ALLIANCE FOR NETWORK SECURITY WELCOMES THE ADMINISTRATION’S RESPONSE TO THE EUROPEAN UNION’S LICENSE FREE ZONE FOR ENCRYPTION PRODUCTS
July 17, 2000
Washington, DC - The
Alliance for Network Security (ANS), a coalition of networking companies that
includes 3Com Corporation, Cisco Systems, Hewlett-Packard, Intel, Lucent
Technologies, Microsoft, NetScreen Technologies, Network Associates, Novell,
RedCreek Communications and Sun Microsystems, congratulated White House Chief of
Staff John Podesta on his announcement today that the Administration has decided
to relax the export controls on encryption products in response to the European
Union’s new license free zone initiative.
The announcement removes
the requirement to obtain licenses for exports of strong cryptography trade
between and among twenty five countries, including Australia, Austria*,
Belgium*, Canada, Czech Republic, Denmark*, Finland*, France*, Germany*,
Greece*, Hungary, Ireland*, Italy*, Japan, Luxembourg*, the Netherlands*,
Norway, New Zealand, Poland, Portugal*, Spain*, Sweden*, Switzerland, the United
Kingdom* and the United States. (EU
member countries are marked with an asterisk*.)
It also allows American companies to commence exporting a product
promptly upon filing with the Commerce Department of a request for a technical
review, without having to wait for 30 days after filing, as in the past.
American exporters still
have to file pre-export technical review paperwork as well as post-export
reports of sales. However, the new
policy goes a long way toward creating parity between American companies and
their foreign competitors. Clarification
of these and other details await implementing regulations, which are expected to
be released, soon.
“We are pleased that the
Administration responded quickly and favorably to the EU’s recent decision to
create a license free zone,” said Roszel Thomsen, counsel for the Alliance for
Network Security. “American
companies should now be recognized as being reliable suppliers, since they will
not require export licenses to ship products to their customers in the EU and
other qualifying countries. There
are a number of details that need to be worked out. For example, the technical review and
reporting requirements remain onerous. We will work with the Administration for
further relaxation, in the final regulations.”