IP: Full Statement on "Crypto Ambassador"

[Dave Farber <farber () cis upenn edu>]

Tnks to "Stewart Baker" <sbaker () mail steptoe com>


     THE WHITE HOUSE
     
     Office of the Vice President
     
     FOR IMMEDIATE RELEASE -- FRIDAY, November 15, 1996
     
     VICE PRESIDENT ANNOUNCES SPECIAL ENVOY FOR CRYPTOGRAPHY
     President Signs Executive Order Transferring Jurisdiction of Encryption 
     Technology
     
     WASHINGTON -- Vice President Gore today (11/15) announced that President 
     Clinton has taken two significant actions to implement the encryption 
     export liberalization plan announced in October.
     
     First, President Clinton has signed an executive order directing the 
     transfer of jurisdiction for the export control of commercial encryption 
     products from the State Department to the Commerce Department.  Second, 
     President Clinton has designated Ambassador David L. Aaron as Special
Envoy 
     for Cryptography.
     
     "We are moving forward to implement the encryption export liberalization 
     plan that I announced in October," said Vice President Gore.  "These two 
     actions will help to promote the growth of international electronic 
     commerce and robust secure global communications in a manner that
protects 
     the public safety and our national security."
     
     On October 1, 1996, Vice President Gore announced an Administration
plan to 
     make it easier for Americans to use stronger encryption products --
whether 
     at home or abroad -- to protect their privacy, intellectual property and 
     other valuable information.  The plan comprises a comprehensive set of 
     actions to promote the development of key recovery products and an 
     encryption key management infrastructure.  Specifically, it allows the 
     export of 56-bit key length encryption products under a general license 
     contingent upon industry commitments to build and market future products 
     that support key recovery.  It also called for transferring jurisdiction 
     for controlling the export of commercial encryption technology from the 
     State Department to the Commerce Department.
     
     Key recovery presumes that a trusted party (such as a bank or, in some 
     cases, a party internal to the user's organization) could recover a 
     confidentiality key to the encrypted data for the user or for law 
     enforcement officials acting under proper court authority.
     
     The Executive Order, "Administration of Export Controls on Encryption 
     Products," and a Presidential Memorandum on Encryption Export Policy, 
     signed by President Clinton today, directs the transfer of
jurisdiction for 
     the export control of commercial encryption products from the State 
     Department to the Commerce Department.  The transfer becomes effective
upon 
     promulgation of regulations by the Commerce Department, expected
before the 
     end of the year.
     
     This action subjects licensing application decisions to strict time
lines 
     for governmental response, while providing for interagency
consultation on 
     those decisions.  Under the executive order, concerned agencies will
have 
     the opportunity to participate in Commerce Department licensing
decisions.  
     No agency will have a veto over decisions to export encryption
products.  
     The computer and communications industries have called for the
jurisdiction 
     transfer, and it was recommended in the recent report of the National 
     Research Council.
     
     Vice President Gore also announced today that President Clinton has 
     designated Ambassador David L. Aaron as Special Envoy for Cryptography, 
     with the responsibility to promote the growth of international
electronic 
     commerce and robust, secure global communications in a manner that
protects 
     the public safety and national security.
     
     Ambassador Aaron will carry out his responsibilities as Special Envoy
while 
     retaining his position as the United States Permanent Representative
to the 
     Organization for Economic Cooperation and Development (OECD) in Paris.
 As 
     special Envoy, Ambassador Aaron will promote international cooperation, 
     coordinate U.S. contacts with foreign governments on encryption
matters and 
     provide a focal point for identifying and resolving bilateral and 
     multilateral encryption issues.
     
     Ambassador Aaron has served in both government and the private sector.
 He 
     has been a member of the boards of several major private sector 
     organizations, and served as Deputy National Security Adviser to
President 
     Jimmy Carter.  He has been the Permanent Representative at the OECD
since 
     1993.