From: JMKELSEY@delphi.com
Date: Fri, 18 Aug 95 20:04:12 PDT
To: cypherpunks@toad.com
Subject: Export policy change
Message-ID: <01HU8HT0PYIQ8ZJ4DW@delphi.com>
MIME-Version: 1.0
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>Date: Thu, 17 Aug 1995 23:48:01 -0400
>From: Rich Salz <rsalz@osf.org>
>Subject: Export policy change

>Just heard on the 11:30pm NPR news update.  The Clinton Administration
>has changed the crypto export policy.  You will now be allowed to
>export strong crypto, provided it is a key escrow system.  The
>reporter (Dan Charles?) said something like anyone can hold the keys,
>as long as they will be made avail when presented with a court order.
>He also said, US citizens will still be able to use strong crypto
>without key escrow internally.  Terrorists and drug pushers were given
>as "reasons."

I think this is an important and somewhat subtle political move on
the part of the administration.  If they can get at least a few
large businesses (the ones who buy into the key-escrow scheme) on
their side, by making it in their economic interests for everyone
to use escrowed crypto, they will have manufactured some
potentially powerful allies in the computer industry.  Certainly,
once any major company has spent a lot of money to set up a key
escrow facility, they will help lobby *against* any easing of the
requirement to use escrowed crypto, based simply on self-interest.

   --John Kelsey, jmkelsey@delphi.com
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