White House crypto proposal -- too little, too late
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---------- Forwarded message ---------- Date: Tue, 1 Oct 1996 14:56:21 -0700 (PDT) From: Declan McCullagh <declan@well.com> To: fight-censorship@vorlon.mit.edu Subject: White House crypto proposal -- too little, too late I just got back from the White House, where Gore's office held a roundtable plugging the administration's long-awaited and already widely-derided Return of Clipper proposal. Gore announced that jurisdiction over crypto exports would move to the Commerce Dept; that the export embargo on 56-bit DES would be lifted in part for two years only; that to be approved for export firms must submit a detailed proposal describing how they will move towards key escrow; that the new regulations would go into effect on January 1. The true problem with this plan is that 56-bit DES is woefully inadequate. But much of the media coverage I've read of the plan doesn't even mention that. Take Elizabeth Corcoran's article, which ran above the fold on the front page in today's Washington Post. (It's what almost certainly prompted Gore's office to move the announcement to today rather than hold it later this week.) The thrust of the article is that the administration's new proposal balances the needs of privacy, business, and law enforcement. But it doesn't. The Feds, foreign governments, and determined attackers can crack anything encrypted with 56-bit DES -- the strongest crypto that can be exported under the plan. This vital fact appears nowhere in the Post article. That's why Bruce Schneier, author of Applied Cryptography, recommends against using DES in favor of a more secure algorithm. According to Schneier: "A brute-force DES-cracking machine [designed by Michael Wiener] that can find a key in an average of 3.5 hours cost only $1 million in 1993." More recently, in January 1996 an ad hoc group of renowned cryptographers including Matt Blaze, Whitfield Diffie, Ronald Rivest and Schneier, released a report going even further. They said: "To provide adequate protection against the most serious threats - well-funded commercial enterprises or government intelligence agencies - keys used to protect data today should be at least 75 bits long. To protect information adequately for the next 20 years in the face of expected advances in computing power, keys in newly-deployed systems should be at least 90 bits long." What's even more disturbing is what the administration might do next. After the roundtable broke up, I chatted with Michael Vadis, one of the assistant deputy attorneys general who oversees national security issues. He said an international consensus is forming that terrorists can use crypto; therefore crypto must be controlled. The U.S. is certainly pushing this line at the OECD talks. "But it just takes one country to decide to export strong crypto," I said. "You're missing something," said Vadis. "What?" I asked. "Unless you're talking about import restrictions." "Exactly," he said. -Declan ******* Some background: Linkname: Brock Meeks on White House plan -- 6 Sep 96 Filename: http://www.muckraker.com/muckraker/96/36/index4a.html ******** http://www.washingtonpost.com/wp-srv/WPlate/1996-10/01/041L-100196-idx.html U.S. TO EASE ENCRYPTION RESTRICTIONS Privacy Advocates Wary of Proposal For Software Exports By Elizabeth Corcoran Washington Post Staff Writer Tuesday, October 1 1996; Page A01 The Washington Post The Clinton administration is cutting off an emotional four-year-old debate with the computer industry over the export of information-scrambling technology with a plan that it says will help U.S. companies boost sales overseas and still allow law enforcement agencies to unscramble messages, officials said yesterday. President Clinton has decided to sign an executive order that changes the rules restricting the overseas sale of the technology, the officials said. Although the full details of the plan had yet to be revealed, privacy advocates and some industry executives contended that it would be difficult to put into practice. Under current rules, companies can sell only relatively easy-to-crack scrambling technology. Under the plan, they would get permission to export somewhat more sophisticated versions of the software and hardware, which prevents eavesdroppers from looking at information. The issue has caused enormous friction between the government and computer industry and privacy groups, which contend that keeping any restrictions in place will harm the protection of personal information everywhere and slow the development of on-line commerce, which relies on keeping credit card numbers and other sensitive information secure. The administration counters that it has come a long way in meeting such objections. However, last night some companies and privacy advocates were still worried that the constraints will leave U.S. companies at a disadvantage abroad and will not ensure that individuals will be able to protect their communications. The government's plan preserves what has been its unnegotiable cornerstone since the debate began in the early day of the Clinton administration -- that law enforcement officials must have the means for peeking at encrypted information when they are properly equipped with court authorization. Earlier versions of the plan tightly limited what kinds of technology could be sold abroad. They also called for makers of encryption technology to deposit "keys" with approved third parties so that law enforcement authorities could decode material. The new plan doesn't specify who would have the keys. Last night, several companies, led by International Business Machines Corp., said they have a technical plan that they believe could comply with the new rules on keys. [...] Industry officials say they ultimately want to be able to use the most sophisticated encryption technology available. "It's really critical to doing business around the world," said an IBM source. "But governments exist. It's a balancing act . . . to satisfy the needs of the governments and make sure that markets and individuals trust the integrity of what's being sent over the networks." [...]
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Date: Tue, 1 Oct 1996 14:56:21 -0700 (PDT) From: Declan McCullagh <declan@well.com>
"What?" I asked. "Unless you're talking about import restrictions."
"Exactly," he said.
-Declan
I don't doubt that they can do this if they really want to, but I wonder what legal basis they will use for import restrictions. Are there any current import restrictions for products on can legally manufacture, sell, and use in the United States? Thanks.
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On Tue, 1 Oct 1996, John Anonymous MacDonald wrote:
From: Declan McCullagh <declan@well.com>
"What?" I asked. "Unless you're talking about import restrictions."
"Exactly," he said.
-Declan
I don't doubt that they can do this if they really want to, but I wonder what legal basis they will use for import restrictions.
Public safety.
Are there any current import restrictions for products on can legally manufacture, sell, and use in the United States?
Sure. Firearms. The Gun Control Act of 1968 bans the importation of supposedly "cheap" firearms that can to this day (though this is about to change) legally be manufacturered and sold in the US. For the political novices, here is a brief explanation of the often overlooked cryptography/"munitions" connection. A high level of firearms ownership in the population, similarly to a high penetration of crypto software, puts an upper boundary on what a government can do to its citizens. The first order of any government wishing to go beyond this border must therefore be to dramatically reduce the level of gun ownership (and crypto, but that is relatively new invention.) Consequently, one of the first laws the Fuhrer had passed was the Firearms Control Act of 1933. The USG, also intend on exceeding said boundary (to what degree remains to be seen) followed his lead in passing the Gun Control Act of 1968, copying much of the 1933 law, often verbatim. This should come as no surprise, given the fact that the author of the 1968 Act was working of a translation of the 1933 law that he requested from the Library of Congress. Once the concept of gun control had been established, it could be expanded on in the future and has been so to this day. What does all that have to do with crypto? It is the *same* issue. In the government's view, crypto is a danger to their future plans, just as firearms are. Do you think it is a coincidence that crypto is listed as a munition? Think about it for just a moment. Crypto is a weapon in the hands of the people. And that's what Cypherpunks is all about. Starting from import restrictions, you will see restrictions on size of keys (=maximum rounds in the magazine, now set at 10, proposed to be lowered to six), who may own it (no felons, people convicted of certain misdemeanors), who may sell it and how it can be purchased (must provide identification, sales will be logged). I guess you can figure out the rest. --Lucky
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I don't doubt that they can do this if they really want to, but I wonder what legal basis they will use for import restrictions.
Are there any current import restrictions for products on can legally manufacture, sell, and use in the United States?
While I'd wager that this would be a violation of GATT's competition clause, since it would favor domestic firms over foreign ones, there is a loophole in GATT for national security that could be invoked. Ben. ____ Ben Samman.................................................ben@edelweb.fr Paris, France Illudium Q36 Explosive Space Modulator
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Date: Tue, 1 Oct 1996 14:56:21 -0700 (PDT) From: Declan McCullagh <declan@well.com>
"What?" I asked. "Unless you're talking about import restrictions."
"Exactly," he said.
-Declan
I don't doubt that they can do this if they really want to, but I wonder what legal basis they will use for import restrictions.
Are there any current import restrictions for products on can legally manufacture, sell, and use in the United States?
As of now, there are no restrictions on importation and utilization of any crypto in the United States. However, if certain people have their way, this will change quickly.
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At 8:50 PM -0700 10/1/96, John Anonymous MacDonald wrote:
I don't doubt that they can do this if they really want to, but I wonder what legal basis they will use for import restrictions.
Are there any current import restrictions for products on can legally manufacture, sell, and use in the United States?
Automobiles, computers, chips, steel, tobacco, televisions.... All have had, or still have, various "import restrictions." Sometimes quotas, sometimes heavy duties, sometimes complete bans. Sometimes the rationale was that foreign nations were "dumping," but often the real rationale was protectionism. (This may not have been the type of example the questioner was asking about, but it fits the definition of "import restrictions." In fact, the whole raison d'etre of "U.S. Customs" is to control imports as well as exports, and certainly not just "illegal imports.") There are also various animals which may not be imported, various agricultural products which may not, etc., even if the animals and agricultural products may be found in the U.S. (Examples: various reptiles, tropical birds, endangered species, etc.) --Tim May We got computers, we're tapping phone lines, I know that that ain't allowed. ---------:---------:---------:---------:---------:---------:---------:---- Timothy C. May | Crypto Anarchy: encryption, digital money, tcmay@got.net 408-728-0152 | anonymous networks, digital pseudonyms, zero W.A.S.T.E.: Corralitos, CA | knowledge, reputations, information markets, Higher Power: 2^1,257,787-1 | black markets, collapse of governments. "National borders aren't even speed bumps on the information superhighway."
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Declan wrote:
I just got back from the White House, where Gore's office held a roundtable plugging the administration's long-awaited and already widely-derided Return of Clipper proposal.
Gore announced that jurisdiction over crypto exports would move to the Commerce Dept; that the export embargo on 56-bit DES would be lifted in part for two years only; that to be approved for export firms must submit a detailed proposal describing how they will move towards key escrow; that the new regulations would go into effect on January 1.
Although I didn't change the title of this thread, I must disagree. This is a brilliant move by the government. They hold a (small) carrot out to industry: You can export marginally stronger crypto for 2 years, _if_ you develop a 'key recovery' system. At the end of the two years, they tell computer companies: Either you implement your system, or you stop exporting your products. If we don't like the system that you come up with, we won't approve it; and you can't export your (by then) existing products any more. The computer industry has to pay the costs for developing this system, _and_, since they developed it, it is really hard for them to complain about the details of it. Somebody in Washington has a lot on the ball. And lots of people are falling for it: Apple, Atalla, DEC, Groupe Bull, HP, IBM, NCR, RSA, Sun, TIS, and UPS, to name a few. -- Marshall Marshall Clow Aladdin Systems <mailto:mclow@mailhost2.csusm.edu> "We're not gonna take it/Never did and never will We're not gonna take it/Gonna break it, gonna shake it, let's forget it better still" -- The Who, "Tommy"
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On Sun, 6 Oct 1996, Marshall Clow wrote:
This is a brilliant move by the government.
They hold a (small) carrot out to industry: You can export marginally stronger crypto for 2 years, _if_ you develop a 'key recovery' system.
At the end of the two years, they tell computer companies: Either you implement your system, or you stop exporting your products. If we don't like the system that you come up with, we won't approve it; and you can't export your (by then) existing products any more.
The computer industry has to pay the costs for developing this system, _and_, since they developed it, it is really hard for them to complain about the details of it.
Somebody in Washington has a lot on the ball.
Much of this is Gorelick and her fledglings doings.
-- Marshall
Marshall Clow Aladdin Systems <mailto:mclow@mailhost2.csusm.edu>
-- I hate lightning - finger for public key - Vote Monarchist unicorn@schloss.li
participants (8)
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Ben
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Black Unicorn
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Declan McCullagh
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Douglas R. Floyd
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Lucky Green
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Marshall Clow
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nobody@cypherpunks.ca
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Timothy C. May