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Distributed collaboration is an emerging technology for the 21st century that significantly changes the way business is conducted in the defense and commercial sectors. Collaboration involves two or more geographically dispersed individuals working together to create a "product" by sharing and exchanging data, information and knowledge. A product is defined broadly to include, for example, writing a report, creating a software, designing hardware, or implementing robust systems engineering processes in an organization. Collaborative environments provide the framework and integrate models, simulations, domain specific tools, and virtual test beds to facilitate collaboration between the multiple disciplines needed in the enterprise. The Air Force Research Laboratory (AFRL) is conducting a leading edge program in developing distributed collaborative technologies targeted to the Air Force's implementation of systems engineering for simulation-aided acquisition and test process and capability-based planning. The research is focuses on the open systems agent-based framework, product and process modeling, structural architecture, and the integration technologies - the glue to integrate the software components. In the past four years, two live assessment events have been conducted to demonstrate the technology in support of air force agile acquisition that included capabilities for system engineering. The AFRL collaborative environment concept fosters a major cultural change in how the acquisition, training, and operational communities conduct business.