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Cylink Licenses Encryption Technology to Major Corporations.


SUNNYVALE, Calif.--(BUSINESS WIRE)--Nov. 7, 1995--Cylink Corp. has licensed its Stanford patents (Hellman-Merkel, Diffie-Hellman) to Atalla (a Tandem Company), General Magic, Inc. and Intel Corp.

These licenses allow access to all implementations of Public Key cryptography An encryption method that uses a two-part key: a public key and a private key. To send an encrypted message to someone, you use the recipient's public key, which can be sent to you via regular e-mail or made available on any public Web site or venue. , including Diffie-Hellman key exchange Diffie-Hellman (D-H) key exchange is a cryptographic protocol that allows two parties that have no prior knowledge of each other to jointly establish a shared secret key over an insecure communications channel.  and Digital Signature Standard (DSS (1) (Digital Signature Standard) A National Security Administration standard for authenticating an electronic message. See RSA and digital signature.

(2) (Digital Satellite S
). The license agreements follow a recent ruling by an arbitration panel arbitration panel

A group of individuals charged with resolving a dispute between individuals and/or organizations. Arbitration panels to resolve investment disputes are sponsored by self-regulatory organizations such as NASD.
 in which it was determined that Cylink is the only company which may license the Stanford patents.

Intel and Atalla have licensed full rights to the Stanford patents on a fixed fee, royalty-free basis -- an unprecedented practice in the Public Key cryptographic market. General Magic has licensed Public Key to continue their use of the RSA (1) (Rural Service Area) See MSA.

(2) (Rivest-Shamir-Adleman) A highly secure cryptography method by RSA Security, Inc., Bedford, MA (www.rsa.com), a division of EMC Corporation since 2006. It uses a two-part key.
 implementation.

"Our goal is to open up the market and give developers a better, more cost-effective alternative," said David Morris David Morris may refer to:
  • David Morris, one of the two defendants in the McLibel case.
  • David Morris (politician), Welsh politician and member of the European Parliament.
  • David Morris, WBO featherweight boxer.
, vice president of marketing, Cylink. In today's market, where sales of a single software product can number in the millions of units, the practice by some vendors of charging a per copy royalty restricts the widespread adoption of this critical security technology. "Developers now have the `freedom of choice' in selecting a Public Key vendor, and when choosing Cylink they need only to pay a flat licensing fee for rights to the technology."

The Stanford patents cover the field of Public Key cryptography, a security technique that ensures privacy, authentication (1) Verifying the integrity of a transmitted message. See message integrity, e-mail authentication and MAC.

(2) Verifying the identity of a user logging into a network.
 and the integrity of electronic information. Uniform adoption of the Stanford technology is key to ensuring security for electronic information exchanges, including electronic commerce and banking.

Atalla and Intel both will be incorporating Cylink's technology into some of their upcoming products.

"Intel is excited about the future of Public Key cryptography, and applauds Cylink for its innovative licensing program. The Stanford patents are the foundation for a technology that will protect business and consumer data on the information highway," said Steve Ellis, a manager in the Advanced Personal Communications Division at Intel.

"Acquiring the license to the Stanford patents allows Atalla to use this innovative technology to deliver products that not only make open networks safer for electronic commerce, but also lower the overall cost of managing the security function," said Gary Sabo, vice president of product management & marketing, Atalla.

General Magic is currently using encryption technology in its Magic Cap(TM) software platform and Telescript(TM) products. The Magic Cap software platform, built into personal communicators A concept for a handheld device that was co-created by Toronto engineer Robert J. Fraser in 1991, who also coined the term. The personal communicator was conceived to provide always-on, wireless connectivity to a nationwide, packet-switched communications network that would enable mobile  or capable of running as an application on personal computers, helps people keep in touch by integrating electronic mail, fax, telephone, paging, infrared beaming and other methods of communicating.

Telescript technology includes an object-oriented remote programming language and is designed to enable users to launch software surrogates, called agents, into the world of electronic services to search for and monitor information and to interact with services as well as other agents on a user's behalf.

"Cylink is clearly trying to be fair and not disrupt the business of RSA licensees which have relied on the rights they thought they had received in their agreements with RSA," said Michael Stern Michael Stern may be:
  • Michael Stern (politician) (born 1942), British Conservative Party politician
  • Michael Stern (conductor) (born 1959), American musician
  • Michael Stern (born 1947), American writer in team Jane and Michael Stern
, general counsel, General Magic. "General Magic appreciates the reasonableness of Cylink's proposed terms."

For further information regarding Stanford patent rights from Cylink, contact Robert Fougner, general counsel of Cylink at 408/735-5893.

Cylink Corp. is the world's largest provider of enterprise-wide network information security products and wireless communications wireless communications

System using radio-frequency, infrared, microwave, or other types of electromagnetic or acoustic waves in place of wires, cables, or fibre optics to transmit signals or data.
. Headquartered in Sunnyvale, Calif., CYLINK serves fortune 500 companies, multinational corporations

Main article: multinational corporations

  • ABB
  • ABN-Amro
  • Accenture
  • Aditya Birla
  • Affiliated Computer Services Inc
  • Airbus
  • Allianz
  • Altria Group
  • American Express
  • Akzo Nobel
  • Apple Inc.
, large financial institutions, U.S. and international government agencies.

CONTACT: ShapeTechnology

Kim Rose, 408/733-2505
COPYRIGHT 1995 Business Wire
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1995, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

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Publication:Business Wire
Date:Nov 7, 1995
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