From: rishab@dxm.ernet.in
Date: Tue, 17 May 94 08:34:53 PDT
To: cypherpunks@toad.com
Subject: Sun to leave US over Clipper?
Message-ID: <gate.L2sFmc1w165w@dxm.ernet.in>
MIME-Version: 1.0
Content-Type: text/plain



In "Superchip bugs US companies," an article on Clipper by Adrian Berry 
reproduced from The Daily Telegraph, the author says that big companies are
threatening to move their headquarters overseas at a cost to the government
of billions of dollars in lost tax.

   "Without this initiative, the government will eventually become helpless to
   defend the nation" says Louis Freeh, director of the FBI.
   ...
   Foreign buyers want nothing to do with any hardware that might contain 
   Clipper.
   ...
   Many computer companies are talking of leaving America. Trusted Information 
   Systems, a Maryland-based encryption firm, has started a subsidiary in 
   Britain [to avoid US ITAR restrictions]
   ...
   "I can't estimate the sales we're losing through Clipper, but they could be
   worth hundreds of millions of dollars," said [Scott] McNealy, [CEO Sun 
   Microsystems]. McNealy added "The new rules may force us to leave. If we 
   don't leave, we just don't grow."

Not clear what "new rules" McNealy's talking about. ITAR's been around a long 
time, maybe it's just beginning to affect them? DT II? Clipper's not yet a
"rule"...

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Rishab Aiyer Ghosh                                          rishab@dxm.ernet.in
Voicemail +91 11 3760335; Vox/Fax/Data 6853410
H-34C Saket New Delhi 110017 INDIA

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