Barack Obama officially began his term as the 44th president Tuesday after taking the oath of office as the first black commander in chief on the steps of the U.S. Capitol.
Obama and Vice President Joe Biden were sworn in before a crowd extending from the Capitol to beyond the Lincoln Memorial.
Before giving the Inaugural Address, Obama placed his right hand on the same Bible as Abraham Lincoln to take the oath of office.
Starting today, we must pick ourselves up, dust ourselves off and begin again the work of remaking America,"" Obama said.
He spoke about developing alternative sources of energy, the job market and improving colleges and universities.
""The state of the economy calls for action, bold and swift, and we will act,"" he said.
Obama called for peace and greater cooperation between nations, but promised the U.S. will ""never apologize for our way of life, nor will we waver in its defense,"" warning terrorists ""We will defeat you.""
As his first official act as president, Obama proclaimed January 20, 2009 a National Day of Renewal and Reconciliation, and called for citizens to serve one another with ""the common purpose of remaking this Nation for our new century.""
Wisconsin politicians acknowledged the significance of Obama's historic inauguration.
Gov. Jim Doyle, who watched the inauguration with other governors from behind the speaker's podium, said the scene in Washington, D.C., was ""magical,"" but the country has many challenges to face in the near future.
""Given the economy and where we are in the world, we were just badly in need of the change that has happened today,"" Doyle said. ""One of the great things that Barack Obama has done is to make very clear to people that this is not going to be easy and we have a great challenge ahead of us.""
U.S. Rep. Tammy Baldwin, D-Wis., was an honorary co-chair of the inauguration and said in a statement that witnessing the swearing-in ceremony and the crowds of people on the National Mall was ""awe-inspiring.""
""I'm so proud of our democracy. I was inspired by President Obama's words and his call for all of us to be involved in solving our nation's problems,"" Baldwin said.
U.S. Rep. Paul Ryan, R-Wis., said in a statement he stands ready to work with Obama and viewed the inauguration as a historic moment.
Kimberly Liedl, spokesperson for State Sen. Scott Fitzgerald, R-Juneau, said although Fitzgerald does not agree with Obama on everything, the inauguration is an exciting time for the country.
""We'll just see what his new term brings, it will be interesting to see what he does and how he fulfills his campaign promises,"" Liedl said.
-Megan Orear contributed to this report