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FT Key Escrow 6 March

daemon@ATHENA.MIT.EDU (Robert Hettinga)
Sat Mar 6 16:22:26 1999

Date: Sat, 6 Mar 1999 08:40:44 -0500
To: cypherpunks@cyberpass.net, cryptography@c2.net, dcsb@ai.mit.edu
From: Robert Hettinga <rah@shipwright.com>


--- begin forwarded text


From: Somebody
To: "Robert Hettinga" <rah@shipwright.com>
Subject: FT Key Escrow 6 March
Date: Sat, 6 Mar 1999 12:38:13 -0000

FT

UK  March 6 1999


INTERNET: Security proposal welcomed
By Paul Taylor in London
The UK government has backed away from an open confrontation with the
information technology industry over demands that the security services be
given access to encryption keys so that they can monitor internet-based
electronic commerce messages. Its proposals were welcomed by Intel, the US
chipmaker.


Instead, the government says in its long-awaited proposals for electronic
commerce legislation published yesterday, that it will seek ideas on how to
meet the twin objectives of encouraging secure internet based "e-commerce"
while protecting the interests of the law enforcement agencies.


The government's change over key escrow and third party key recovery, which
involves storing confidentiality keys and recovering encrypted data, was
welcomed by the UK's Alliance for Electronic Business as well as Intel, one
of the most vociferous opponents of key escrow.


The government's proposals are set out in a consultation document published
yesterday by Stephen Byers, the chief trade and industry minister and Jack
Straw, the home secretary.


They include plans to set up a voluntary licensing system for businesses
providing electronic signatures, proposed changes to other laws needed to
ease the growth of e-commerce, and establishing the liability of service
providers.


"The way we do business in the future is set to change dramatically," said
Mr Byers, launching the consultation document. He said the proposed
legislation would remove legal barriers to using electronic means in
everyday dealings.


The government had argued that access to key escrow and third party key
recovery was needed to combat crime. Industry, led by IT companies, argued
that making this a requirement under a licensing scheme would hinder the
development of electronic commerce in Britain.


Peter Agar, chairman of the AEB, said the plans recognised the "technical
difficulties and potential damage to business competitiveness which such
measures would cause".


Keith Chapple, director of government affairs for Intel in Europe, said: "A
requirement for licensing and offering encryption services could seriously
hinder the development of electronic commerce in the UK."

--- end forwarded text


-----------------
Robert A. Hettinga <mailto: rah@philodox.com>
Philodox Financial Technology Evangelism <http://www.philodox.com/>
44 Farquhar Street, Boston, MA 02131 USA
"... however it may deserve respect for its usefulness and antiquity,
[predicting the end of the world] has not been found agreeable to
experience." -- Edward Gibbon, 'Decline and Fall of the Roman Empire'


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