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Technology Stocks : Network Associates (NET)
NET 182.78-2.2%Jan 9 9:30 AM EST
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To: chirodoc who wrote (3363)10/19/1998 8:02:00 AM
From: John Carragher  Read Replies (2) of 6021
 
High-Tech Coalition Is Cleared
To Make Encryption Exports

By JOHN SIMONS
Staff Reporter of THE WALL STREET JOURNAL

WASHINGTON -- The Commerce Department will allow a coalition of 10
high-tech companies to export a new encryption technology that allows
electronic messages to remain secure while enabling law-enforcement
officials to eavesdrop on some digitized conversations.

The new data-scrambling method will be the first to be approved under the
Clinton administration's relaxed encryption export rules announced last
month. It marks a significant advance in Silicon Valley's fight to export
complex data-scrambling hardware and software products. U.S. companies
have been banned from shipping such technology abroad because
law-enforcement officials feared that criminals and terrorists might use it to
mask their misdeeds in cyberspace.

The coalition, led by Cisco Systems Inc.,
includes Ascend Communications Inc., Bay
Networks, 3Com Corp., Hewlett-Packard
Co., Network Associates Inc., Novell Inc., Red Creek Communications,
Secure Computing Corp., and Sun Microsystems Inc. Commerce officials
notified the companies of the license approvals on Friday. The companies
are expected to announce their plans for export Monday morning.

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