CSPP Welcomes Administration Announcement on Encryption.

WASHINGTON, D.C.--(BUSINESS WIRE)--Sept. 16, 1998--The Computer Systems Policy Project (CSPP) - a coalition of the CEO's of the twelve leading computer manufacturers - welcomed the Administration's actions to update export controls on encryption products. The Administration's initiative would substantially ease controls on exports of strong encryption products.

"The spread of strong encryption is essential to promoting electronic commerce and protecting individuals' privacy on the Internet," said Lewis E. Platt, chairman, president and chief executive officer of Hewlett-Packard Company and chairman of CSPP. "We recognize the need to pursue these goals without endangering public safety or national security."

While the Administration's initiative does not solve all of the problems concerning wide spread security for electronic commerce and communications, it would facilitate the export of strong encryption to trusted users, such as subsidiaries of U.S. firms abroad, insurance, health and medical organizations, and on-line merchants.

"We welcome the Administration's initiative as a step in the right direction to enable U.S. companies to provide security solutions for our customers," said Scott McNealy, chairman and chief executive officer of Sun Microsystems and co-chair of CSPP's Technology Controls Committee. "A secure network environment will provide benefits to our economy that go beyond electronic commerce, and enable such positive advances as telemedicine and long-distance learning that will improve quality of life."

"We are pleased that the Administration honored its commitment to release its encryption policy in the month of September," said Lawrence A. Weinbach, chairman, president and chief executive officer of Unisys Corporation and co-chair of CSPP's Technology Controls Committee. "It is equally important that the Administration meet its November deadline for issuing regulations that deliver on the promise of today's announcement. We look forward to working with the Administration over the next two months to meet that objective."

CSPP members include Apple Computer, Compaq Computer Corporation, Data General Corporation, Dell Computer Corporation, Hewlett-Packard Company, IBM Corporation, Intel Corporation, NCR Corporation, Silicon Graphics, Stratus Computer, Sun Microsystems, and Unisys Corporation.