CIO — Happy Birthday, America. We're not as safe as we think. From the electricity grid to the banking system to the defense contractors building our most sophisticated weapons, computers running the nation's critical infrastructure see relentless attacks from criminals and countries alike. Sometimes we hear about it, sometimes we don't.

In the last year, the Federal Aviation Administration (FAA), the Department of Defense (DoD) and the ATM banking system have all been attacked in concerted, organized ways by people who have yet to be apprehended. Hardening critical infrastructure systems in industries as diverse as defense, electricity, financial services and telecommunications will take millions of dollars, perhaps many years and massive political clout. President Barack Obama says he wants to do it. IT leaders want to know how.

"I would be looking for a path and partnership," says Bruce Larson, former security director at American Water Works, a $2.3 billion utility that serves 32 states and part of Canada. Part of the problem is that government and industry don't share enough information, he says. "Government needs information from the private sector about how bad [corporate vulnerabilities are] and what the impact could be. And the private sector needs information about what the real threat might be."

CIOs know that addressing security problems is expensive and largely thankless. Few leaders get pats on the back for preventing crimes and breaches. Some CIOs are wary of government getting too involved in dictating technology standards and choices. But increasing threats bring an urgent need for change in both corporate and government realms, says Paul Kurtz, a partner at security and counterterrorism firm Good Harbor Consulting. Kurtz is a former senior advisor to former Presidents Bill Clinton and George W. Bush on national and homeland security.

"For every month that passes without real leadership and decisive action on part of government, we hemorrhage billions in intellectual property stolen," Kurtz says. "Critical systems that support power, oil and gas, aviation, military operations—they are all placed at risk."

What's Going Wrong

Last November, in what the Federal Bureau of Investigation (FBI) calls a "coordinated attack" on automated teller machines in major cities, a "criminal organization" used 100 fake payroll and gift cards to steal $9 million in 30 minutes. The FBI has issued a plea for help identifying men in images caught on video surveillance cameras in Atlanta.

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