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Technology Stocks : Identix (IDNX)

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To: Buck who wrote (9260)7/12/1998 3:28:00 PM
From: David  Read Replies (1) of 26039
 
POS terminals . . . . Privacy issues . . . . .

The stand-alone POS terminal may tell us something else. IDX was supposed to be working with Verifone on this kind of item, and then Verifone up and uses Identicator in the Fort Bliss pilot. Was there a parting of the ways? Or does IDX have a little more leverage in trying to get Verifone to come back?

On another item, the Washington Post reports today that the US and the high-tech info industry are close to agreeing on a compromise re: encryption. It goes something like this: The encryption would not occur at the desktop workstation, but at the level of the transmitting agency. This would allow screening devices to pick out specific senders before encryption would occur, but still allow basic privacy within the gateways. Searches would still be subject to a judge's warrant to be legal.

How does this potentially affect us? A fingerprint biometric identifier does an even better job of saying who is sending at the desktop level. A search warrant in that environment would come up with the person, not just the sending machine. However, it too can only happen if a warrant issues. Under either system, there are still the traditional legal protections that respect privacy.

If there is full encryption, the government has no way -- for criminal or national security investigatory purposes -- to conduct legal searches.
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