The problem is that they have government contractors reviewing potential solutions. The same people who are incapable of coming up with workable solutions themselves. So what makes anyone think they would know a good solution, even if it bit them in the ass?
DARPA announced a grant program for this last August at Black Hat. We spent a month crafting an RA for developing a solution based upon formal methods that would change the advantage from the attacker to the defender. Even if we were full of shit, you'd think DARPA would want to know more, in case we weren't. We got a form letter rejection for "Mudge". Am I bitter I spent a month trying to help out the DoD? you bet. I have better things to do.
It reminds me of when the Web was first emerging and I was getting my MBA - Anderson Consulting came to our school with a "contest" to see who could come up with the best business model for the web. Anyone know where AC is now? The DoD needs a good shot of Darwin.