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[FYI] (Fwd) Wassenaar - DOC Statement

------- Forwarded Message Follows -------
Date:          Thu, 3 Dec 1998 18:33:51 -0500
From:          David Banisar <banisar@epic.org>
Subject:       Wassenaar - DOC Statement
To:            Global Internet Liberty Campaign <gilc-plan@gilc.org>
Reply-to:      gilc-plan@gilc.org

Commerce News

International Trade Administration

Washington, DC

For Immediate Release
Tuesday, December 3, 1998

Contact:  Maria Harris Tildon
   Sue Hofer

P R E S S  S T A T E M E N T

U.S. Applauds Agreement on Encryption in International Export Control

Vienna, Austria -- The United States welcomed the decision taken
Thursday in Vienna by the 33 members of the Wassenaar Arrangement to
modernize and improve multilateral encryption export controls. 
Ambassador David Aaron, the President's Special Envoy for Cryptology,
said that "the international agreement reached here goes a long way
toward leveling the playing field for exporters and promoting
electornic commerce.  It provides countries with a stronger regulatory
framework to protect national security and public safety."

The agreement caps a two year effort by the United States, to update
international encryption export controls and to balance commercial and
privacy interests with national security and public safety concerns.
Thursday's agreement simplifies and streamlines controls on many
encryption items and eliminates multilateral reporting requirements. 
Specific improvements to multilateral encryption controls include
removing controls on all encryption products at or below 56 bit and
certain consumer entertainment TV systems, such as DVD products, and
on cordless telephone systems designed for home or office use.

Wassenaar members also agreed to extend controls to mass-market
encryption above 64 bits, thus closing a significant loophole in
multilateral encryption controls.  This gives Wassenaar member
governments the legal authority to license many mass market encryption
software exports which were previously not covered by multilateral
controls and enables governments to review the dissemination of the
strongest encryption products that might fall into the hands of rogue
end users.   The new controls also extend liberalized mass-market
hardware below 64 bits.  Until today, only mass-market software
products enjoyed this liberalized treatment.

"The decisions taken here in Vienna reinforce the Administration's
efforts to promote a balanced encryption policy," Aaron confirmed.