U.S. allows PGP crypto exports

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U.S. allows PGP crypto exports
By Nancy Weil, IDG News Service

The U.S. government has granted Network Associates Inc. a license to
export its PGP encryption software -- a move that the company termed
"landmark" in an announcement today.

The license will allow Network Associates to ship its full-strength PGP
(Pretty Good Privacy) encryption software to most nations worldwide
without restriction. Exports to some countries -- such as Cuba and Iraq --
remain off-limits.

The decision to grant the license precedes the expected new export control
policy from the White House, another fact hailed by Network Associates in
its written announcement today. The move will "point the way" for other
U.S. companies, including those who sell products online, the Santa Clara,
Calif.-based security software vendor said.

Additional details regarding the license and its conditions weren't
provided.

The Clinton administration last month circulated a draft of its new
proposed regulations for encryption export. Although the new policy
proposal loosens restrictions, some members of the U.S. Congress were
chagrined that the draft calls, for example, for export of shrinkwrapped
encryption software through retail outlets independent of the
manufacturer.

That language, according to some critics, would allow traditional retail
stores an advantage over e-commerce merchants. U.S. Rep. Zoe Lofgren
(D-Calif.) criticized the draft language, but said that she had talked to
President Bill Clinton and also wrote a follow-up letter to him regarding
her concerns, and was assured that he and his staff will work to resolve
the remaining issues.

The final encryption plan is expected to be released on Wednesday.

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