The article really doesn't say anything more than the headline already did (then gets into "high-entropy random character strings are hard to remember" --> solution: "read xkcd, use passphrases"). Also, the DARPA program is more involved than this implies.
They do link to the DARPA Active Authentication program:
http://www.darpa.mil/Our_Work/I2O/Programs/Active_Authentica...
The thrust of which is that they want a better way to establish that the expected user is in fact the one at the keyboard, including ongoing verification of whether they are still the person at the keyboard.
They'd also be extra happy if it works with existing hardware, so they'd like the answer to be things like analyzing the way the keyboard or mouse is used, or analyzing patterns in how you write (IMO probably more trouble than it's worth!). "Implant RFID chips in the hands of all DOD personnel" is off the menu for the moment.