I am motivated to write this paper because I am continually surprised at the level of misunderstanding about AI in DoD both on the technology level and the applications level. As for AI as a technology, which is not the subject of this paper, there has been much progress over the last few years, but that progress has been incremental and evolutionary. In contrast to the big splash that AI made some few years ago when everything about the technology seemed revolutionary, this progress may be so subtle as to be invisible to the casual observer of the technical scene. Technical progress notwithstanding, there is much that can be said about the limitations of the current level of AI. As obvious as it is to those in the AI research community, for whom these limitations enable funding, it is surprising how many people believe that AI is technically "mature." I feel compelled to point out the obvious: a demonstration of some capability (in AI or other technology) on one restricted instance of a general class of problems is important as an existence proof of a technology, but it does not satisfy the general need for a technology that will be able to produce solutions for all unrestricted problems in that class. It is in this sense that I believe that AI will require much basic and engineering research from DoD and other sources for many years to come. Given the utility derived from the relatively modest level of today's technology, I believe that even incremental gains here will prove of phenomenal value to DoD and the economy in general.