companies are using that information. we proposed the student digital privacy act which is modeled on the landmark law here in california. because today's amazing educational technologies should be used to teach our students and not to collect data for marketing to students. and we've also taken new steps to strengthen our cyber security. proposing new legislation to promote greater information sharing including liebts for companies that share information about cyber threats. today, i'm once again calling on congress to come together and get this done. and this week, we announce the creation of our new cyber threat intelligence integration center just like we do with terrorist threats we'll have a single entity that's analyzing and quickly sharing intelligence about cyber threats across government so we can act on all those threats even faster. and today we're taking an additional step which is why there's a desk here. you're wondering, i'm sure. [laughter] president obama: i'm signing a new executive order to promote more information sharing about cyber threats, both within the private sector and between government and the private sector. and it will encourage more companies and industries to set up hubs so you can share information with each other. it will call for a common set of standards including protections for privacy and civil liberties so that government can share threat information with these hubs more easily. and it can help make it easier for companies to get the classified cyber security threat information that they need to protect their companies. i want to acknowledge by the way, that the companies who are represented here are stepping up as well. the cyber threat alliance which includes companies like palo alto network and sem semantics will work with us. you have companies like apple, intel, bank of america, who will use the cyber security framework to strengthen their own defenses. as part of our buy secure initiative, visa, and mastercard, and american express and others will make their transactions more secure. (?) nation star is joining companies that are giving companies another weapon to battle identity theft and that's free access to their credit scores. and more companies are moving to new stronger technologies to authenticate user identity like bio metrics because it's just too easier hackers to figure out user names and passwords like "password." or "123457". [laughter] those are some of my previous passwords. [laughter] i've changed them since then. [applauding] president obama: so this summit is an example of what we need more of. all of us working together to do what none of us can achieve alone. and it is difficult. some of the challenges i've described today have defied solutions for years. and -- and i want to say very clearly that, as somebody who is a former constitutional law teacher and somebody who deeply values his privacy and his family's privacy, although i chose the wrong job for that but -- but will be a private citizen again and cares deeply about this. i have to tell you that grappling with how government protects the american people from adverse events while at the same time making sure that government itself is not abusing its capabilities it's hard. you know, this cyber world is sort of the wild, wild west. and to some degree, we're asked to be the sheriff. when something like sony happens, people want to know what can government do about this? if information is being shared by terrorists in the cyber world and an attack happens people want to know, are there ways from stopping that from happening? by necessity, that means government has its own significant capabilities in the cyber world. but then people rightly ask: well what safeguards do we have against government intruding on our own privacy? and it's hard. and it constantly evolves because the technology so often outstretches whatever rules and structures and standards have been put in place. which means that government has to be constantly self-critical and we have to be able to have an open debate about it. but we're all here today because we know that we're going to have to break through some of these barriers that are holding us back if we're going to continue to thrive in this remarkable new world. we all know what we need to do. we have to build stronger defenses and stop more attacks. we have to make cyber space safer. we have to improve cooperation across-the-board. this is not just here in america, but international, by the way. which also, by the way makes things complicated because a lot of countries don't necessarily share our investments -- or, our commitment to openness, and we have to try to navigate that. this should not be an ideological issue and that's one thing i want to emphasize. this is not a democratic issue or a republican issue. this is not a liberal or conservative issue. everybody is online, and everybody is vulnerable. the business leaders here want their privacy and their children protected, just like the consumer and privacy advocates here want america to keep leading the world in technology and be safe from attacks. so i'm hopeful that through this form and forum and the work we do subsequently, that we're able to generate ideas and best practices and that the work of this summit can help guide our planning and execution for years to come. avafter all we're just getting started. think about it. tim from his lab in switzerland invented the world wide web in 1989 which was only 26 years ago. the great epics in human history, the bronze age, iron age agricultural revolution they spanned centuries. we're only 26 years into this internet age. we've only scratched the surface. and as i guess they say at google, the future is awesome. [laughter] president obama: we haven't even begun to imagine the discoveries and innovations that will be released in the decades to come. but we know how we'll get there. reflecting on his work in the 1960s on art net and the precursor of the internet, the late paul barren said this, the process of technological developments is like building a cathedral. over the course of several hundreds of years, new people come along and each lays down a block on top of the old foundation. each saying i built the cathedral. and then comes along a historian who asks, well, who built the cathedral. and barren said, if you're not careful, you can conyourself into believing that you did the most important part. but the reality is each contribution has to follow on to each work. everything is tied to everything else. everything is tied to everything else. the innovations that first appeared on