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Bruce Schneier on Palladium and the TCPA

http://www.counterpane.com/crypto-gram-0208.html


Palladium and the TCPA

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Lots of information about Pd will emanate from Redmond over the next few years, some of it true and some of it not. Things will change, and then change again. The final system may not look anything like what we've seen to date. This is normal, and to be expected, but when you continue to read about Pd, be sure to keep several things in mind.

1. A "trusted" computer does not mean a computer that is trustworthy. The DoD's definition of a trusted system is one that can break your security policy; i.e., a system that you are forced to trust because you have no choice. Pd will have trusted features; the jury is still out as to whether or not they are trustworthy.

2. When you think about a secure computer, the first question you should ask is: "Secure for whom?" Microsoft has said that Pd allows the computer-owner to prevent others from putting their own secure areas on the computer. But really, what is the likelihood of that really happening? The NSA will be able to buy Pd-enabled computers and secure them from all outside influence. I doubt that you or I could, and still enjoy the richness of the Internet. Microsoft really doesn't care about what you think; they care about what the RIAA and the MPAA think. Microsoft can't afford to have the media companies not make their content available on Microsoft platforms, and they will do what they can to accommodate them. There's often a large gulf between what you can get in theory -- which is what Microsoft is stressing in their Pd discussions -- and what you will be able to have in practice. This is where the primary danger lies.

3. Like everything else Microsoft produces, Pd will have security holes large enough to drive a truck through. Lots of them. And the ones that are in hardware will be much harder to fix. Be sure to separate the Microsoft PR hype about the promise of Pd from the actual reality of Pd 1.0.

4. Pay attention to the antitrust angle. I guarantee you that Microsoft believes Pd is a way to extend its market share, not to increase competition.

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