In August 2011, Panetta publicly warned that deeper cuts in the defense budget risked hollowing out the military and would hamper Pentagon efforts to deal with rising powers such as China, North Korea, and Iran and he urged Congress not to go beyond the roughly $500 billion in defense cuts required over the next decade under the debt reduction bill signed by President Barack Obama. Working with military and civilian leaders at the Department of Defense, Panetta developed a new defense strategy for the 21st century.