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ÐÓ 81ÓÌDEPARTMENT€OF€COMMERCEà ” àà ì àà D àà œ àÐ ð˜ ÐÌBureau€of€Industry€and€SecurityÐ ˆ 0 ÐÌ15€Ô_ÔCFRÔ_Ô€Parts€732,€734,€738,€740,€742,€748,€770,€772,€and€774Ð  È  ÐÌÔ‡@X÷çXXX÷çÔ[Docket€No.€€020502105„2105„01]Ô#†X÷çXX@X÷çø#ÔÐ ¸` ÐÌÔ_ÔRINÔ_Ôà0 4 à0694„AC61ÐPø4ü!4ü! ÐÌRevisions€and€Clarifications€to€Encryption€Controls€in€the€Export€AdministrationÐ è ÐRegulations€„„€Implementation€of€Changes€in€Category€5,€Part€2€(ð ðInformationÐ ´\ ÐSecurityðð),€of€the€Ô_ÔWassenaarÔ_Ô€Arrangement€List€of€Dual„use€Goods€and€OtherÐ €( ÐTechnologiesÐ Lô ÐÌAGENCY:€€Bureau€of€Industry€and€Security,€CommerceÐ ä Œ" ÐÌACTION:€€Interim€Final€RuleÐ |$$"& ÐÌSUMMARY:€€This€rule€amends€the€Export€Administration€Regulations€(EAR)€to€reflectÐ (¼%* Ðchanges€made€to€the€Ô_ÔWassenaarÔ_Ô€Arrangement€List€of€dual„use€items,€and€to€update€andÐ à)ˆ', Ðclarify€other€provisions€of€the€EAR€pertaining€to€encryption€export€controls.ò ò€ó óConsistentÐ ¬+T). Ðwith€the€Ô_ÔWassenaarÔ_Ô€changes,€Note€No.€3€(ð ðCryptography€Noteðð)€to€Category€5€„„€part€II€Ð x- +0 ÐÑjhšÑâ jâÑ8€3µ3ôòd¿dÈ8Ñâ jâÑ  ÑÔ_Ô(Information€Security)€of€the€Commerce€Control€List€(CCL)€is€amended€to€allow€massÐ ° Ðmarket€treatment€for€all€encryption€products,€including€products€with€symmetricÐ |Ì Ðalgorithms€employing€key€lengths€greater€than€64„bits,€that€previously€were€not€eligibleÐ H˜ Ðfor€mass€market€treatment.€€As€a€result,€for€the€first€time,€mass€market€encryptionÐ  d Ðcommodities€and€software€with€symmetric€key€lengths€exceeding€64€bits€may€beÐ à 0 Ðexported€and€reexported€to€most€destinations€without€a€license€under€Export€ControlÐ ¬ ü  ÐClassification€Numbers€(ECCNs)€5A992€and€5D992,€following€a€30„day€review€by€theÐ xÈ  ÐBureau€of€Industry€and€Security€(BIS)€(formerly€the€Bureau€of€Export€AdministrationÐ D”  Ð(BXA)).€€In€addition,€thisò ò€ó órule,€for€the€first€time,€allows€equipment€controlled€underÐ ` ÐECCN€5B002€to€be€exported€and€reexported€under€License€Exception€ENC.€€For€all€otherÐ Ü, Ðinformation€security€items,€including€encryption€source€code€that€would€be€consideredÐ ¨ø Ðpublicly€available,€this€rule€updates€and€clarifies€existing€notification,€review,€licensingÐ tÄ Ðand€post„export€reporting€requirements.€€Restrictions€on€exports€and€reexports€ofÐ @ Ðencryption€items€to€terrorist„supporting€states€(Cuba,€Iran,€Iraq,€Libya,€North€Korea,Ð  \ ÐSudan€and€Syria),€their€nationals€and€other€sanctioned€persons€(individuals€and€entities)Ð Ø( Ðare€not€changed€by€this€rule.Ð ¤ô ÐÌDATES:€€This€rule€is€effective€(DATE€OF€PUBLICATION).€Ð <#Œ" ÐÌFOR€FURTHER€INFORMATION€CONTACT:€Norman€E.€LaCroix,€Office€of€StrategicÐ Ô&$"& ÐTrade€and€Foreign€Policy€Controls,€Bureau€of€Industry€and€Security,€Telephone:€(202)Ð  (ð#( Ð482„4439.Ð l*¼%* ÐÐ 8,ˆ', ЇSUPPLEMENTARY€INFORMATION:Ð ° ÐÌÝ‚ÿÿÿÝÔ€X÷çXXX÷çÔÔÔÔ  ÔÝ  ÝÝ‚ÿÿÿïÝÝ  ÝBACKGROUND݃ÿÿïFÝÔ Ý .ԌРH˜ ЌԀX÷çXXX÷çÔÔÔÝ  ÝÌOn€October€19,€2000,€the€United€States€updated€its€encryption€export€regulations€toÐ à 0 Ðprovide€consistent€treatment€with€regulations€adopted€by€the€European€Union€(EU)Ð ¬ ü  Ðeasing€export€and€reexport€restrictions€among€the€15€EU€member€states€and€Australia,Ð xÈ  ÐCzech€Republic,€Hungary,€Japan,€New€Zealand,€Norway,€Polandò ò€ó óand€Switzerland.€Ð D”  ÐSubsequent€to€the€publication€of€this€amendment€to€the€Export€AdministrationÐ ` ÐRegulations€(EAR),€the€member€nations€of€the€Wassenaar€Arrangement€agreed€to€removeÐ Ü, Ðkey€length€restrictions€on€encryption€hardware€and€software€that€is€subject€to€theÐ ¨ø ÐCryptography€Note€(Note€No.€3)€€to€Category€5€„„€part€II€(Information€Security)€of€theÐ tÄ ÐCommerce€Control€List€(CCL).€€This€action€effectively€removed€ð ðmass€marketððÐ @ Ðencryption€products€from€the€list€of€dual„use€items€controlled€by€the€WassenaarÐ  \ ÐArrangement.Ð Ø( ÐÌThe€U.S.€encryption€export€control€policy€continues€to€rest€on€three€principles:€€review€ofÐ p!À  Ðencryption€products€prior€to€sale,€streamlined€post„export€reporting,€and€license€review€ofÐ <#Œ" Ðcertain€exports€of€strong€encryption€to€foreign€government€end„users.€€Consistent€withÐ %X $ Ðthese€principles,€this€amendment€updates€the€U.S.€encryption€export€control€policy€inÐ Ô&$"& Ðseveral€areas.Ð  (ð#( Ðâ âÐ l*¼%* ÐFor€ð ðmass€marketðð€encryption€hardware€and€software€products,€this€rule€removesÐ ° Ðâ âEncryption€Item€(ð ðEIðð)€and€National€Security€(ð ðNSðð)Ô€ôµòXX÷çÔ€Ô€X÷çXòôµÔ€controls€on€such€products€after€aÐ |Ì Ð30„day€reviewò ò.€ó ó€As€a€result€of€the€removal€these€controls,€these€items€may€be€exportedÐ H˜ Ðwithout€regard€to€any€post„shipment€reporting€requirements.€€In€addition,€the€standard€òòdeÐ  d Ðminimis€óótreatment€for€foreign€products€containing€such€encryption€products€apply,€i.e.,Ð à 0 Ðexports€from€a€foreign€country€of€foreign„made€products€containingò òó ó€25€ò òó ópercent€or€less€ofÐ ¬ ü  Ðcontrolled€U.S.€content€are€not€subject€to€the€EAR,€except€to€embargoed€and€designatedÐ xÈ  Ðterrorist€supporting€countries.€€For€other€encryption€items,€this€rule€clarifies€the€existingÐ D”  Ðprovisions€under€License€Exceptions€ENC€and€TSU.€€In€addition,€this€rule€clarifiesÐ ` Ðexisting€review€requirements€for€certain€encryption€items€such€as€commercial€encryptionÐ Ü, Ðproducts€that€implement€elliptic€curve€cryptography,€perform€short„range€wirelessÐ ¨ø Ðfunctions,€or€incorporate€encryption€source€code€that€would€be€considered€publiclyÐ tÄ Ðavailable.€€Finally,€this€rule€amends€the€EAR€by€adding€new€paragraph€headers,€updatingÐ @ Ðcross„references€between€relevant€sections€of€the€EAR,€and€restructuring€existingÐ  \ Ðprovisions€for€clarity.Ð Ø( ÐÌThis€rule€does€not€change€any€other€existing€licensing€requirements€for€encryption€items,Ð p!À  Ðincluding€encryption€technology€and€items€that€provide€an€open€cryptographic€interfaceÐ <#Œ" Ð(OCI).Ð %X $ ÐÌThis€action€will€continue€to€protect€our€national€security€and€foreign€policy€interestsÐ  (ð#( Ðâ âwithout€impairing€the€ability€of€U.S.€companies€to€compete€effectively€in€global€Ð l*¼%* Ðmarkets.€€It€also€will€promote€secure€electronic€commerce€and€privacy,€and€help€toÐ ° Ðâ âprotect€our€critical€infrastructure.Ð |Ì ÐÌThe€EAR€is€amended€as€follows:Ð  d ÐÌ1.€€òòRevised€instructions€for€submitting€encryption€items€for€review€to€determineÐ ¬ ü  Ðeligibility€under€License€Exception€ENC€or€for€ð ðmass€marketðð€treatmentóó.€€Except€toÐ xÈ  Ðembargoed€or€designated€terrorist€supporting€countries€and€sanctioned€persons,€you€mayÐ D”  Ðbe€able€to€export€and€reexport€your€encryption€item€without€a€license,€after€your€item€isÐ ` Ðreviewed€by€the€Bureau€of€Industry€and€Security€(BIS)€and€the€ENC€Encryption€RequestÐ Ü, ÐCoordinator.€€For€encryption€items€under€License€Exception€ENC,€and€for€mass€marketÐ ¨ø Ðencryption€products€with€symmetric€key€length€exceeding€64€bits,€a€review€request€mustÐ tÄ Ðcontain:€€(1)€a€completed€BIS„748P€hardcopy€form€or€an€equivalent€electronic€SNAPÐ @ Ðform€(both€capture€general€information€about€the€review€request,€such€as€the€name€of€theÐ  \ Ðitem,€manufacturer,€ECCN€and€a€brief€commodity€description),€and€(2)€supportÐ Ø( Ðdocumentation€containing€technical€specifications€of€the€item,€including€answers€to€theÐ ¤ô Ðquestions€set€forth€in€Supplement€No.€6€to€part€742.€€To€clarify€that€separateÐ p!À  Ðclassification€by€BIS€is€not€required,€previous€references€to€ð ðclassificationðð€in€ðððð732.2,Ð <#Œ" Ð732.3,€734.4,€740.17,€742.15,€Supplement€No.€6€to€Part€742,€748.3€and€770.2€are€revisedÐ %X $ Ðto€read€ð ðreviewðð.€€Exporters€are€instructed€to€insert€the€phrase€ð ðMass€market€encryptionððÐ Ô&$"& Ðor€ð ðLicense€Exception€ENCðð€(whichever€is€applicable)€in€Block€9€(ð ðSpecial€Purposeðð)€ofÐ  (ð#( Ðthe€application€form.€€Failure€to€insert€the€appropriate€phrase€may€delay€receipt€of€yourÐ l*¼%* Ðrequest€by€BIS.€(For€compatibility€with€current€application€processing€systems,€exportersÐ 8,ˆ', Ðshould€continue€to€place€an€ð ðXðð€in€the€box€marked€ð ðClassification€Requestðð€in€Block€5:Ð ° Ðð ðType€of€Applicationðð.)€A€copy€of€your€review€request€must€also€be€sent€to€the€ENCÐ |Ì ÐEncryption€Request€Coordinator,€via€courier€or€mail.€€€Insufficient€or€missingÐ H˜ Ðdocumentation€may€delay€or€interrupt€your€authority€to€export€and€reexport€yourÐ  d Ðencryption€item.€€A€fax€number€is€now€published€for€review€requests€submitted€to€BISÐ à 0 Ðvia€SNAP.€€Refer€to€Supplement€No.€6€to€part€742€and€ðððð740.17(d),€742.15(b)(2)€andÐ ¬ ü  Ð748.3(d)€for€information€on€submitting€encryption€review€requests.Ð xÈ  ÐÌ2.€€òòClarification€of€review€and€notification€requirementsóó.€€Except€as€elsewhere€specifiedÐ ` Ðin€the€EAR,€a€license€or€review€by€BIS€is€required€for€encryption€items€with€symmetricÐ Ü, Ðkey€length€exceeding€64€bits.€€In€multiple€sections,€the€EAR€is€amended€to€clarify€when€aÐ ¨ø Ðreview€or€notification€is€(or€is€not)€required.Ð tÄ Ѐ€€€€a.€€òòClarification€of€when€no€review€or€notification€is€requiredóó.€€Ð @ Ѐ€€€€€€€€€i.€€òòU.S.€companies€and€subsidiariesóó.€€Items€controlled€under€Category€5€„„€part€II€ofÐ  \ Ðthe€Commerce€Control€List€(ECCNs€5A002,€5B002,€5D002,€5E002,€5A992,€5D992€andÐ Ø( Ð5E992)€may€be€exported€and€reexported,€without€review€or€notification,€to€U.S.Ð ¤ô Ðcompanies€and€their€subsidiaries€for€internal€use,€including€the€development€of€newÐ p!À  Ðproducts€inside€and€outside€the€United€States€by€their€employees,€contractors€and€interns.€Ð <#Œ" ÐExisting€restrictions€on€exports€and€reexports€of€encryption€items€to€the€countries€andÐ %X $ Ðforeign€nationals€of€Cuba,€Iran,€Iraq,€Libya,€North€Korea,€Syria€or€Sudan€continue€toÐ Ô&$"& Ðapply.€€Refer€to€ðððð740.17(b)(1)€and€742.15(b)(3)(i)€of€the€EAR.€€Exports€and€reexports€toÐ  (ð#( Ðâ âforeign€companies€with€subsidiary€locations€in€the€United€States,€and€to€foreign€strategicÐ l*¼%* Ðpartners€of€U.S.€companies,€will€continue€to€be€favorably€considered€under€a€license€orÐ ° Ðan€Encryption€Licensing€Arrangement€(ELA).€€Refer€to€ðð742.15(a)€of€the€EAR.ò òÐ |Ì Ðâ âó ó€€€€€€€€€€ii.€€òòCertain€short„range€wireless€itemsóó.€€No€review€or€notification€is€required€forÐ H˜ Ðshort„range€wireless€products€€(e.g.€with€an€operating€range€typically€not€exceeding€100Ð  d Ðmeters)€that€qualify€as€ð ðmass€marketðð€and€are€only€controlled€under€Category€5€„„€part€IIÐ à 0 Ðof€the€CCL€because€they€incorporate€parts€or€components€with€encryption€functionalityÐ ¬ ü  Ðspecified€and€limited€to€short„range€wireless€functions€based€on€such€commercialÐ xÈ  Ðstandards€as€Bluetooth,€Home€Radio€Frequency€(HomeRF)€and€IEEE€802.11b€(ð ðWiFiðð).€Ð D”  ÐThis€provision€for€mass€market€products€is€found€in€ðð742.15(b)(3)(ii).€€A€similar€existingÐ ` Ðprovision€for€ð ðretailðð€short„range€wireless€products€continues€under€License€ExceptionÐ Ü, ÐENC.€€See€ðð740.17(b)(3)(iiiš)(H).Ð ¨ø Ѐ€€€€€€€€€iii.€€òòCertain€items€with€limited€use€of€cryptographyóó.€€This€rule€clarifies€that€noÐ tÄ Ðreview€or€notification€is€required€for€information€security€items€which€employ€limitedÐ @ Ðforms€of€cryptography,€but€which€do€not€perform€encryption€functions€(including€keyÐ  \ Ðmanagement)€controlled€for€ð ðEIðð€reasons€under€ECCNs€5A002,€5D002€or€5E002.€€TheseÐ Ø( Ðitems€are€controlled€under€ECCNs€5A992,€5D992€and€5E992,€regardless€of€bit€length€orÐ ¤ô Ðwhether€they€are€ð ðmass€marketðð.€€See€ðð742.15(b)(3)(iii).€€Such€items€include€items€withÐ p!À  Ðcryptographic€functions€limited€to€authentication€(including€secure€hash€functions€andÐ <#Œ" Ðmessage€authentication€codes)€or€digital€signature,€execution€of€copy€protected€software,Ð %X $ Ðcommercial€civil€cellular€telephones€not€capable€of€end„to„end€encryption,€and€ð ðfinanceÐ Ô&$"& Ðspecificðð€items€specially€designed€and€limited€for€banking€use€or€money€transactionsÐ  (ð#( Ðâ â(e.g.€highly€field„formatted€with€validation€procedures€and€not€easily€diverted€to€otherÐ l*¼%* Ðend„uses).€€Refer€to€the€Related€Controls€and€Technical€Notes€under€ECCN€5A002€in€theÐ ° ÐCCL€(part€774€of€the€EAR)€for€a€complete€list€of€commodities.Ð |Ì Ðâ  €€€€€€€€òòNoteóó:€€Previous€references€specific€to€ð ðfinance€specificðð€items€under€the€ð ðretailððÐ H˜ Ðprovisions€of€License€Exception€ENC€are€removed€for€clarity€(ðð740.17(b)(3)).€€ProductsÐ  d Ðwhich€may€have€end€uses€related€to€financial€operations€(e.g.€supply€chain€management),Ð à 0 Ðbut€which€are€not€limited€by€design€to€banking€use€or€money€transactions,€remain€subjectÐ ¬ ü  Ðto€ð ðEIðð€controls€under€ECCNs€5A002€and€5D002€and€continue€to€be€eligible€for€exportÐ xÈ  Ðand€reexport€as€ð ðretailðð€encryption€commodities€and€software,€after€review€by€BIS€underÐ D”  ÐLicense€Exception€ENC.€Ð ` ÐÌ€€€€€b.€€òòClarification€of€when€a€review€is€required.€€Ð ¨ø Ѐ€€€€€€€€óó€i.€€€òòReview€under€License€Exception€ENC.€€óóEncryption€items€controlled€underÐ tÄ ÐECCNs€5A002,€5D002€and€5E002,€and€equipment€controlled€under€ECCN€5B002,Ð @ Ðrequire€review€by€BIS€prior€to€export€and€reexport€under€the€updated€provisions€ofÐ  \ ÐLicense€Exception€ENC€(ðð740.17€of€the€EAR).€€Once€BIS€receives€the€informationÐ Ø( Ðrequired€for€review€(as€described€in€Supplement€No.€6€to€part€742€of€the€EAR),€you€mayÐ ¤ô Ðexport€and€reexport€all€such€items€(except€cryptanalytic€items€to€government€end„users)Ð p!À  Ðto€organizations€and€companies€located€or€headquartered€in€the€European€Union€plusÐ <#Œ" Ðeight€additional€countries.€€See€ðð740.17(a).€€Thirty€days€after€BIS€registers€your€reviewÐ %X $ Ðrequest,€you€may€export€and€reexport€any€encryption€item,€except€those€which€provide€anÐ Ô&$"& Ðopen€cryptographic€interface€(OCI),€to€any€non„government€end„user€except€those€inÐ  (ð#( ÐCuba,€Iran,€Iraq,€Libya,€North€Korea,€Syria€or€Sudan.€€In€addition,€commodities€andÐ l*¼%* Ðsoftware€that€do€not€qualify€as€ð ðmass€marketðð€but€which€qualify€as€ð ðretailðð€may€beÐ 8,ˆ', Ðexported€and€reexported€to€government€end„users,€once€so€authorized€by€BIS.€€SeeÐ ° Ððð740.17(b)(3)€of€the€EAR€for€the€treatment€of€ð ðretailðð€encryption€commodities€andÐ |Ì Ðsoftware,€and€ðð740.17(b)(2)€for€commodities€and€software€and€that€are€not€eligible€asÐ H˜ Ðretail.€€Products€not€eligible€as€retail€require€a€license€to€government€end„users,€except€asÐ  d Ðauthorized€under€ðð740.17(a).€€Encryption€technology€controlled€under€ECCN€5E002€andÐ à 0 Ðitems€which€provide€an€OCI€are€not€authorized€for€export€or€reexport€underÐ ¬ ü  Ððð740.17(b)(2)€or€(b)(3)€and€require€a€license€to€any€end„user€outside€the€countries€listedÐ xÈ  Ðin€Supplement€No.€3€to€part€740.€€Exports€and€reexports€of€products€reviewed€by€BISÐ D”  Ðunder€License€Exception€ENC€may€require€reporting,€as€described€in€ðð740.17(e).€€Ð ` ÐLicense€Exception€ENC€is€amended€with€new€paragraph€headers€and€updated€text,€forÐ Ü, Ðclarity.Ð ¨ø Ѐ€€€€€€€€€ii.€€òòReview€for€mass€market€encryption€products€exceeding€64€bitsóó.€€EncryptionÐ tÄ Ðcommodities€and€software€that€qualify€for€ð ðmass€marketðð€treatment€under€theÐ @ ÐCryptography€Note€(Note€3)€to€part€II€of€Category€5€of€the€CCL,€and€which€implementÐ  \ Ðencryption€with€symmetric€key€length€exceeding€64„bits,€require€review€by€BIS€prior€toÐ Ø( Ðexport€and€reexport.€€These€No€License€Required€(NLR)€products€are€removed€from€ð ðEIððÐ ¤ô Ðand€ð ðNSðð€controls,€are€controlled€under€ECCNs€5A992€and€5D992,€and€remain€subject€toÐ p!À  Ðthe€EAR.€€Similar€to€encryption€items€under€License€Exception€ENC,€you€mayÐ <#Œ" Ðimmediately€export€and€reexport€>64€bit€mass€market€encryption€products€toÐ %X $ Ðorganizations€and€companies€located€or€headquartered€in€the€European€Union€plus€eightÐ Ô&$"& Ðadditional€countries.€€Thirty€days€after€BIS€receives€your€review€request,€you€may€exportÐ  (ð#( Ðand€reexport€your€mass€market€encryption€product€to€any€end„user€(except€embargoed€orÐ l*¼%* Ðdesignated€terrorist€supporting€countries€and€sanctioned€persons),€without€post„exportÐ 8,ˆ', Ðreporting€or€additional€national€security€review€for€òòde€minimis€óóeligibility.€€All€existingÐ ° Ðrestrictions€and€licensing€requirements€to€embargoed€or€designated€terrorist€supportingÐ |Ì Ðcountries€(Cuba,€Iran,€Iraq,€Libya,€North€Korea,€Sudan€and€Syria)€and€sanctioned€personsÐ H˜ Ðare€continued€by€this€amendment.€€Posting€of€mass€market€encryption€software€on€theÐ  d ÐInternet€(e.g.,€FTP€or€World€Wide€Web€site)€where€it€may€be€downloaded€by€anyoneÐ à 0 Ðwould€not€establish€ð ðknowledgeðð€of€a€prohibited€export€or€reexport.€€In€addition,€suchÐ ¬ ü  Ðposting€would€not€trigger€ð ðred€flagsðð€necessitating€the€affirmative€duty€to€inquire€underÐ xÈ  Ðthe€ð ðKnow€Your€Customerðð€guidance€provided€in€Supplement€No.€3€to€part€732€of€theÐ D”  ÐEAR.€€See€ðð742.15(b)(2)€and€Supplement€No.€6€to€part€742€of€the€EAR€for€requirements,Ð ` Ðprocedures€and€instructions€for€requesting€review.€€See€ðððð€734.2,€734.3,€734.7,€734.8,Ð Ü, Ð734.9,€740.13,€740.13(d)€and€742.15(b)€for€other€revisions€to€the€EAR€which€reflect€theseÐ ¨ø Ðchanges€in€ECCN€and€reasons€for€control€for€>64€bit€mass€market€encryptionÐ tÄ Ðcommodities€and€software.Ð @ ÐÌ€€€€€c.€€òòClarification€of€óó€òòwhen€a€notification€is€required.Ð Ø( Ѐ€€€€€€€€€óói.€€€òòEncryption€source€code€that€would€be€considered€publicly€available,€andÐ ¤ô Ðcorresponding€object€code.óó€€€This€rule€simplifies€U.S.€export€treatment€of€encryptionÐ p!À  Ðsource€code€that€would€be€considered€publicly€available,€by€allowing€all€such€sourceÐ <#Œ" Ðcode€(and€correûÿÿÿdûsponding€object€code)€to€be€exported€and€reexported€under€LicenseÐ %X $ ÐException€TSU€onceò òó ó€notification€(or€a€copy€of€the€source€code)€is€provided€üÿÿÿdüto€BIS,Ð Ô&$"& Ðregardless€of€whether€a€fee€or€royalty€is€charged€for€the€commercial€production€or€sale€ofÐ  (ð#( Ðproducts€developed€using€this€software.€€Refer€to€ðð740.13(e).€€This€rule€further€clarifiesÐ l*¼%* Ðthat€these€license€exception€provisions€do€not€extend€to€any€encryption€software€that€hasÐ 8,ˆ', Ðnot€been€made€publicly€available,€including€such€encryption€software€that€incorporates€orÐ ° Ðis€specially€designed€to€use€publicly€available€encryption€software€components€(ref:Ð |Ì Ððð740.13(e)€(3)).€€Such€encryption€software€may€instead€be€exported€and€reexported€underÐ H˜ ÐLicense€Exception€ENC,€subject€to€the€terms€and€conditions€set€forth€in€ðð740.17€of€theÐ  d ÐEAR.€€See€ðððð740.17(b)(2)(ii)€and€(iii)€for€specific€provisions€relating€to€such€encryptionÐ à 0 Ðsource€code€and€general€purpose€toolkits.€€Previous€references€to€commercial€encryptionÐ ¬ ü  Ðsource€code€under€License€Exception€ENC€(i.e.,€ðð740.17(b)(4)€prior€to€this€amendment)Ð xÈ  Ðare€subsumed€by€these€streamlined€and€clarified€provisions€of€the€EAR.Ð D”  Ðòò€€€€€€€€€óó€ii.€€òò56€bit€encryption€items€(including€512„bit€asymmetric€and€112„bit€elliptic€curveÐ ` Ðalgorithms),€and€mass€market€encryption€products€not€exceeding€64€bits.€€óóThis€ruleÐ Ü, Ðclarifies€that,€in€addition€to€mass€market€encryption€commodities€and€software€with€keyÐ ¨ø Ðlengths€not€exceeding€64€bits€for€the€symmetric€algorithm,€other€encryption€items€withÐ tÄ Ðkey€lengths€not€exceeding€56€bits€for€symmetric€algorithms,€512€bits€for€asymmetric€keyÐ @ Ðexchange€algorithms,€and€112€bits€for€elliptic€curve€algorithms€may€be€immediatelyÐ  \ Ðexported€and€reexported€No€License€Required€(except€to€embargoed€or€designatedÐ Ø( Ðterrorist€supporting€countries€and€sanctioned€persons),€upon€notification€to€BIS.€€SeeÐ ¤ô Ððð742.15(b)(1).Ð p!À  ÐÌThe€EAR€is€further€amended€by€the€following€revisions:Ð %X $ ÐÌ3.€€òòClarification€of€beta€test€software€requirements€in€License€Exception€TMPóó.€€In€ðð740.9Ð  (ð#( Ð(Temporary€imports,€exports€and€reexports€(TMP)),€existing€provisions€for€beta€testÐ l*¼%* Ðencryption€software€are€restructured€for€clarity,€and€new€paragraph€headings€are€added.Ð 8,ˆ', Ї4.€€òòClarification€of€License€Exception€ENC€requirementsóó.€€In€ðð740.17€(EncryptionÐ ° ÐCommodities€and€Software€(ENC)),€existing€provisions€are€restructured€for€clarity,€andÐ |Ì Ðnew€paragraph€headings€are€added.€€Subject€to€the€terms€and€conditions€set€forth€therein,Ð H˜ ÐLicense€Exception€ENC€applies€to€encryption€items€that€do€not€qualify€for€ð ðmass€marketððÐ  d Ðtreatment.Ð à 0 Ѐ€€€€a.€€ðð740.17(a)€(Exports€and€reexports€to€countries€listed€in€Supplement€3€to€part€740)Ð ¬ ü  Ðis€revised€to€allow€the€export€and€reexport€of€equipment€controlled€under€ECCN€5B002Ð xÈ  Ðto€the€European€Union€plus€eight€additional€countries,€under€License€Exception€ENC.€Ð D”  ÐNow,€all€items€controlled€under€ECCNs€5A002,€5B002,€5D002€and€5E002,€exceptÐ ` Ðcryptanalytic€items€to€government€end„users,€are€eligible€under€this€provision€of€theÐ Ü, ÐEAR.€€This€includes€items€that€provide€an€open€cryptographic€interface€(OCI).€€Ð ¨ø Ѐ€€€€b.€€ðð740.17(b)(1)€(Encryption€items€for€U.S.€subsidiaries)€is€revised€to€allowÐ tÄ Ðequipment€controlled€under€ECCN€5B002€to€U.S.€companies€and€their€subsidiaries€underÐ @ ÐLicense€Exception€ENC.€€All€items€controlled€under€ECCNs€5A002,€5B002,€5D002€andÐ  \ Ð5E002,€including€those€which€provide€an€OCI,€are€eligible€under€this€provision€withoutÐ Ø( Ðreview€or€notification.Ð ¤ô Ѐ€€€€c.€€ðð740.17(b)(2)€(Encryption€commodities€and€software€to€non„government€end„Ð p!À  Ðusers)€is€revised€for€clarity.€€All€items€controlled€under€ECCNs€5A002,€5B002€andÐ <#Œ" Ð5D002,€except€items€that€provide€an€OCI,€may€be€exported€to€non„government€end„usersÐ %X $ Ð30€days€after€BIS€receives€a€completed€review€request.€€This€includes€networkÐ Ô&$"& Ðinfrastructure€products,€encryption€source€code€(immediately€eligible€once€the€reviewÐ  (ð#( Ðrequest,€including€a€copy€of€the€source€code,€is€submitted),€general€purpose€toolkits,Ð l*¼%* Ðcryptanalytic€items,€and€other€items€that€do€not€qualify€for€ð ðmass€marketðð€or€ð ðretailððÐ 8,ˆ', Ðtreatment.€€This€amendment€also€clarifies€that€the€EAR€imposes€no€additional€restrictionsÐ ° Ðon€Internet€and€telecommunications€service€providers.€€Exports€and€reexports€of€networkÐ |Ì Ðinfrastructure€commodities,€software€and€technology€to€government€end„users€outside€theÐ H˜ Ðcountries€listed€in€Supplement€No.€3€to€part€740€continue€to€require€a€license.Ð  d Ѐ€€€€d.€€ðð740.17(b)(3)€(Retail€encryption€commodities,€software€and€components€toÐ à 0 Ðgovernment€and€non„government€end„users)€is€revised€and€restructured€for€clarity.€€NewÐ ¬ ü  Ðparagraph€headers€are€added,€and€existing€provisions€are€consolidated.€€This€paragraphÐ xÈ  Ðclarifies€that€the€following€are€among€the€examples€of€encryption€products€eligible€forÐ D”  Ðretail€treatment€under€License€Exception€ENC:Ð ` Ѐ€€€€€€€€€i.€encryption€commodities€and€software€(including€key€management€products)€withÐ Ü, Ðkey€lengths€not€exceeding€64€bits€for€symmetric€algorithms,€1024€bits€for€asymmetricÐ ¨ø Ðalgorithms,€and€160€bits€for€elliptic€curve€algorithms€(see€ðð740.17(b)(3)(ii)(A));Ð tÄ Ѐ€€€€€€€€€ii.€€encryption€commodities€and€software€which€are€limited€to€allowing€foreign„Ð @ Ðdeveloped€encryption€products€to€operate€with€U.S.€products,€or€which€activateÐ  \ Ðencryption€functions€in€other€retail€products€(when€the€encryption€would€otherwiseÐ Ø( Ðremain€inoperable,€ð ðdormantðð€or€disabled)€(see€ðððð740.17(b)(3)(ii)(C)„(D));Ð ¤ô Ѐ€€€€€€€€€iii.€€low„end€virtual€private€networking€(VPN)€equipment€(e.g.€with€encryptedÐ p!À  Ðthroughput€not€exceeding€10€Mbps,€or€supporting€no€more€than€100€concurrent€encryptedÐ <#Œ" Ðtunnels)€(see€ðð740.17(b)(3)(iii)(C));Ð %X $ Ѐ€€€€€€€€€iv.€€applets€and€web€portal€software€implementing€Secure€Socket€Layer€(SSL)Ð Ô&$"& Ðâ âencryption€(see€ðð740.17(b)(3)(iiiš)(F));Ð  (ð#( Ѐ€€€€€€€€€v.€€network€and€security€management€products€designed€for,€bundled€with,€or€pre„Ð ° Ðloaded€on€single€CPU€computers,€low„end€servers€or€retail€networking€products€(seeÐ |Ì Ððð740.17(b)(3)(iiiš)(G));€andÐ H˜ Ðâ  €€€€€€€€vi.€€short„range€wireless€components€and€software€(e.g.€with€an€operating€rangeÐ  d Ðtypically€not€exceeding€100€meters)€based€on€commercial€standards€as€Bluetooth,€HomeÐ à 0 ÐRadio€Frequency€(HomeRF)€and€IEEE€802.11b€(ð ðWiFiðð)€(see€ðð740.17(b)(3)(iiiš)(H));Ð ¬ ü  Ѐ€€€€e.€€In€ðð740.17(b)(4),€previous€provisions€regarding€commercial€encryption€sourceÐ xÈ  Ðcode€are€now€subsumed€by€updated€provisions€for:Ð D”  Ѐ€€€€€€€€€i.€€encryption€source€code€(and€corresponding€object€code)€which€would€beÐ ` Ðconsidered€publicly€available€(refer€to€ðð740.13(e)€of€the€EAR);€andÐ Ü, Ѐ€€€€€€€€€ii.€€encryption€source€code€which€would€not€be€considered€publicly€available€(i.e.,Ð ¨ø Ðð ðcompany€proprietaryðð€encryption€source€code).€€See€ðð740.17(b)(2)(ii).€Ð tÄ ÐThis€paragraph€(b)(4)€now€cross„references€the€òòde€minimis€óóprovisions€of€ðð734.4€forÐ @ Ðencryption€items€controlled€under€ECCNs€5A002€and€5D002.Ð  \ Ѐ€€€€f.€€Previous€references€to€cryptographic€interfaces€in€former€ðð740.17(b)(5)€are€nowÐ Ø( Ðincorporated€into€the€general€provisions€of€License€Exception€ENC.€€See€ðð740.17(a)€forÐ ¤ô Ðcryptographic€interface€items€to€the€European€Union€plus€eight€additional€countries,€andÐ p!À  Ðrefer€to€ðð740.17(b)(1)€for€U.S.€subsidiaries.€€Products€which€are€used€to€establish€a€closedÐ <#Œ" Ðcryptographic€interface€(e.g.€signing)€continue€to€be€treated€as€ð ðretailðð€(seeÐ %X $ Ððð740.17(b)(3)(iiš)(C)).Ð Ô&$"& Ѐ€€€€g.€€In€ðð740.17(c)€(Reexports€and€transfers),€this€rule€clarifies€that€foreign„developedÐ  (ð#( Ðproducts€which€are€designed€to€operate€with€U.S.€products€through€a€cryptographicÐ l*¼%* Ðinterface€are€subject€to€the€EAR,€but€do€not€require€review€by€BIS.Ð 8,ˆ', Ѐ€€€€h.€€In€ðð740.17(d)€(Review€requirement),€instructions€and€procedures€for€submittingÐ ° Ðreview€requests€for€encryption€items€under€License€Exception€ENC€are€updated€andÐ |Ì Ðclarified.€€Ð H˜ Ѐ€€€€i.€€In€ðððð740.17(d)(2)€and€(3)(i),€existing€grandfathering€and€key€length€increaseÐ  d Ðprovisions€are€revised,€for€clarity€and€consistency€with€ðððð740.17(a),€(b)(2)€and€(b)(3).Ð à 0 Ѐ€€€€j.€€ðð740.17(e)€(Reporting€requirements)€is€restructured€for€clarity.€€This€rule€clarifiesÐ ¬ ü  Ðthat€the€requirements€to€report€foreign€products€developed€from€U.S.€source€code€andÐ xÈ  Ðtoolkits€apply€only€if€you€know€when€the€foreign€product€is€made€available€forÐ D”  Ðcommercial€sale.€€See€ðð740.17(e)(3).€€The€previous€reporting€exemption€for€ð ðfinance„Ð ` Ðspecific€productsðð€is€removed€from€this€section,€to€clarify€that€these€products€may€beÐ Ü, Ðexported€and€reexported€(except€to€embargoed€or€designated€terrorist€supportingÐ ¨ø Ðcountries€and€sanctioned€persons)€under€ECCNs€5A992€and€5D992,€without€review€byÐ tÄ ÐBIS.€€Refer€to€ðð742.15(b)(3)(iii).€€This€clarification€is€made€for€consistency€with€theÐ @ ÐWassenaar€Arrangement€list€of€dual„use€items.€€Reporting€exemptions€previously€listedÐ  \ Ðin€under€ðð740.17(e)(1)€are€now€listed€under€ðð740.17(e)(4).Ð Ø( ÐÌ5.€€òòClarification€of€licensing€requirements€and€policies€for€encryption€itemsóó.€€InÐ p!À  Ððð742.15(a)€(Licensing€requirements€and€policy),€existing€U.S.€licensing€requirements€andÐ <#Œ" Ðlicensing€policy€provisions,€including€those€pertaining€to€encryption€items€underÐ %X $ ÐEncryption€Licensing€Arrangements,€are€consolidated€into€clarified€provisionsÐ Ô&$"& Ððð742.15(a)(1)(i)š€(Licensing€requirements)€and€ðð742.15(a)(1š)(ii)š€(Licensing€policy).Ð  (ð#( Ðâ âÐ l*¼%* Ð6.€€€òòClarification€of€notification€and€review€requirements€for€encryption€items€controlledÐ ° Ðâ âunder€ECCN€5A992,€5D992,€or€5E992óó.€€ðð742.15(b)€(Notification€and€reviewÐ |Ì Ðrequirements€for€encryption€items€controlled€under€ECCNs€5A992,€5D992€and€5E992)Ð H˜ Ðclarifies€when€notification€or€review€is€required€for€encryption€items€not€controlled€forÐ  d Ðð ðEIðð€and€ð ðNSðð€reasons€under€ECCNs€5A002,€5D002€or€5E002.€€Ð à 0 Ѐ€€€€i.€€€In€ðð742.15(b)(1),€notification€requirements€for€certain€encryption€items€withÐ ¬ ü  Ðrestricted€bit€lengths€are€clarified.Ð xÈ  Ѐ€€€€ii.€€In€€ðð742.15(b)(2),€review€requirements€for€>64€bit€mass€market€encryptionÐ D”  Ðproducts€are€established.Ð ` Ѐ€€€€iii.€€In€€ðð742.15(b)(3),€transactions€and€items€which€do€not€require€review€orÐ Ü, Ðnotification€are€described.Ð ¨ø Ѐ€€€€iv.€ðð742.15(b)(4)€clarifies€that€commodities,€software€and€components€which€activateÐ tÄ Ðencryption€functions€in€56„bit€or€mass„market€products€(when€the€encryption€wouldÐ @ Ðotherwise€remain€inoperable,€ð ðdormantðð€or€disabled),€are€also€controlled€under€ECCNsÐ  \ Ð5A992€and€5D992.€€Commodities€and€software€that€ð ðactivateðð€dormant€56„bit€encryptionÐ Ø( Ðrequire€notification€under€ðð742.15(b)(1),€while€commodities€and€software€that€ð ðenableððÐ ¤ô Ðmass€market€products€to€perform€encryption€exceeding€64€bits€for€the€symmetricÐ p!À  Ðalgorithm€require€review€under€ðð742.15(b)(2).€Ð <#Œ" Ѐ€€€€òòNoteóó:€ð ðActivationðð€commodities€and€software€that€enable€ð ðEIðð€controlled€encryptionÐ %X $ Ðfunctionality€(e.g.€128„bit€encryption€of€network€infrastructure€data€communications)€areÐ Ô&$"& Ðcontrolled€under€ECCNs€5A002€and€5D002,€and€require€review€under€License€ExceptionÐ  (ð#( ÐENC.€€Refer€to€ðð740.17€of€the€EAR.€€Note€that,€once€an€encryption€item€is€activated€withÐ l*¼%* Ðð ðEIðð€controlled€encryption€functionality,€the€item€is€controlled€under€ECCN€5A002€(ifÐ 8,ˆ', Ðhardware)€or€5D002€(if€software)€and€may€no€longer€be€exported€No€License€RequiredÐ ° Ðunder€ECCNs€5A992€or€5D992.Ð |Ì Ѐ€€€€v.€€In€ðð742.15(b)(5),€an€illustrative,€but€by€no€means€exhaustive,€list€of€mass€marketÐ H˜ Ðencryption€products€is€provided.Ð  d ÐÌ7.€€òòClarification€of€documentation€requirements€for€submitting€review€requests€forÐ ¬ ü  Ðencryption€itemsóó.€€In€Supplement€No.€6€to€part€742€(Guidelines€for€Submitting€SupportÐ xÈ  ÐDocumentation€Required€for€Review€Requests€for€Encryption€Items),€instructions€toÐ D”  Ðexporters€are€updated€and€clarified.€€Exporters€are€instructed€to€insert€the€appropriateÐ ` Ðphrase€ð ðMass€market€encryptionðð€or€ð ðLicense€Exception€ENCðð€in€Block€9€(ð ðSpecialÐ Ü, ÐPurposeðð)€of€the€review€request.€(For€compatibility€with€current€application€processingÐ ¨ø Ðsystems,€exporters€should€continue€to€place€an€ð ðXðð€in€the€box€marked€ð ðClassificationÐ tÄ ÐRequestðð€in€Block€5:€ð ðType€of€Applicationðð.)€€Support€documentation€described€in€thisÐ @ ÐSupplement€is€required€for€the€review€of€encryption€items.Ð  \ Ðò òÌó ó8.€€òòClarification€to€distinguish€encryption€review€requests€from€classification€requestsóó.€€InÐ ¤ô Ððð748.3€(Classification€Requests,€Review€Requests€and€Advisory€Opinions),€existingÐ p!À  Ðparagraph€(b)(3)€is€removed€and€replaced€with€a€new€paragraph€(d)€(ð ðReview€requests€forÐ <#Œ" Ðencryption€itemsðð),€to€clarify€that€the€process€for€reviewing€encryption€items€by€BIS,€inÐ %X $ Ðconjunction€with€the€ENC€Encryption€Request€Coordinator,€obviates€the€need€forÐ Ô&$"& Ðseparate€classification€by€BIS.Ð  (ð#( Ðâ âÐ l*¼%* Ð9.€€òòDefinition€of€ð ðcryptanalytic€itemsðð€clarifiedóó.€€In€ðð772.1€(Definition€of€Terms),€theÐ ° Ðâ âdefinition€of€ð ðcryptanalytic€itemsðð€is€updated€to€incorporate€the€previous€EAR€definitionÐ |Ì Ðof€ð ðcryptanalytic€functionsðð.€€A€technical€note€is€also€added€to€clarify€that€ð ðcryptanalyticÐ H˜ Ðitemsðð€does€not€include€software€designed€and€limited€to€protect€against€maliciousÐ  d Ðcomputer€damage€or€unauthorized€system€intrusion€(e.g.,€viruses,€worms€and€trojanÐ à 0 Ðhorses).€€Such€software€is€controlled€under€ECCN€5D992.c.Ð ¬ ü  Ðò òÌó ó10.€€òòRevisions€to€the€Cryptography€Note€and€to€the€explanatory€notes€in€ECCN€5D002óó.€Ð D”  ÐIn€Supplement€No.€1€to€part€774€(the€Commerce€Control€List),€the€previous€64€bitÐ ` Ðrestriction€to€the€Cryptography€Note€(Note€3)€to€Category€5€„„€part€II€is€removed,Ð Ü, Ðconsistent€with€the€Wassenaar€Arrangement€list€of€dual„use€items.€€Explanatory€notes€toÐ ¨ø ÐECCN€5D002€ð ðInformation€Security€ð!ð€Softwareðð€are€updated,€for€consistency€with€theÐ tÄ Ðother€revised€sections€of€this€amendment.Ð @ ÐÌRulemaking€RequirementsÐ Ø( ÐÌà 4 à1.à Œ àThis€rule€has€been€determined€to€be€not€significant€for€purposes€ofÐ p!À  ÐExecutive€Order€12866.Ð <#Œ" ÐÌà 4 à2.à Œ àNotwithstanding€any€other€provision€of€law,€no€person€is€required€toÐ Ô&$"& Ðrespond€to,€nor€shall€any€person€be€subject€to€a€penalty€for€failure€to€comply€with,€aÐ  (ð#( Ðcollection€of€information€subject€to€the€requirements€of€the€Paperwork€Reduction€Act,Ð l*¼%* Ðunless€that€collection€of€information€displays€a€currently€valid€OMB€Control€Number.€Ð 8,ˆ', ÐThis€rule€involves€collections€of€information€subject€to€the€requirements€of€theÐ ° ÐPaperwork€Reduction€Act€of€1980€(44€U.S.C.€3501€òòet€seq.óó).€€These€collections€have€beenÐ |Ì Ðapproved€by€the€Office€of€Management€and€Budget€under€Control€Numbers€0694„0088,Ð H˜ Ðð ðMulti„Purpose€Application,ðð€and€0694„0104,€ð ðCommercial€Encryption€ItemsÐ  d ÐTransferred€from€the€Department€of€State€to€the€Department€of€Commerce.ðð€€CollectionÐ à 0 Ð0694„0088€carries€a€burden€hour€estimate€of€45€minutes€per€manual€submission€and€Ð ¬ ü  Ð40€minutes€per€electronic€submission.€€Miscellaneous€and€recordkeeping€activitiesÐ xÈ  Ðaccount€for€12€minutes€per€submission.€€For€collection€0694„0104,€it€is€estimated€thatÐ D”  Ðcompanies€will€take€5€minutes€to€complete€notifications€for€source€code€under€LicenseÐ ` ÐExceptionÔ‡@X÷çXXX÷çÔ€TSUÔ#†X÷çXX@X÷çJŸ#ÔÔ‡@X÷çXXX÷çÔ.€€It€will€take€companies€15€minutes€to€complete€upgrade€notifications.€Ð Ü, ÐFor€reporting€under€License€Exception€ENC€and€licenses€for€encryption€items,€it€willÐ ¨ø Ðtake€companies€8€hours€to€complete€semi„annual€reporting€requirements.€€Ô#†X÷çXX@X÷çŸ#ÔÔ‡AX÷çXXX÷çÔSendÐ tÄ Ðcomments€regarding€these€burden€estimates€or€any€other€aspect€of€these€collections€ofÐ @ Ðinformation,€including€suggestions€for€reducing€the€burden,€to€OMB€Desk€Officer,€NewÐ  \ ÐExecutive€Office€Building,€Washington,€DC€20503;€and€to€the€Regulatory€PolicyÐ Ø( ÐDivision,€Bureau€of€Industry€and€Security,€Department€of€Commerce,€P.O.€Box€273,Ð ¤ô ÐWashington,€DC€20044.Ô#†X÷çXXAX÷çà #ÔÔ‡@X÷çXXX÷çÔÐ p!À  ÐÌà 4 à3.à Œ àThis€rule€does€not€contain€policies€with€Federalism€implications€as€thatÐ %X $ Ðterm€is€defined€in€Executive€Order€13132.Ð Ô&$"& ÐÌà 4 à4.à Œ àThe€provisions€of€the€Administrative€Procedure€Act€(5€U.S.C.€553)Ð l*¼%* Ðrequiring€notice€of€proposed€rulemaking,€the€opportunity€for€public€participation,€and€aÐ 8,ˆ', Ðdelay€in€effective€date,€are€inapplicable€because€this€regulation€involves€a€military€andÐ ° Ðforeign€affairs€function€of€the€United€States€(Sec.€5€U.S.C.€553(a)(1)).€€Further,€no€otherÐ |Ì Ðlaw€requires€that€a€notice€of€proposed€rulemaking€and€an€opportunity€for€public€commentÐ H˜ Ðbe€given€for€this€Ô#†X÷çXX@X÷çê¢#ÔinterimÔÿÔÔ‡ôµòXX÷çÔ€Ôÿ8¦ÔÔ#†X÷çXòôµH¦#ÔÔ‡@X÷çXXX÷çÔfinal€rule.€€Because€a€notice€of€proposed€rulemaking€and€anÐ  d Ðopportunity€for€public€comment€are€not€required€to€be€given€for€this€rule€under€5€U.S.C.Ð à 0 Ð553€or€by€any€other€law,€the€analytical€requirements€of€the€Regulatory€Flexibility€Act€(5Ð ¬ ü  ÐU.S.C.€601€òòet€seqóó.)€are€not€applicable.Ð xÈ  ÐÌà 4 àÔ#†X÷çXX@X÷矦#ÔTherefore,€this€regulation€is€issued€in€interimÔ‡@X÷çXXX÷çÔ€final€form.€€Although€there€is€noÐ ` Ðformal€comment€period,€public€comments€on€this€regulation€are€welcome€on€a€continuingÐ Ü, Ðbasis.€€Comments€should€be€submitted€to€Willard€Fisher,€Regulatory€Policy€Division,Ð ¨ø ÐBureau€of€Industry€and€Security,€U.S.€Department€of€Commerce,€Room€2705,€14th€StreetÐ tÄ Ðand€Pennsylvania€Avenue,€N.W.,€Washington,€DC€20230.Ð @ ÐÌList€of€SubjectsÐ Ø( ÐÌ15€CFR€Parts€732,€740,€and€748Ð p!À  Ðà 4 àAdministrative€practice€and€procedure,€Exports,€Foreign€tradeÔ#†X÷çXX@X÷犨#ÔÔ‡@X÷çXXX÷çÔ,€Reporting€andÐ <#Œ" Ðrecordkeeping€requirements.Ð %X $ ÐÔ#†X÷çXX@X÷ç*«#ÔÔ‡@X÷çXXX÷çÔÌ15€CFR€Parts€734€and€738Ð  (ð#( Ðà 4 àAdministrative€practice€and€procedure,€Exports,€Foreign€trade.Ð l*¼%* ÐÐ 8,ˆ', ÐÔ#†X÷çXX@X÷çÀ«#ÔÔ‡@X÷çXXX÷çÔ15€CFR€Parts€742,€770,€and€772Ð ° Ðà 4 àExports,€Foreign€trade.Ð |Ì ÐÌ15€CFR€Part€774Ð  d Ðà 4 àExports,€Foreign€trade,€Reporting€and€recordkeeping€requirements.Ð à 0 ÐÌà 4 àAccordingly,€Parts€732,€734,€738,€740,€742,€748,€770,€772,€and€774€of€the€ExportÐ xÈ  ÐAdministration€Regulations€(15€CFR€Parts€730„799)€are€amended€as€follows:Ð D”  ÐÌà 4 à1.à Œ àThe€authority€citation€for€15€CFR€Part€732€is€revised€to€read€as€follows:Ð Ü, ÐÌà 4 àAuthority:€€50€U.S.C.€app.€2401€òòet€seqóó.;€50€U.S.C.€1701€òòet€seqóó.;€Ô#†X÷çXX@X÷礬#ÔÔ‡@X÷çXXX÷çÔE.O.€13026,€61Ð tÄ ÐFR€58767,€3€CFR,€1996€Comp.,€p.€228;€E.O.€13222,€66€FR€44025,€August€22,€2001Ô#†X÷çXX@X÷ç{¯#ÔÔ‡@X÷çXXX÷çÔ.Ð @ ÐÌà 4 à1a.à Œ àThe€authority€citation€for€15€CFR€Parts€740€and€748€continues€to€read€asÐ Ø( Ðfollows:Ð ¤ô ÐÌà 4 àAuthority:€€50€U.S.C.€app.€2401€òòet€seqóó.;€50€U.S.C.€1701€òòet€seqóó.;€Ô#†X÷çXX@X÷ç-°#ÔÔ‡@X÷çXXX÷çÔE.O.€13026,€61Ð <#Œ" ÐFR€58767,€3€CFR,€1996€Comp.,€p.€228;€E.O.€13222,€66€FR€44025,€August€22,€2001Ô#†X÷çXX@X÷çu±#ÔÔ‡@X÷çXXX÷çÔ.Ð %X $ ÐÌÔ#†X÷çXX@X÷ç'²#ÔÔ‡@X÷çXXX÷çÔà 4 à2.à Œ àThe€authority€citation€for€15€CFR€Part€734€continues€to€read€as€follows:Ð  (ð#( Ðâ âÐ l*¼%* ÐÑ./NÑâ .âÑXXÑâ .âÑ  Ñà 4 àAuthority:€€50€U.S.C.€app.€2401€òòet€seqóó.;€50€U.S.C.€1701€òòet€seqóó.;€Ô#†X÷çXX@X÷瀲#ÔÔ‡@X÷çXXX÷çÔE.O.€12938,€59Ð ° Ðâ âFR€59099,€3€CFR€1994€Comp.,€p.€950;€E.O.€13020,€61€FR€54079,€3€CFR,€1996€Comp.,€p.Ð |Ì Ð219;€E.O.€13026,€61€FR€58767,€3€CFR,€1996€Comp.,€p.€228;€E.O.€13222,€66€FR€44025,Ð H˜ ÐAugust€22,€2001;€Notice€of€November€9,€2001,€66€FR€56965,€November€13,€2001.Ð  d ÐÌà 4 à3.à0 Œ àThe€authority€citation€for€15€CFR€Part€738€continues€to€read€as€follows:Ь ü Œ ü!Œ ü! ÐÌà 4 àAuthority:€€50€U.S.C.€app.€2401€òòet€seqóó.;€50€U.S.C.€1701€òòet€seqóó.;€10€U.S.C.€7420;€Ð D”  Ð10€U.S.C.€7430(e);€18€U.S.C.€2510€òòet€seqóó.;€22€U.S.C.€287c;€22€U.S.C.€3201€òòet€seqóó.;€22Ð ` ÐU.S.C.€6004;€30€U.S.C.€185(s),€185(u);€42€U.S.C.€2139a;€42€U.S.C.€6212;€43€U.S.C.Ð Ü, Ð1354;€46€U.S.C.€app.€466c;€50€U.S.C.€app.€5;€Sec.€901„911,€Pub.€L.€106„387;€Sec.€221,Ð ¨ø ÐPub.€L.€107„56;€E.O.€13026,€61€FR€58767,€3€CFR,€1996€Comp.,€p.€228;€E.O.€13222,€66Ð tÄ ÐFR€44025,€August€22,€2001.Ð @ ÐÔ#†X÷çXX@X÷çö³#ÔÔ‡@X÷çXXX÷çÔÌà 4 à4.à Œ àThe€authority€citation€for€15€CFR€Part€742€continues€to€read€as€follows:Ð Ø( ÐÌà 4 àAuthority:€€50€U.S.C.€app.€2401€òòet€seqóó.;€50€U.S.C.€1701€òòet€seqóó.;€18€U.S.C.€2510€òòetÐ p!À  Ðseqóó.;€22€U.S.C.€3201€òòet€seqóó.;€42€U.S.C.€2139a;€Sec.€901„911,€Pub.€L.€106„387;€Sec.€221,Ð <#Œ" ÐPub.€L.€107„56;€E.O.€12058,€43€FR€20947,€3€CFR,€1978€Comp.,€p.€179;€E.O.€12851,€58Ð %X $ ÐFR€33181,€3€CFR,€1993€Comp.,€p.€608;€E.O.€12938,€59€FR€59099,€3€CFR,€1994€Comp.,Ð Ô&$"& Ðp.€950;€E.O.€13026,€61€FR€58767,€3€CFR,€1996€Comp.,€p.€228;€E.O.€13222,€66€FR€44025,Ð  (ð#( ÐAugust€22,€2001;€Notice€of€November€9,€2001,€66€FR€56965,€November€13,€2001.Ð l*¼%* ÐÐ 8,ˆ', Ðà 4 à5.à Œ àThe€authority€citation€for€15€CFR€Part€770€continues€to€read€as€follows:Ð ° ÐÌà 4 àAuthority:€€50€U.S.C.€app.€2401€òòet€seqóó.;€50€U.S.C.€1701€òòet€seqóó.;€Ô#†X÷çXX@X÷çp¸#ÔÔ‡@X÷çXXX÷çÔE.O.€13222,€66Ð H˜ ÐFR€44025,€August€22,€2001Ô#†X÷çXX@X÷çž¼#ÔÔ‡@X÷çXXX÷çÔ.Ð  d ÐÌà 4 à5a.à Œ àThe€authority€citation€for€15€CFR€Part€772€is€revised€to€read€as€follows:Ð ¬ ü  ÐÌà 4 àAuthority:€€50€U.S.C.€app.€2401€òòet€seqóó.;€50€U.S.C.€1701€òòet€seqóó.;€Ô#†X÷çXX@X÷ç½#ÔÔ‡@X÷çXXX÷çÔE.O.€13222,€66Ð D”  ÐFR€44025,€August€22,€2001Ô#†X÷çXX@X÷çH¾#ÔÔ‡@X÷çXXX÷çÔ.Ð ` ÐÔ#†X÷çXX@X÷çƾ#ÔÔ‡@X÷çXXX÷çÔÌà 4 à6.à Œ àThe€authority€citation€for€15€CFR€Part€774€continues€to€read€as€follows:Ð ¨ø ÐÌà 4 àAuthority:€€50€U.S.C.€app.€2401€òòet€seqóó.;€50€U.S.C.€1701€òòet€seqóó.;€10€U.S.C.€7420;€Ð @ Ð10€U.S.C.€7430(e);€18€U.S.C.€2510€òòet€seqóó.;€22€U.S.C.€287(c);€22€U.S.C.€3201€òòet€seqóó.;€22Ð  \ ÐU.S.C.€6004;€30€U.S.C.€185(s),€185(u);€42€U.S.C.€2139a;€42€U.S.C.€6212;€43€U.S.C.Ð Ø( Ð1354;€46€U.S.C.€app.€466(c);€50€U.S.C.€app.€5;€Sec.€901„911,€Pub.€L.€106„387;€Sec.€221,Ð ¤ô ÐPub.€L.€107„56;€E.O.€13026,€61€FR€58767,€3€CFR,€1996€Comp.,€p.€228;€E.O.€13222,€66€Ð p!À  ÐFR€44025,€August€22,€2001.Ð <#Œ" ÐÌÔ#†X÷çXX@X÷ç¿#ÔÔ‡@X÷çXXX÷çÔÓB.ÜÜ4Œ ä <”ìDœôL¤ü!ü!°œXBÓò òÌÖ€yÿÿÖPART€732€„€[AMENDED]Ð  (ð#( ÐÌó óà 4 à7.à Œ àÓH1` 4` ` Œ ä <”ìDœôL¤ü!ü!ÜÜŒXü!HÓSection€732.2€is€amended€by€revising€the€introductory€text€of€Ð 8,ˆ', ÐÑlP¨Ñâ lâÑ a Ñâ lâÑ  Ñparagraph€(d)€to€read€as€follows:Ð ° Ðò òðð732.2€€Steps€regarding€scope€of€the€EAR.ó óÐ |Ì ÐÌÝ‚#ÿÿÿÝÓ XÓÔ€@X÷çXX@X÷çÔÝ  ÝÓ XÓÝ‚#ÿÿÿWÄÝÝ  Ýà@þþìà*€€€€€*€€€€€*€€€€€*€€€€€*Ô#†X÷çXX@X÷ç9Â#ÔÔ‡@X÷çXXX÷çÔ݃#ÿÿWÄ­ÄÝŒˆÐ  d ЌԀ@X÷çXX@X÷çÔÓ ÓÝ  ÝÌÌÌÌÌÌÌÌÌÌÌÌÌÌÔ#†X÷çXX@X÷çÅ#ÔÝ‚#ÿÿÿÝÓ XÓÔ€X÷çXXX÷çÔÝ  ÝÝ‚#ÿÿÿÑÅÝÝ  Ý(d)€òòStep€4:€€Foreign„made€items€incorporating€less€than€the€de€minimis€level€ofÐ %X $ ÐU.S.€parts,€components,€and€materialsóó.€€This€step€is€appropriate€only€for€items€that€areÐ Ô&$"& Ðmade€outside€the€United€States€and€not€currently€in€the€United€States.݃#ÿÿÑÅÆ݌Р (ð#( Ðâ âŒÔ€X÷çXXX÷çÔÓ XÓÝ  ÝÐ l*¼%* ÐÑoïaÑâ oâØØÑ Ü Ñâ oâÑ  ÑÔ€ôµòXX÷çÔÝ‚#ÿÿÿÝÓ XÓÔ€X÷çXòôµÔÝ  ÝÝ‚#ÿÿRÈÝÝ  ÝNote€that€the€following€encryption€items€are€subject€to€the€EAR€even€if€theyÐ ° Ðâ âincorporate€less€than€the€de€minimis€level€of€U.S.€content:€€encryption€items€controlledÐ |Ì Ðfor€ð ðEIðð€reasons€under€ECCN€5A002,€5D002€or€5E002€on€the€Commerce€Control€ListÐ H˜ Ð(Supplement€No.1€to€Part€774€of€the€EAR)€and€mass€market€encryption€commodities€andÐ  d Ðsoftware,€described€in€the€Cryptography€Note€(Note€3)€in€Category€5€„€Part€2Ð à 0 Ð(ð ðInformation€Securityðð)€of€the€Commerce€Control€List,€that€have€not€been€reviewed€byÐ ¬ ü  ÐBIS€and€released€from€the€ð ðEIðð€and€ð ðNSðð€controls€of€ECCN€5A002€or€5D002€inÐ xÈ  Ðaccordance€with€the€requirements€described€in€ðð742.15(b)(2)€of€the€EAR.€€ExportersÐ D”  Ðmay,€as€part€of€a€review€request,€ask€that€certain€5A002€and€5D002€parts,€componentsÐ ` Ðand€software€also€be€made€eligible€for€de€minimis€treatment€(see€ðð734.4(b)€of€the€EAR).Ð Ü, ÐThe€review€of€de€minimis€eligibility€will€take€into€account€U.S.€€national€securityÐ ¨ø Ðinterests.݃#ÿÿRÈšÈ݌РtÄ ÐŒÔ€ôµòXX÷çÔÓ XÓÝ  ÝÔ‡X÷çXòôµÔÌà@þþìà*€€€€€*€€€€€*€€€€€*€€€€€*ˆÐ  \ ÐÌÌÓN.444Œ ä <”ìDœôL¤ü!ü!` 4` ` Œ ŠXü!NÓò òÔÿÔÌÓ XÓÓH.ÜÜ4Œ ä <”ìDœôL¤ü!ü!444‹Xü!HÓó óÔÿÔ8.€Section€732.3€is€amended€by€revising€paragraph€(e)(2)€to€read€as€follows:Ð <#Œ" ÐÓ XÓÌò òðð€732.3€€Steps€regarding€the€ten€general€prohibitions.ó óÐ Ô&$"& ÐÌà@þþìà*€€€€€*€€€€€*€€€€€*€€€€€*ˆÐ l*¼%* ÐÐ 8,ˆ',  ÐÑp€¨Ñâ pâÑ Ü Ñâ pâÑ  ÑÓ XÓ(e)€*€€€€€*€€€€€*Ð ° ÐÐ |Ì ÐÓ °XÓ(2)€€òòGuidance€for€calculationsóó.€€For€guidance€on€how€to€calculate€the€U.S.„Ð H˜ Ðcontrolled€content,€refer€to€Supplement€No.€2€to€part€734€of€the€EAR.€€Note€that€underÐ  d Ðcertain€rules€issued€by€the€Office€of€Foreign€Assets€Control,€certain€exports€from€abroadÐ à 0 Ðby€U.S.„owned€or€controlled€entities€may€be€prohibited€notwithstanding€the€òòde€minimisóóÐ ¬ ü  Ðprovisions€of€the€EAR.€€In€addition,€the€òòde€minimisóó€exclusions€from€the€parts€andÐ xÈ  Ðcomponents€rule€do€not€relieve€U.S.€persons€of€the€obligation€to€refrain€from€supportingÐ D”  Ðthe€proliferation€of€weapons€of€mass„destruction€and€missiles€as€provided€in€GeneralÐ ` ÐProhibition€Seven€(U.S.€Person€Proliferation€Activity)€described€in€ðð736.2(b)(7)€of€theÐ Ü, ÐEAR.€€Note€that€foreign„made€items€that€incorporate€U.S.„origin€items€controlled€forÐ ¨ø Ð"EI"€reasons€under€ECCN€5A002,€5D002€or€5E002€on€the€Commerce€Control€ListÐ tÄ Ð(Supplement€No.1€to€Part€774€of€the€EAR)€are€subject€to€the€EAR€even€if€theyÐ @ Ðincorporate€less€than€the€òòde€minimisóó€level€of€U.S.€content.€€However,€exporters€may,€asÐ  \ Ðpart€of€a€review€request,€ask€that€certain€5A002€and€5D002€parts,€components€andÐ Ø( Ðsoftware€also€be€made€eligible€for€òòde€minimisóó€treatment€(see€ðð734.4(b)€of€the€EAR).€Ð ¤ô ÐÓ °ÓÓB+Ü Ü4Œ ä <”ìDœôL¤ü!ÜÜŒXü!BÓò òÌó óÓ  Ó*€€€€€*€€€€€*€€€€€*€€€€€*Ð <#Œ" ÐÓÈÖÓÔÿÔÌÔÿÔÌò òPART€734€„€€[AMENDED]Ð  (ð#( Ðâ âÐ l*¼%* ÐÑq€¨Ñâ qâÑ Ü Ñâ qâÑ  Ñà 4 àÓB+` 4` Œ ä <”ìDœôL¤ü!ÜÜ‹Xü!BÓó ó9.à ` àSection€734.2€is€amended€by€revising€paragraph€(b)(9)(ii)€and€the€introductoryÐ ° Ðâ âtext€of€paragraph€(b)(9)(iii)€to€read€as€follows:Ð |Ì ÐÓ ¨ýÓÓ XÓÓH+4 44Œ ä <”ìDœôL¤ü!` 4‚,ä ˆXü!HÓÐ H˜ ÐÓ ¨ýÓÓ XÓÓH.ÜÜ4Œ ä <”ìDœôL¤ü!ü!444ŠXü!HÓò òðð€734.2€€Important€EAR€terms€and€principles.ó óÐ  d ÐÌà@þþìà*€€€€€*€€€€€*€€€€€*€€€€€*ˆÐ ¬ ü  ÐÌÓE.ÜÜ4Œ ä <”ìDœôL¤ü!ü!ÜÜŒXü!EÓ(b)€€*€€€€€*€€€€€*Ð D”  ÐÓB+Ü Ü` Œ ä <”ìDœôL¤ü!ÜÜŒXü!BÓÌà ` à(9)€€*€€€€€*€€€€€*Ð Ü, ÐÌà ` àà Œ à(i)€*€€€€€*€€€€€*ò òÐ tÄ Ðó óÌà ` àà Œ à(ii)€€The€export€of€encryption€source€code€and€object€code€softwareÐ  \ Ðcontrolled€for€"EI"€reasons€under€ECCN€5D002€on€the€Commerce€Control€List€(seeÐ Ø( ÐSupplement€No.€1€to€part€774€of€the€EAR)€includes€downloading,€or€causing€theÐ ¤ô Ðdownloading€of,€such€software€to€locations€(including€electronic€bulletin€boards,€InternetÐ p!À  Ðfile€transfer€protocol,€and€World€Wide€Web€sites)€outside€the€U.S.,€or€making€suchÐ <#Œ" Ðsoftware€available€for€transfer€outside€the€United€States,€over€wire,€cable,€radio,€electro„Ð %X $ Ðmagnetic,€photo€optical,€photoelectric€or€other€comparable€communications€facilitiesÐ Ô&$"& Ðaccessible€to€persons€outside€the€United€States,€including€transfers€from€electronicÐ  (ð#( Ðbulletin€boards,€Internet€file€transfer€protocol€and€World€Wide€Web€sites,€unless€theÐ l*¼%* Ðperson€making€the€software€available€takes€precautions€adequate€to€prevent€unauthorizedÐ 8,ˆ',  ÐÑr€¨Ñâ râÑ Ü Ñâ râÑ  Ñtransfer€of€such€code.€€See€ðð740.13(e)€of€the€EAR€for€notification€requirements€forÐ ° Ðexports€or€reexports€of€encryption€source€code€and€object€code€software€considered€to€beÐ |Ì Ðpublicly€available€consistent€with€the€provisions€of€ðð734.3(b)(3)€of€the€EAR.Ð H˜ ÐÓH+4 44Œ ä <”ìDœôL¤ü!ÜÜ` Œ ‰Xü!HÓÌÓ XÓÓB(Ü ÜŒ ä <”ìDœôL¤ü!444ŠXü!BÓ(iii)à Œ àSubject€to€the€General€Prohibitions€described€in€part€736€of€the€EAR,€suchÐ à 0 Ðprecautions€for€Internet€transfers€of€products€eligible€for€export€under€ðð740.17€(b)(2)€ofÐ ¬ ü  Ðthe€EAR€(encryption€software€products,€certain€encryption€source€code€and€generalÐ xÈ  Ðpurpose€encryption€toolkits)€shall€include€such€measures€as:Ð D”  ÐÓ XÓÓE+Ü Ü4Œ ä <”ìDœôL¤ü!ÜÜŒ ‰Xü!EÓÌà@þþìà*€€€€€*€€€€€*€€€€€*€€€€€*ˆÐ Ü, ÐÌÌà 4 à10.à Œ àSection€734.3€is€amended€by€revising€paragraph€(b)(3)€introductory€text€toÐ @ Ðread€as€follows:Ð  \ ÐÌò òðð734.3€€Items€Subject€to€the€EAR.ó óÐ ¤ô ÐÓE.ÜÜ4Œ ä <”ìDœôL¤ü!ü!ÜÜ‹Xü!EÓÌà@þþìà*€€€€€*€€€€€*€€€€€*€€€€€*ˆÐ <#Œ" ÐÌÓ XÓÓB+Ü Ü4Œ ä <”ìDœôL¤ü!ÜÜŒXü!BÓ(b)€€*€€€€€*€€€€€*Ð Ô&$"& ÐÓ XÓÔÿÔà 4 àà Œ àÔÿÔ(3)€Publicly€available€technology€and€software,€except€software€controlledÐ  (ð#( Ðâ âfor€ð ðEIðð€reasons€under€ECCN€5D002€on€the€Commerce€Control€List€and€mass€marketÐ l*¼%* ÐÑs€¨Ñâ sâÑ  Ñâ sâÑ  Ñencryption€software€with€symmetric€key€length€exceeding€64„bits€controlled€underÐ ° ÐECCN€5D992,€that:Ð |Ì Ðâ âÌà@þþìà*€€€€€*€€€€€*€€€€€*€€€€€*ˆÐ  d ÐÌÌà 4 à11.à Œ àSection€734.4€is€amended€by€revising€paragraph€(b)€to€read€as€follows:Ð xÈ  ÐÓB+Ü Ü4Œ ä <”ìDœôL¤ü!ÜÜ‹Xü!BÓÌò òðð734.4€€De€minimis€U.S.€Content.Ð ` ÐÌà@þþìà*€€€€€*€€€€€*€€€€€*€€€€€*ˆÐ ¨ø Ðó óÌ(b)€There€is€no€òòde€minimisóó€level€for€foreign„made€items€that€incorporate€U.S.„origin€itemsÐ @ Ðcontrolled€for€"EI"€reasons€under€ECCN€5A002,€5D002€or€5E002€on€the€CommerceÐ  \ ÐControl€List€(Supplement€No.€1€to€Part€774€of€the€EAR).€€ûÿÿÿdûHowever,€exportersò òüÿÿÿdüó ó€may,€asÐ Ø( Ðpart€of€an€encryption€review€request,€askò òò òó óó ó€that€software€controlled€under€ECCN€5D002Ð ¤ô Ðand€eligible€for€export€under€the€"retail"€or€"source€code"€provisions€of€license€exceptionÐ p!À  ÐENC,€and€parts€and€components€controlled€under€ECCN€5A002,€be€made€eligible€for€òòdeÐ <#Œ" Ðminimisóó€treatment.€The€review€of€òòde€minimisóó€eligibility€will€take€U.S.€national€securityÐ %X $ Ðinterests€into€account.€€Certain€encryption€items€controlled€under€ECCNs€5A992,€5D992Ð Ô&$"& Ðand€5E992€are€not€eligible€for€de€minimis€treatment,€unless€exporters€have€complied€withÐ  (ð#( Ðthe€applicable€notification€or€review€requirements€described€in€ðð742.15(b)(1)€and€(b)(2)Ð l*¼%* Ðof€the€EAR.€€Encryption€items€controlled€by€ECCN€5A992,€5D992€or€5E992€andÐ 8,ˆ',  ÐÑt€¨Ñâ tâÑ  Ñâ tâÑ  Ñdescribed€in€ðð742.15(b)(3)€of€the€EAR€are€not€subject€to€these€notification€or€reviewÐ ° Ðrequirements.Ð |Ì ÐÌà@þþìà*€€€€€*€€€€€*€€€€€*€€€€€*ˆÐ  d ÐÌÌÓ ÔþÓÓ „ÓÓB+` 4` Œ ä <”ìDœôL¤ü!ÜÜ‹Xü!BÓ12.à ` àSection€734.7€is€amended€by€revising€paragraph€(c)€to€read€as€follows:Ð xÈ  ÐÓ ÔþÓÓ „ÓÓH+Ü Ü4Œ ä <”ìDœôL¤ü!` 4‚,ä ˆXü!HÓò òÌðð734.7€€Published€Information€and€Software.Ð ` ÐÓ XÓó óÐ Ü, ÐÓ XÓà@þþìà*€€€€€*€€€€€*€€€€€*€€€€€*ò òÔÿԈР¨ø Ðó óÔÿÔÌ€à 4 à(c)€Notwithstanding€paragraphs€(a)€and€(b)€of€this€section,€note€that€encryptionÐ @ Ðsoftware€controlled€under€ECCN€5D002€for€"EI"€reasons€on€the€Commerce€Control€ListÐ  \ Ðand€ò òó ómass€market€encryption€software€with€symmetric€key€length€exceeding€64„bitsÐ Ø( Ðcontrolled€under€ECCN€5D992€remain€subject€to€the€EAR.€ò òò òòòûÿÿÿdûó óó óSeeóó€ðð740.13(e)€of€the€EARÐ ¤ô Ðfor€certain€exports€and€reexports€under€license€exception.€üÿÿÿdüÐ p!À  Ðò òÔÿÔÌó óÔÿÔÓ ¨ýÓÓ XÓÓB+4 44Œ ä <”ìDœôL¤ü!ÜÜ‹Xü!BÓÐ %X $ ÐÓ Ôþ¨ýÓÓ „XÓÓE+` 4` Œ ä <”ìDœôL¤ü!444ŠXü!EÓ13.à ` àSection€734.8€is€amended€by€revising€paragraph€(a)€to€read€as€follows:Ð Ô&$"& ÐÓ XÔþÓÓ „ÓÓH+Ü Ü4Œ ä <”ìDœôL¤ü!` 4‚,ä ˆXü!HÓÐ  (ð#( ÐÓ XÓò òðð734.8€€Information€Resulting€From€Fundamental€Research.ÔÿÔÐ l*¼%* Ðó óÔÿÔÐ 8,ˆ',C ÐÑu€¨Ñâ uâÑ  Ñâ uâÑ  Ñ(a)€òòFundamental€researchóó.€€Paragraphs€(b)€through€(d)€of€this€section€and€ðð734.11€of€thisÐ ° Ðpart€provide€specific€rules€that€will€be€used€to€determine€whether€research€in€particularÐ |Ì Ðinstitutional€contexts€qualifies€as€"fundamental€research".€The€intent€behind€these€rules€isÐ H˜ Ðto€identify€as€"fundamental€research"€basic€and€applied€research€in€science€andÐ  d Ðengineering,€where€the€resulting€information€is€ordinarily€published€and€shared€broadlyÐ à 0 Ðwithin€the€scientific€community.€Such€research€can€be€distinguished€from€proprietaryÐ ¬ ü  Ðresearch€and€from€industrial€development,€design,€production,€and€product€utilization,€theÐ xÈ  Ðresults€of€which€ordinarily€are€restricted€for€proprietary€reasons€or€specific€nationalÐ D”  Ðsecurity€reasons€as€defined€in€€ðð734.11(b)€of€this€part.€(See€Supplement€No.€1€to€this€part,Ð ` ÐQuestion€D(8)).€Note€that€the€provisions€of€this€section€do€not€apply€to€encryptionÐ Ü, Ðsoftware€controlled€under€ECCN€5D002€for€"EI"€reasons€on€the€Commerce€Control€ListÐ ¨ø Ð(Supplement€No.€1€to€Part€774€of€the€EAR)€or€to€mass€market€encryption€software€withÐ tÄ Ðsymmetric€key€length€exceeding€64„bits€controlled€under€ECCN€5D992.€ò òò òòòûÿÿÿdûó óó óSeeóó€ðð740.13(e)Ð @ Ðof€the€EAR€for€certain€exports€and€reexports€under€license€exception.üÿÿÿdü€Ð  \ ÐÌà@þþìà*€€€€€*€€€€€*€€€€€*€€€€€*ˆÐ ¤ô ÐÌÓB+` 4` Œ ä <”ìDœôL¤ü!ÜÜ‹Xü!BÓà  à14.€à ` àSection€734.9€is€revised€to€read€as€follows:Ð <#Œ" ÐÓ XÓÓH+Ü Ü4Œ ä <”ìDœôL¤ü!` 4‚,ä ˆXü!HÓÐ %X $ ÐÓ XÓò òðð734.9€€€Educational€InformationÔÿÔ.à ” àà ì àà D àà œ àà ô àÐ Ô&$"& ÐÌó óÔÿÔ€"Educational€information"€referred€to€in€ðð734.3(b)(3)(iii)€of€this€part€is€not€subject€to€theÐ l*¼%* ÐEAR€if€it€is€released€by€instruction€in€catalog€courses€and€associated€teachingÐ 8,ˆ',C ÐÑm€¨ Ñâ mâÑ  Ñâ mâÑ  Ñlaboratories€of€academic€institutions.€Dissertation€research€is€discussed€in€ðð734.8(b)€ofÐ ° Ðthis€part.€(Refer€to€Supplement€No.€1€to€this€part,€Question€C(1)€through€C(6)).€Note€thatÐ |Ì Ðthe€provisions€of€this€section€do€not€apply€to€encryption€software€controlled€under€ECCNÐ H˜ Ð5D002€for€"EI"€reasons€on€the€Commerce€Control€List€or€to€mass€market€encryptionÐ  d Ðsoftware€with€symmetric€key€length€exceeding€64„bitsš€controlled€under€ECCN€5D992.Ð à 0 Ðò òò òòòó óó óSeeóó€ðð740.13(e)€of€the€EAR€for€ûÿÿÿdûcertain€exports€and€reexports€under€licenseüÿÿÿdü€exception.€Ð ¬ ü  ÐÌÌà 4 à15.€à Œ àSection€738.4€is€amended€by€revising€paragraph€(a)(2)(ii)(B)€to€read€asÐ ` Ðfollows:Ð Ü, ÐÓ XÓÓB+Ü Ü4Œ ä <”ìDœôL¤ü!ÜÜ‹Xü!BÓÐ ¨ø ÐÓ XÓò òðð738.4€€€Determining€Whether€a€License€is€Required.Ð tÄ ÐÌó ó(a)€€*€€€€€*€€€€€*Ð  \ ÐÌà 4 à(2)€€*€€€€€*€€€€€*Ð ¤ô ÐÓB+4 44Œ ä <”ìDœôL¤ü!ÜÜ‹Xü!BÓÌà 4 àà0 Œ à(ii)€€*€€€€€*€€€€€*Ð<#Œ"Œ ü!Œ ü! ÐÌÓ XÓÓE+4 44Œ ä <”ìDœôL¤ü!444ŠXü!EÓà Œ àà ä à(B)€If€no,€a€license€is€not€required€based€on€the€particular€ReasonÐ Ô&$"& Ðfor€Control€and€destination.€Provided€that€General€Prohibitions€Four€through€Ten€do€notÐ  (ð#( Ðapply€to€your€proposed€transaction€and€that€any€applicable€notification€or€reviewÐ l*¼%* Ðrequirements€described€in€ðð742.15(b)(1)€and€(b)(2)€of€the€EAR€have€been€met€for€certainÐ 8,ˆ',  ÐÑn€¨!Ñâ nâÑ € Ñâ nâÑ  Ñencryption€items€controlled€under€ECCNs€5A992,€5D992€and€5E992,€you€may€effectÐ ° Ðyour€shipment€using€the€symbol€"NLR".€€Proceed€to€parts€758€and€762€of€the€EAR€forÐ |Ì Ðinformation€on€export€clearance€procedures€and€recordkeeping€requirements.€Note€thatÐ H˜ Ðalthough€you€may€stop€after€determining€a€license€is€required€based€on€the€first€ReasonÐ  d Ðfor€Control,€it€is€best€to€work€through€each€applicable€Reason€for€Control.€A€full€analysisÐ à 0 Ðof€every€possible€licensing€requirement€based€on€each€applicable€Reason€for€Control€isÐ ¬ ü  Ðrequired€to€determine€the€most€advantageous€License€Exception€available€for€yourÐ xÈ  Ðparticular€transaction€and,€if€a€license€is€required,€ascertain€the€scope€of€reviewÐ D”  Ðconducted€by€BIS€on€your€license€application.Ð ` ÐÓ XÓÓE+Ü Ü4Œ ä <”ìDœôL¤ü!444ŠXü!EÓò òÔÿÔÌó óÔÿÔà@þþìà*€€€€€*€€€€€*€€€€€*€€€€€*ˆÐ ¨ø ÐÌò òPART€740€„€€[AMENDED]Ð @ Ðó óÌÓ ÔþÓÓ XÓÓ?(4 4Œ ä <”ìDœôL¤ü!ÜÜ‹Xü!?Ó16.à 4 àSection€740.9€is€amended€by€revising€paragraph€(c)€to€read€as€follows:Ð Ø( ÐÓ ÔþÓÓ XÓÓB+Ü Ü4Œ ä <”ìDœôL¤ü!44ŠXü!BÓò òÌðð740.9€Temporary€imports,€exports€and€reexports€(TMP).ó óÐ p!À  ÐÌà@þþìà*€€€€€*€€€€€*€€€€€*€€€€€*ˆÐ %X $ ÐÌ(c)€€òòExports€of€beta€test€softwareóó.Ð  (ð#( Ðâ âÐ l*¼%* ÐÑv€¨"Ñâ vâÑ € Ñâ vâÑ  Ñà 4 à(1)€€òòScopeóó.€€The€provisions€of€this€paragraph€(c)€authorize€exports€and€reexportsÐ ° Ðâ âto€eligible€countries€of€beta€test€software€intended€for€distribution€to€the€general€public.Ð |Ì ÐÌà 4 à(2)€€òòEligible€countriesóó.€€Encryption€software€controlled€under€ECCN€5D002€is€notÐ  d Ðeligible€for€export€or€reexport€to€Cuba,€Iran,€Iraq,€Libya,€North€Korea,€Sudan€or€SyriaÐ à 0 Ðunder€the€provisions€of€this€paragraph€(c).€€All€other€beta€test€software€is€eligible€forÐ ¬ ü  Ðexport€or€reexport€to€all€destinations,€except€Cuba,€Iran,€Iraq,€Libya,€and€Sudan€under€theÐ xÈ  Ðprovisions€of€this€paragraph€(c).€€Ð D”  ÐÌà 4 à(3)€€òòEligible€softwareóó.€€All€software€that€is€controlled€by€the€Commerce€ControlÐ Ü, ÐList€(Supplement€No.1€to€part€774€of€the€EAR),€and€under€Commerce€licensingÐ ¨ø Ðjurisdiction,€is€eligible€for€export€and€reexport,€subject€to€the€restrictions€of€thisÐ tÄ Ðparagraph€(c).€€Encryption€software€controlled€for€"EI"€reasons€under€ECCN€5D002€isÐ @ Ðeligible€for€export€and€reexport€under€this€paragraph€(c),€provided€that€the€exporter€hasÐ  \ Ðsubmitted€the€information€described€in€paragraph€(c)(8)€of€this€section€by€the€time€ofÐ Ø( Ðexport.€€Final€encryption€products€produced€by€the€testing€consignee€are€subject€to€anyÐ ¤ô Ðapplicable€provisions€in€ðð742.15(b)(2)€of€the€EAR€(for€mass€market€encryptionÐ p!À  Ðcommodities€and€software€with€symmetric€key€length€exceeding€64„bitsš)€or€ðð740.17€ofÐ <#Œ" Ðthe€EAR€(License€Exception€ENC),€including€review€and€reporting€requirements.Ð %X $ ÐÌà 4 à(4)€€òòConditions€for€useóó.€€Exports€or€reexports€of€beta€test€software€programs€underÐ  (ð#( Ðâ âthe€provisions€of€this€paragraph€(c)€must€meet€all€of€the€following€conditions:Ð l*¼%* ÐÑw€¨#Ñâ wâÑ € Ñâ wâÑ  Ñà 4 àà Œ à(i)€The€software€producer€intends€to€market€the€software€to€the€generalÐ ° Ðâ âpublic€after€completion€of€the€beta€testing,€as€described€in€the€General€Software€NoteÐ |Ì Ð(see€Supplement€2€to€part€774€of€the€EAR)€or€the€Cryptography€Note€in€Category€5,€Ð H˜ ÐPart€2€(ð ðInformation€Securityðð)€of€the€Commerce€Control€List€(see€Supplement€No.1€toÐ  d Ðpart€774€of€the€EAR);Ð à 0 ÐÌÓ XÓà Œ à(ii)€€The€software€producer€provides€the€software€to€the€testing€consigneeÐ xÈ  Ðfree„of„charge€or€at€a€price€that€does€not€exceed€the€cost€of€reproduction€and€distribution;Ð D”  ÐandÐ ` Ðà Œ à(iii)€€The€software€is€designed€for€installation€by€the€end„user€withoutÐ Ü, Ðfurther€substantial€support€from€the€supplier.Ð ¨ø ÐÓ XÓÌà 4 à(5)€€òòImporter€Statementóó.€€Prior€to€exporting€or€reexporting€any€eligible€softwareÐ @ Ðunder€this€paragraph€(c),€the€exporter€or€reexporter€must€obtain€the€following€statementÐ  \ Ðfrom€the€testing€consignee,€which€may€be€included€in€a€contract,€non„disclosureÐ Ø( Ðagreement,€or€other€document€that€identifies€the€importer,€the€software€to€be€exported,Ð ¤ô Ðthe€country€of€destination,€and€the€testing€consignee.€Ð p!À  ÐÌÓ XÓÓ XÓÓ?(4 44Œ ä <”ìDœôL¤ÜÜ‹Xü!?Ó"We€certify€that€this€beta€test€software€will€only€be€used€for€beta€testingÐ %X $ Ðpurposes,€and€will€not€be€rented,€leased,€sold,€sublicensed,€assigned,€orÐ Ô&$"& Ðotherwise€transferred.€€Further,€we€certify€that€we€will€not€transfer€orÐ  (ð#( Ðexport€any€product,€process,€or€service€that€is€the€direct€product€of€the€betaÐ l*¼%* Ðtest€software."€€Ð 8,ˆ',  ÐÑx€¨$Ñâ xâÑ c Ñâ xâÑ  ÑÓ XÓÓ XÓÓE+Ü Ü4Œ ä <”ìDœôL¤ü!444‰X¤EÓà 4 à(6)€€òòUse€limitationsóó.€€Only€testing€consignees€that€provide€the€importer€statementÐ ° Ðrequired€by€paragraph€(c)(5)€of€this€section€may€execute€any€beta€test€software€that€wasÐ |Ì Ðexported€or€reexported€to€them€under€the€provisions€of€this€paragraph€(c).Ð H˜ Ѐ€€Ð  d Ðà 4 à(7)€€òòReturn€or€disposal€of€softwareóó.€€All€beta€test€software€exported€must€beÐ à 0 Ðdestroyed€abroad€or€returned€to€the€exporter€within€30€days€of€the€end€of€the€beta€testÐ ¬ ü  Ðperiod€as€defined€by€the€software€producer€or,€if€the€software€producer€does€not€define€aÐ xÈ  Ðtest€period,€within€30€days€of€completion€of€the€consignee's€role€in€the€test.€€Among€otherÐ D”  Ðmethods,€this€requirement€may€be€satisfied€by€a€software€module€that€will€destroy€theÐ ` Ðsoftware€and€all€its€copies€at€or€before€the€end€of€the€beta€test€period.Ð Ü, ÐÌà 4 à(8)€òòNotification€and€reporting€of€beta€test€encryption€softwareóó.Ð tÄ ÐÌÓ XÓà Œ à(i)€òòNotificationóó.€€For€beta€test€encryption€software€eligible€under€thisÐ  \ Ðlicense€exception,€you€must€submit€to€BIS,€by€the€time€of€export,€the€informationÐ Ø( Ðdescribed€in€paragraphs€(a)€through€(e)€of€Supplement€6€to€part€742€of€the€EAR.€€SubmitÐ ¤ô Ðyour€notification€by€email€to€BIS€at€crypt@bis.doc.gov,Ô#†ôµòXX÷ç·Í#ÔÔ‡X÷çXòôµÔ€and€provide€a€copy€of€theÐ p!À  Ðnotification€to€the€ENC€Encryption€Request€Coordinator€at€enc@ncsc.mil.Ð <#Œ" ÐÓ XÓÌÓ XÓà Œ à(ii)€òòReportingóó.€€For€beta€test€encryption€software€eligible€under€this€licenseÐ Ô&$"& Ðexception,€the€exporter€must€submit€the€names€and€addresses€of€the€testing€consigneesÐ  (ð#( Ð(except€names€and€addresses€of€individual€consumers)€and€the€name€and€version€of€theÐ l*¼%* Ðbeta€software€consistent€with€ðð740.17(e)(5)€of€the€EAR.€ò òÐ 8,ˆ',  ÐÑz€¨%Ñâ zâÑ € Ñâ zâÑ  ÑÓ XÓó óà 4 à17.à Œ à€€Section€740.13€is€amended€by€revising€the€introductory€text,€by€revising€Ð ° Ðparagraphs€(d)(1)€and€(d)(2),€and€by€revising€paragraph€(e)€to€read€as€follows:Ð |Ì ÐÓB+Ü Ü4Œ ä <”ìDœôL¤ü!ÜÜ‹Xü!BÓÌò òðð740.13€Technology€and€software€unrestricted€(TSU)ó óÐ  d ÐÌThis€license€exception€authorizes€exports€and€reexports€of€operation€technology€andÐ ¬ ü  Ðsoftware;€sales€technology€and€software;€software€updates€(bug€fixes);€"mass€market"Ð xÈ  Ðsoftware€subject€to€the€General€Software€Note;€and€encryption€source€code€(andÐ D”  Ðcorresponding€object€code)€that€would€be€considered€publicly€available€underÐ ` Ððð734.3(b)(3)€of€the€EAR.€€Note€that€encryption€software€subject€to€the€EAR€is€not€subjectÐ Ü, Ðto€the€General€Software€Note€(see€paragraph€(d)(2)€of€this€section).€òòÔÿÔÐ ¨ø ÐóóÔÿÔÌà@þþìà*€€€€€*€€€€€*€€€€€*€€€€€*ˆÐ @ ÐÌ(d)€òòGeneral€Software€Note:€"mass€market"€softwareóó€Ð Ø( ÐÌÓ XÓÓB+Ü Ü` Œ ä <”ìDœôL¤ü!ÜÜ‹Xü!BÓòò(1)à ` àScopeóó.€The€provisions€of€paragraph€(d)€authorize€exports€and€reexports€ofÐ p!À  Ð"mass€market"€software€subject€to€the€General€Software€Note€(see€Supplement€No.€2€toÐ <#Œ" Ðpart€774€of€the€EAR;€also€referenced€in€this€section).׃E×Ý ƒG#ÃÝòòÚ  Ú1Ú  ÚóóÝ  Ý×  ׀Р%X $ ÐÓ XÓÓ XÓÓH+4 44Œ ä <”ìDœôL¤ü!ÜÜ` Œ ‰Xü!HÓà Œ àà ä àà < àà ” àà ì àà D àà œ àÌÓ XÓÓ XÓÓE+Ü Ü` Œ ä <”ìDœôL¤ü!444ŠXü!EÓòò(2)à ` àExclusions.óó€The€provisions€of€this€paragraph€(d)€are€not€available€forÐ  (ð#( Ðencryption€software€controlled€for€ð ðEIðð€reasons€under€ECCN€5D002€oršûÿÿÿdû€for€üÿÿÿdüencryptionÐ l*¼%*> ÐÑ{€¨&Ñâ {âÑ t Ñâ {âÑ  Ñsoftware€with€symmetric€key€length€exceeding€64„bitsûÿÿÿdû€üÿÿÿdüthatûÿÿÿdû€qualifies€as€üÿÿÿdümass€marketûÿÿÿdûÐ ° Ðencryption€software€under€the€criteria€in€üÿÿÿdüthe€Cryptography€Note€(Note€3)€of€Category€5,Ð |Ì ÐPart€2,€of€the€Commerce€Control€List€(Supplement€No.€1€to€Part€774€of€the€EAR).ûÿÿÿdû€€(OnceÐ H˜ Ðsuch€mass€market€üÿÿÿdüencryptionûÿÿÿdû€software€has€been€üÿÿÿdüreviewed€by€BIS€andš€released€from€ð ðEIððÐ  d Ðand€ð ðNSðð€controls€pursuant€to€ðð742.15(b)(2)€of€the€EAR,€it€isšûÿÿÿdû€controlled€üÿÿÿdüunderšûÿÿÿdû€€ECCNÐ à 0 Ð5D992€and€üÿÿÿdüis€thusûÿÿÿdû€outside€the€scope€of€License€Exception€TSU.)ò òüÿÿÿdüó ó€ò òò òòòûÿÿÿdûó óó óSeeóó€ðð742.15(b)(2)€of€theÐ ¬ ü  ÐEAR€for€exports€and€reexports€of€ò òó ómass€market€encryption€products€controlled€underÐ xÈ  ÐECCN€5D992.ò òó óüÿÿÿdüÐ D”  ÐÓ XÓÓH+Ü Ü4Œ ä <”ìDœôL¤ü!ÜÜ` Œ ‰Xü!HÓÌà@þþìà*€€€€€*€€€€€*€€€€€*€€€€€*ˆÐ Ü, ÐÌ(e)€òòEncryption€source€code€(and€corresponding€object€code)óó.Ð tÄ ÐÌÓ XÓ(1)€òòScopeóó.€The€provisions€of€paragraph€(e)€of€this€section€authorize€exports€andÐ  \ Ðreexports,€without€review,€of€encryption€source€code€controlled€under€ECCN€5D002€thatÐ Ø( Ðwould€be€considered€publicly€available€under€ðð734.3(b)(3)€of€the€EAR,€andÐ ¤ô Ðcorresponding€object€code€resulting€from€the€compiling€of€such€source€code.ò òó óÐ p!À  ÐÓ XÓÌÓ XÓ(2)€òòEligible€Softwareóó.€€Encryption€source€code€is€eligible€for€export€and€reexportÐ %X $ Ðunder€License€Exception€TSU,€provided€that€it€would€be€considered€publicly€availableÐ Ô&$"& Ðunder€ðð734.3(b)(3)€of€the€EAR.€€Such€encryption€source€code€is€eligible€for€LicenseÐ  (ð#( ÐException€TSU€even€if€it€is€subject€to€an€express€agreement€for€the€payment€of€aÐ l*¼%* Ðlicensing€fee€or€royalty€for€commercial€production€or€sale€of€any€product€developedÐ 8,ˆ',> ÐÑ|€¨'Ñâ |âÑ t Ñâ |âÑ  Ñusing€the€source€code.€€Corresponding€object€code€resulting€from€the€compiling€of€such€Ð ° Ðsource€code€is€also€eligible€for€License€Exception€TSU€treatment€if€such€object€codeÐ |Ì Ðwould€also€be€considered€publicly€available€under€ðð734.3(b)(3)€of€the€EAR.šÐ H˜ ÐÓ XÓÌÓ XÓ(3)€òòRestrictions.óó€€Encryption€software€controlled€under€ECCN€5D002€that€wouldÐ à 0 Ðnot€be€considered€publicly€available,€but€which€incorporates€or€is€specially€designed€toÐ ¬ ü  Ðuse€encryption€software€that€would€be€considered€publicly€available,€is€not€eligible€forÐ xÈ  Ðexport€or€reexport€under€this€paragraph€(e).Ð D”  ÐÓ XÓÌÓ XÓ(4)€òòCountry€restrictionsóó.€€You€may€not€knowingly€export€or€reexport€source€code,Ð Ü, Ðcorresponding€object€code€or€products€developed€with€this€source€code€to€Cuba,€Iran,Ð ¨ø ÐIraq,€Libya,€North€Korea,€Sudan€or€Syria.Ð tÄ ÐÓ XÓÌà 4 à(5)€òòNotification€requirementóó.€€You€must€provide€BIS€written€notification€of€theÐ  \ ÐInternet€location€(e.g.,€URL€or€Internet€address)€of€the€source€code€or€a€copy€of€theÐ Ø( Ðsource€code€by€the€time€of€export.€Submit€the€notification€by€email€Ô#†ôµòXX÷ç##ÔÔ‡X÷çXòôµÔto€BIS€atÔ#†ôµòXX÷çü<#ÔÔ‡X÷çXòôµÔÐ ¤ô Ðcrypt@bis.doc.gov,Ô#†ôµòXX÷çG=#ÔÔ‡X÷çXòôµÔ€and€provide€a€copy€of€the€notification€to€the€ENC€EncryptionÐ p!À  ÐRequest€Coordinator€at€enc@ncsc.milÔ#†ôµòXX÷ç°=#ÔÔ‡X÷çXòôµÔ.Ð <#Œ" ÐÌà 4 à(6)€ð ðòòKnowledgeðð€of€a€prohibited€export€or€reexportóó.€€Posting€of€source€code€orÐ Ô&$"& Ðcorresponding€object€code€on€the€Internet€(e.g.,€FTP€or€World€Wide€Web€site)€where€itÐ  (ð#( Ðmay€be€downloaded€by€anyone€would€not€establish€ð ðknowledgeðð€of€a€prohibited€exportÐ l*¼%* Ðor€reexport.€€òòSeeóó€ðð€740.13(e)(4)€of€the€EAR€for€prohibited€knowing€exports€to€Cuba,€Iran,Ð 8,ˆ',> ÐÑ}€¨(Ñâ }âÑ € Ñâ }âÑ  ÑIraq,€Libya,€North€Korea,€Sudan€and€Syria.€€In€addition,€such€posting€would€not€triggerÐ ° Ðð ðred€flagsðð€necessitating€the€affirmative€duty€to€inquire€under€the€ð ðKnow€YourÐ |Ì ÐCustomerðð€guidance€provided€in€Supplement€No.€3€to€part€732€of€the€EAR.€Ð H˜ ÐÔÿÔÌÔÿÔÓ ÔþÓÓ XÓÓ?(4 4Œ ä <”ìDœôL¤ü!ÜÜ‹Xü!?Ó18.à 4 àSection€740.17€is€revised€to€read€as€follows:Ð à 0 ÐÓ ÔþÓÓ XÓÓB+Ü Ü4Œ ä <”ìDœôL¤ü!44ŠXü!BÓÌò òðð740.17€€Encryption€commodities€and€software€(ENC).ó óÐ xÈ  ÐÌLicense€Exception€ENC€authorizes€the€export€and€reexport€of€encryption€items€controlledÐ ` Ðunder€ECCN€5A002,€5D002€or€5E002,€and€ð ðinformation€securityðð€test,€inspection,€andÐ Ü, Ðproduction€equipment€controlled€under€ECCN€5B002.€€Encryption€items€exported€andÐ ¨ø Ðreexported€under€License€Exception€ENC€remain€subject€to€ð ðEIðð€controls.€€No€encryptionÐ tÄ Ðitems€may€be€exported€or€reexported,€under€this€license€exception,€to€countries€listed€inÐ @ ÐCountry€Group€E:1€of€Supplement€No.€1€to€this€Part€ð!ð€this€includes€exports€and€reexportsÐ  \ Ð(as€defined€in€ðð734.2€of€the€EAR)€of€encryption€source€code€and€technology€to€nationalsÐ Ø( Ðof€these€countries.€€Review€and€reporting€requirements€apply€to€certain€exports€under€thisÐ ¤ô Ðlicense€exception€(paragraph€(d)€of€this€section€describes€how€to€submit€encryption€itemsÐ p!À  Ðfor€review;€paragraph€(e)€of€this€section€describes€which€exports€are€subject€to€reportingÐ <#Œ" Ðrequirements).€€Certain€exports€and€reexports€to€government€end„users€are€authorizedÐ %X $ Ðunder€paragraphs€(a)€and€(b)(3)€of€this€section.€€Section€772.1€of€the€EAR€defines€theÐ Ô&$"& Ðterm€ð ðgovernment€end„userðð€as€it€applies€to€encryption€items.€€Section€742.15€of€the€EARÐ  (ð#( Ðdescribes€the€license€requirements€and€policies€that€apply€to€exports€and€reexports€ofÐ l*¼%* Ðencryption€items.€Ð 8,ˆ',  ÐÑ~€¨)Ñâ ~âÑ t Ñâ ~âÑ  ÑÌ(a)€òòExports€and€reexports€to€countries€listed€in€Supplement€3€to€this€partóó.€€EncryptionÐ |Ì Ðitems€controlled€under€ECCN€5A002,€5D002€or€5E002€(except€cryptanalytic€items€asÐ H˜ Ðdefined€in€Part€772€of€the€EAR),€and€ð ðinformation€securityðð€test,€inspection,€andÐ  d Ðproduction€equipment€controlled€under€ECCN€5B002,€are€authorized€for€immediateÐ à 0 Ðexport€and€reexport€to€government€and€non„government€end„users€located€in€theÐ ¬ ü  Ðcountries€listed€in€Supplement€3€to€this€part€740,€subject€to€the€review€requirementsÐ xÈ  Ðdescribed€in€paragraph€(d)€of€this€section.€€Cryptanalytic€items€are€authorized€to€non„Ð D”  Ðgovernment€end„users,€only,€under€this€paragraph€(a)š.€€Encryption€items€andÐ ` Ðð ðinformation€securityðð€test,€inspection,€and€production€equipment€may€also€be€exported€Ð Ü, Ðor€reexported€to€any€destination€eligible€under€this€license€exception€for€the€internal€useÐ ¨ø Ðof€foreign€subsidiariûÿÿÿdûes€or€üÿÿÿdüoffices€of€firms,€organizations€and€governments€headquarteredÐ tÄ Ðin€Canada€or€in€countries€listed€in€Supplement€3€to€this€part€740.€€(Note€that€LicenseÐ @ ÐException€ENC€prohibits€exports€and€reexports€of€encryption€source€code€andÐ  \ Ðtechnology€to€nationals€of€countries€listed€in€Country€Group€E:1€of€Supplement€No.€1€toÐ Ø( Ðthis€Part.)€€Before€you€export€an€item€for€the€first€time€under€this€license€exception,€youÐ ¤ô Ðmust€submit€to€BIS€and€the€ENC€Encryption€Request€Coordinator€a€review€request€forÐ p!À  Ðthat€item,€as€described€in€paragraph€(d)€of€this€section.€€See€ò òó óparagraph€(e)€of€this€sectionÐ <#Œ" Ðfor€applicable€semi„annual€reporting€requirements.Ð %X $ ÐÌ(b)€òòExports€and€reexports€to€all€other€eligible€countriesóó.òòÐ  (ð#( Ðâ âÐ l*¼%* ÐÑ€¨*Ñâ âÑ € Ñâ âÑ  ÑÓ XÓóó(1)òò€Encryption€items€for€U.S.€subsidiariesóó.€€Exports€and€reexports€of€encryptionÐ ° Ðâ âitems€controlled€under€ECCN€5A002,€5D002€or€5E002€and€ð ðinformation€securityðð€test,Ð |Ì Ðinspection,€and€production€equipment€controlled€under€ECCN€5B002,€are€authorizedÐ H˜ Ðunder€this€license€exceptionò òó ó,€without€review,€to€foreign€subsidiaries€of€U.S.€companiesÐ  d Ðfor€any€end„use€not€prohibited€elsewhere€in€the€EAR.€€This€paragraph€(b)(1)€alsoÐ à 0 Ðauthorizes€exports€and€reexports€by€U.S.€companies€and€their€subsidiaries€of€any€suchÐ ¬ ü  Ðitems€(including€encryption€source€code€and€technology),€to€foreign€nationals€Ô#†ôµòXX÷çg>#ÔÔ‡X÷çXòôµÔworking€asÐ xÈ  Ðcontractors,€interns€or€employees€of€said€U.S.€companies€and€their€subsidiaries,€providedÐ D”  Ðthat€the€items€are€forÔ#†ôµòXX÷çþT#ÔÔ‡X÷çXòôµÔ€internal€company€use,€including€the€development€of€new€products.€Ð ` Ð(Note€that€License€Exception€ENC€prohibits€exports€and€reexports€of€encryption€sourceÐ Ü, Ðcode€and€technology€to€nationals€of€countries€listed€in€Country€Group€E:1€of€SupplementÐ ¨ø ÐNo.€1€to€this€Part).€All€items€produced€or€developed€by€U.S.€subsidiaries€with€encryptionÐ tÄ Ðcommodities,€software€and€technology€exported€under€this€paragraph€(b)(1)€are€subject€toÐ @ Ðthe€EAR€and€require€review€and€authorization€before€any€sale€or€retransfer€outside€of€theÐ  \ ÐU.S.€companyÔÿÔ.Ð Ø( ÐÓ XÓÔÿÔÌà 4 à(2)€òòEncryption€commodities€and€software€to€non„government€end„usersóó.€ThirtyÐ p!À  Ðdays€after€registration€of€a€completed€review€request€by€BIS€(ð ðregistrationðð€is€defined€inÐ <#Œ" Ððð750.4(a)(2)€of€the€EAR),€encryption€commodities,€software€and€components€controlledÐ %X $ Ðunder€ECCN€5A002€or€5D002€(except€such€items€which€provide€an€open€cryptographicÐ Ô&$"& Ðinterface,€as€defined€in€part€772€of€the€EAR),€and€ð ðinformation€securityðð€test,€inspection,Ð  (ð#( Ðor€production€equipment€controlled€under€ECCN€5B002,€are€authorized€for€export€orÐ l*¼%* Ðreexport€to€any€individual,€commercial€firm€or€other€non„government€end„user€locatedÐ 8,ˆ',> ÐÑ€€¨+Ñâ €âÑ € Ñâ €âÑ  Ñoutside€the€countries€listed€in€Supplement€3€to€this€part€740.€€The€thirty€days€may€notÐ ° Ðinclude€any€time€that€your€review€request€was€on€hold€without€action.€€Ô#†ôµòXX÷çãU#ÔÔ‡X÷çXòôµÔTo€requestÐ |Ì Ðauthorization€under€the€provisions€of€this€paragraph€(b)(2),€you€must€submit€to€BIS€andÐ H˜ Ðthe€ENC€Encryption€Request€Coordinator€a€review€request€as€described€in€paragraph€(d)Ð  d Ðof€this€section.€€See€ò òó óparagraph€(e)€of€this€section€for€applicable€semi„annual€reportingÐ à 0 Ðrequirements.š€€Encryption€commodities€and€software€eligible€for€export€or€reexport€underÐ ¬ ü  Ðthis€paragraph€(b)(2)€include,€but€are€not€limited€to,€the€following:Ð xÈ  ÐÌÓ °Ó(i)€Network€infrastructure€products,€such€as€high€end€routers€or€switchesÐ ` Ðdesigned€for€large€volume€communications,€and€specially€designed€software,€parts,€andÐ Ü, Ðcomponents€thereof€(including€commodities€and€software€which€activate€or€enableÐ ¨ø Ðcryptographic€functionality€in€network€infrastructure€products€that€would€otherwiseÐ tÄ Ðremain€disabled);Ð @ ÐÓ °ÓÌÓ °Ó(ii)€Encryption€source€code€that€would€not€be€considered€publiclyÐ Ø( Ðavailable€for€export€or€reexport€under€License€Exception€TSU.€(You€may€immediatelyÐ ¤ô Ðexport€and€reexport€such€encryption€source€code€under€License€Exception€ENC,€providedÐ p!À  Ðthat€you€have€submitted€a€review€request,€including€a€copy€of€your€source€code,€to€BISÐ <#Œ" Ðand€the€ENC€Encryption€Request€Coordinator.€€Note€that€License€Exception€ENCÐ %X $ Ðprohibits€exports€and€reexports€of€encryption€source€code€to€countries€listed€in€CountryÐ Ô&$"& ÐGroup€E:1€of€Supplement€No.€1€to€this€Part,€or€to€nationals€of€Ô#†ôµòXX÷çä\#ÔÔ‡X÷çXòôµÔthese€countries.Ô#†ôµòXX÷çÛc#ÔÔ‡X÷çXòôµÔ);Ð  (ð#( ÐÓ °ÓÌÓ XÓÓ XÓÓB+4 44Œ ä <”ìDœôL¤ü!ÜÜ‹Xü!BÓ(iii)€General€purpose€toolkits;Ð 8,ˆ',  ÐÑ€¨,Ñâ âÑ ð Ñâ âÑ  ÑÓ XÓÓ XÓÓE+Ü Ü4Œ ä <”ìDœôL¤ü!444ŠXü!EÓÌÓ ¨ýÓÓ ÓÓ?(ä ¸  ä <”ìDœôL¤ü!ÜÜ‹Xü!?Ó(iv)à ¸ à€Cryptanalytic€items€(as€defined€in€part€772€of€the€EAR);Ð |Ì ÐÓ ¨ýÓÓ ÓÓH+Ü Ü4Œ ä <”ìDœôL¤ü!ä ¸  ä ˆXü!HÓò òò òÔÿÔÌÓ °Óó óó óÔÿÔ(v)€Commodities,€software€and€components€not€otherwise€authorized€forÐ  d Ðexport€as€mass€market€or€retail.Ð à 0 ÐÓ °Óà 4 à(3)€òòRetail€encryption€commodities,€software€and€components€to€government€andÐ ¬ ü  Ðnon„government€end„users.óó€Thirty€days€after€registration€of€a€completed€review€requestÐ xÈ  Ðby€BIS€(ð ðregistrationðð€is€defined€in€ðð750.4(a)(2)€of€the€EAR)Ô#†ôµòXX÷ç-d#ÔÔ‡X÷çXòôµÔ,€retail€encryptionÐ D”  Ðcommodities,€software€and€components€controlled€under€ECCN€5A002€or€5D002€areÐ ` Ðauthorized€for€export€and€reexport€to€any€individual,€commercial€firm€or€other€non„Ð Ü, Ðgovernment€end„user€located€outside€the€countries€listed€in€Supplement€3€to€this€part€740.€Ð ¨ø ÐThe€thirty€days€may€not€include€any€time€that€your€review€request€was€on€hold€withoutÐ tÄ Ðaction.Ô#†ôµòXX÷çêh#ÔÔ‡X÷çXòôµÔ€€Once€BIS€has€completed€its€review€and€authorizes€your€encryption€commodities,Ð @ Ðsoftware,€and€components€for€export€or€reexport€as€retail€encryption€items€under€LicenseÐ  \ ÐException€ENC,€you€may€also€export€or€reexport€these€items€to€government€end„users.€Ð Ø( ÐTo€request€authorization€under€the€provisions€of€this€paragraph€(b)(3),€you€must€submitÐ ¤ô Ðto€BIS€and€the€ENC€Encryption€Request€Coordinator€a€review€request€as€described€inÐ p!À  Ðparagraph€(d)€of€this€section.€€See€ò òó óparagraph€(e)€of€this€section€for€applicable€semi„annualÐ <#Œ" Ðreporting€requirements.šò òó óÐ %X $ ÐÓB+Ü Ü4Œ ä <”ìDœôL¤ü!ÜÜ‹Xü!BÓÌà 4 àà0 Œ à(i)€òòRetail€eligibility€criteriaóó.€€Retail€encryption€commodities€and€softwareÐ  (ð#( Ðare€products€and€components:Ðl*¼%*Œ ü!Œ ü! ÐÐ 8,ˆ',  ÐÑ‚€¨-Ñâ ‚âÑ ð Ñâ ‚âÑ  Ñà 4 àà0 Œ àà ä à(A)€Generally€available€to€the€public€by€means€of€any€of€theÐ ° Ðfollowing:Ð|ÌŒ ü!Œ ü! Ðà 4 àà Œ àà0 ä àà < à(òò1óó)€Are€sold€in€tangible€form€through€retail€outletsÐ H˜ Ðindependent€of€the€manufacturer;Ð dä ü!ä ü! Ðà 4 àà Œ àà0 ä àà < à(òò2óó)€Areš€specially€designed€for€individual€consumer€use;€orÐà 0ä ü!ä ü! Ðà 4 àà Œ àà0 ä àà < à(òò3óó€)€Areš€sold€or€will€be€sold€in€large€volume,€withoutÐ ¬ ü  Ðrestriction,€through€mail€order€transactions,€electronic€transactions,Ð xÈ  Ðor€telephone€call€transactions;€andÐD” ä ü!ä ü! ÐÌà 4 àà0 Œ àà ä à(B)€Meeting€all€of€the€following:ÐÜ,Œ ü!Œ ü! Ðà 4 àà Œ àà0 ä àà < à(òò1óó)€The€cryptographic€functionality€cannot€be€easilyÐ ¨ø Ðchanged€by€the€user;ÐtÄä ü!ä ü! Ðà 4 àà Œ àà0 ä àà < à(òò2óó)€Substantial€support€is€not€required€for€installation€andÐ @ Ðuse;€andÐ \ä ü!ä ü! Ðà 4 àà Œ àà0 ä àà < à(òò3óó)€The€cryptographic€functionality€has€not€been€modifiedÐ Ø( Ðor€customized€to€customer€specification.Фôä ü!ä ü! ÐÌà 4 àà Œ à(ii)€òòAdditional€types€of€retail€encryption€productsóó.€€The€following€productsÐ <#Œ" Ðwill€also€be€considered€to€be€retail€encryption€products:à œ àÐ %X $ ÐÌà0 4 àà Œ àà ä à(A)€Encryption€commodities€and€software€(including€keyÐ  (ð#( Ðmanagement€products)€with€key€lengths€not€exceeding€64ò òÔÿÔ€ó óÔÿÔbits€for€symmetricÐ l*¼%* Ðalgorithms,€1024€bits€for€asymmetric€key€exchange€algorithms,€and€160€bits€forÐ 8,ˆ',> Ðу€¨.Ñâ ƒâÑ e Ñâ ƒâÑ  Ñelliptic€curve€algorithms.€(You€may€immediately€export€or€reexport€suchÐ ° Ðencryption€commodities€and€software€as€retail€items€upon€submitting€a€completedÐ |Ì Ðreview€request€to€BIS€and€the€ENC€Encryption€Request€Coordinator,€inÐ H˜ Ðaccordance€with€the€requirements€described€in€paragraph€(d)€of€this€section);ò òÐ d4ü!4ü! ÐÌó óà0 4 àà Œ àà ä à(B)€Encryption€products€and€network„based€applications€thatÐ ¬ ü  Ðprovide€equivalent€functionality€to€other€mass€market€or€retail€encryptionÐ xÈ  Ðcommodities€and€software€(refer€to€the€Cryptography€Note€(Note€3)€to€part€II€ofÐ D”  ÐCategory€5€of€the€CCL€for€the€definition€of€mass€market€encryption€commoditiesÐ ` Ðand€software);ÐÜ,4ü!4ü! ÐÌà0 4 àà Œ àà ä à(C)€Encryption€products€that€are€limited€to€allowing€foreign„Ð tÄ Ðdeveloped€cryptographic€products€to€operate€with€U.S.€products€(e.g.€signing).€NoÐ @ Ðreview€of€the€foreign„developed€cryptography€is€required;Ð \4ü!4ü! ÐÌà0 4 àà Œ àà ä à(D)€Encryption€commodities€and€software€that€activate€or€enableÐ ¤ô Ðcryptographic€functionality€in€retail€encryption€products€which€would€otherwiseÐ p!À  Ðremain€disabled.Ô#†ôµòXX÷çÿj#ÔÔ‡X÷çXòôµÔÐ<#Œ"4ü!4ü! ÐÌà 4 àà Œ à(iii)€€òòExamples€of€eligible€retail€encryption€productsóó:€Subject€to€the€retailÐ Ô&$"& Ðeligibility€criteria€in€paragraph€(b)(3)(i)€of€this€section,€retail€encryption€items€include,Ð  (ð#( Ðbut€are€not€limited€to,€the€following:Ð l*¼%* ÐÐ 8,ˆ', ÐÑ„€¨/Ñâ „âÑ ð Ñâ „âÑ  Ñà0 4 àà Œ àà ä à(A)€General€purpose€operating€systems€that€do€not€qualify€as€massÐ ° Ðmarket;Ð|Ì4ü!4ü! ÐÌà0 4 àà Œ àà ä à(B)€Non„programmable€encryption€chips,€and€chips€that€areÐ  d Ðconstrained€by€design€for€retail€products;€Ðà 04ü!4ü! ÐÌà0 4 àà Œ àà ä à(C)€Retail€networking€products,€such€as€low„end€routers,€firewalls,Ð xÈ  Ðand€virtual€private€networking€(VPN)€equipment€designed€for€small€office€orÐ D”  Ðhome€use;Ð`4ü!4ü! ÐÌà0 4 àà Œ àà ä à(D)€Desktop€applications€(e.g.€e„mail,€browsers,€games,€wordÐ ¨ø Ðprocessing,€database,€financial€applications€or€utilities)€that€do€not€qualify€as€massÐ tÄ Ðmarket;Ð@4ü!4ü! ÐÌà0 4 àà Œ àà ä à(E)€Programmable€database€management€systems€and€associatedÐ Ø( Ðapplication€servers;Фô4ü!4ü! ÐÌà0 4 àà Œ àà ä à(F)€Low„end€servers€and€application„specific€servers€(includingÐ <#Œ" Ðclient„server€applications,€e.g.€Secure€Socket€Layer€(SSL)„based€web€applicationsÐ %X $ Ðand€applets,€servers,€and€portals);ÐÔ&$"&4ü!4ü! Ðâ âÐ  (ð#( ÐÑ…€¨0Ñâ …âÑ e Ñâ …âÑ  Ñà0 4 àà Œ àà ä à(G)€Network€and€security€management€products€designed€for,Ð ° Ðbundled€with,€or€pre„loaded€on€single€CPU€computers,€low„end€servers€or€retailÐ |Ì Ðnetworking€products;€andÐH˜4ü!4ü! Ðâ âÌà0 4 àà Œ àà ä à(H)€Short„range€wireless€components€and€software€that€do€notÐ à 0 Ðqualify€as€mass€market.€€Products€that€would€be€controlled€under€ECCN€5A002€orÐ ¬ ü  Ð5D002,€only€because€they€incorporate€components€or€software€which€provideÐ xÈ  Ðshort„range€wireless€encryption€functions,€may€be€exported€or€reexported€underÐ D”  Ðthe€retail€provisions€of€License€Exception€ENC,€without€review€or€reporting.Ð`4ü!4ü! ÐÌ(4)€òòReviews€for€de€minimis€eligibilityóó:€€Items€controlled€for€ð ðEIðð€reasons€under€ECCNÐ ¨ø Ð5A002,€5D002€or€5E002€are€not€eligible€for€de€minimis€treatment€under€ðð734.4€of€theÐ tÄ ÐEAR.€€However,€exporters€may,€as€part€of€a€review€request,€ask€that€U.S.„origin€retailÐ @ Ðencryption€software€controlled€under€ECCN€5D002€and€U.S.„origin€parts€andÐ  \ Ðcomponents€controlled€under€ECCN€5A002,€that€are€incorporated€in€foreign„made€items,Ð Ø( Ðbe€made€eligible€for€òòde€minimisóó€treatment.€€The€review€of€òòde€minimisóó€eligibility€for€suchÐ ¤ô Ðitems€will€take€U.S.€national€security€interests€into€account.Ð p!À  ÐÌ(c)€òòReexports€and€transfersóó.€U.S.€or€foreign€distributors,€resellers€or€other€entities€who€areÐ %X $ Ðnot€original€manufacturers€of€encryption€commodities€and€software€are€permitted€to€useÐ Ô&$"& ÐLicense€Exception€ENC€only€in€instances€where€the€export€or€reexport€meets€theÐ  (ð#( Ðapplicable€terms€and€conditions€of€this€section.€Transfers€of€encryption€items€listed€inÐ l*¼%* Ðparagraph€(b)€of€this€section€to€government€end„users,€or€for€government€end„uses,Ð 8,ˆ',> Ðц€¨1Ñâ †âÑ e Ñâ †âÑ  Ñwithin€the€same€country€are€prohibited,€unless€otherwise€authorized€by€license€or€licenseÐ ° Ðexception.€€Foreign€products€developed€with€or€incorporating€U.S.„origin€encryptionÐ |Ì Ðsource€code,€components€or€toolkits€remain€subject€to€the€EAR,€but€do€not€require€reviewÐ H˜ Ð(for€encryption€reasons)ûÿÿÿdû€üÿÿÿdüby€BIS.€€These€products€can€be€exported€or€reexported€underÐ  d ÐLicense€Exception€ENC€without€notification€and€without€further€authorization€(forÐ à 0 Ðencryption€reasons)š€from€BIS.€€Such€products€include€foreign„developed€products€thatÐ ¬ ü  Ðare€designed€to€operate€with€U.S.€products€through€a€cryptographic€interface.ò òÐ xÈ  Ðó óÌ(d)€òòReview€requirementóó.€€Ð ` ÐÌà 4 à(1)€òòReview€request€proceduresóó.€€To€request€review€of€your€encryption€productsÐ ¨ø Ðunder€License€Exception€ENC,€you€must€submit€to€BIS€and€to€the€ENC€EncryptionÐ tÄ ÐRequest€Coordinator€the€information€described€in€paragraphs€(a)€through€(e)€ofÐ @ ÐSupplement€6€to€part€742€of€the€EAR€(Guidelines€for€Submitting€Review€Requests€forÐ  \ ÐEncryption€Items).€€Review€requests€must€be€submitted€on€Form€BIS„748PÐ Ø( Ð(Multipurpose€Application),€or€its€electronic€equivalent,€as€described€in€ðð748.3€of€theÐ ¤ô ÐEAR.€€To€ensure€that€your€review€request€is€properly€routed,€insert€the€phrase€ð ðLicenseÐ p!À  ÐException€ENCðð€in€Block€9€(Special€Purpose)€of€the€application€form€ûÿÿÿdûandüÿÿÿdü€place€an€ð ðXððÐ <#Œ" Ðin€the€box€marked€ð ðClassification€Requestðð€in€Block€5€(Type€of€Application)€ð!ð€Block€5Ð %X $ Ðdoes€not€provide€a€separate€item€to€check€for€the€submission€of€encryption€reviewÐ Ô&$"& Ðrequests.€€Failure€to€properly€complete€these€items€may€delay€consideration€of€yourÐ  (ð#( Ðreview€request.€€Review€requests€that€are€not€submitted€electronically€to€BIS€should€beÐ l*¼%* Ðmailed€to€the€address€indicated€in€ðð748.2(c)€of€the€EAR.€€See€paragraph€(e)(5)(ii)€of€thisÐ 8,ˆ',> Ðч€¨2Ñâ ‡âÑ , Ñâ ‡âÑ  Ñsection€for€the€mailing€address€for€the€ENC€Encryption€Request€Coordinatorò òó ó.€€BIS€willÐ ° Ðnotify€you€if€there€are€any€questions€concerning€your€request€for€review€under€LicenseÐ |Ì ÐException€ENC€(e.g.,€because€of€missing€or€incomplete€support€documentation).€OnceÐ H˜ Ðyour€review€has€been€completed,€BIS€will€notify€you€in€writing€concerning€the€eligibilityÐ  d Ðof€your€products€for€export€or€reexport,€under€the€provisions€of€this€license€exception.€Ð à 0 ÐBIS€reserves€the€right€to€suspend€your€eligibility€to€export€and€reexport€under€LicenseÐ ¬ ü  ÐException€ENC€and€to€return€your€review€request€without€action,€if€you€have€not€met€theÐ xÈ  Ðreview€requirements.€€You€may€not€export€or€reexport€retail€encryption€commodities,Ð D”  Ðsoftware€and€components€under€this€license€exception€to€government€end„usersÐ ` Ðheadquartered€outside€of€Canada€and€the€countries€listed€in€Supplement€3€to€this€Ð Ü, Ðpart€740,€unless€you€have€received€prior€authorization€from€BIS.ò òÐ ¨ø Ðó óÌà 4 à(2)€òòGrandfatheringóó.€€Encryption€commodities,€software,€parts€or€componentsÐ @ Ð(except€cryptanalytic€items)€previously€approved€for€export€may€be€exported€orÐ  \ Ðreexported€without€further€review€to€government€and€non„government€end„users€inÐ Ø( Ðcountries€listed€in€Supplement€3€to€this€part€740,€and€to€any€non„government€end„userÐ ¤ô Ðoutside€the€countries€listed€in€Supplement€3€to€this€part€740€(except€items€which€provideÐ p!À  Ðan€open€cryptographic€interface€as€defined€in€part€772€of€the€EAR).€€This€includesÐ <#Œ" Ðproducts€approved€under€a€license,€an€Encryption€Licensing€Arrangement,€or€classifiedÐ %X $ Ðas€eligible€to€use€License€Exception€ENC€(except€for€those€products€that€were€authorizedÐ Ô&$"& Ðonly€for€export€to€U.S.€subsidiaries)€prior€to€October€19,€2000.€€Encryption€technologyÐ  (ð#( Ðâ âpreviously€approved€for€export€under€a€license€or€an€Encryption€Licensing€ArrangementÐ l*¼%* Ðш€¨3Ñâ ˆâÑ , Ñâ ˆâÑ  Ñmay€be€exported€or€reexported€to€government€and€non„government€end„users€in€countriesÐ ° Ðlisted€in€Supplement€3€to€this€part€740.ò òÐ |Ì Ðâ âó óÌà 4 à(3)€òòKey€length€increasesóó.€€Exporters€may€increase€the€key€lengths€of€productsÐ  d Ðpreviously€classified€and€continue€to€export€these€products€under€the€applicableÐ à 0 Ðprovisions€of€License€Exception€ENC,€without€further€review,€upon€certification€to€BISÐ ¬ ü  Ðand€the€ENC€Encryption€Request€Coordinator€in€accordance€with€paragraph€(d)(3)(ii)€ofÐ xÈ  Ðthis€section.€€No€other€change€in€cryptographic€functionality€is€allowed€under€LicenseÐ D”  ÐException€ENC.Ð ` ÐÔÿÔÌÔÿÔà 4 àà Œ à(i)€Any€product€previously€classified€as€ECCN€5A002€or€5D002€(exceptÐ ¨ø Ðencryption€items€that€provide€an€open€cryptographic€interface,€as€defined€in€ðð772.1€of€theÐ tÄ ÐEAR)€may,€with€any€upgrade€to€the€key€length€used€for€confidentiality€or€key€exchangeÐ @ Ðalgorithms,€be€exported€or€reexported€under€License€Exception€ENC€to€any€non„Ð  \ Ðgovernment€end„user€without€an€additional€review.€€A€license€is€required€to€export€orÐ Ø( Ðreexport€items€that€provide€an€open€cryptographic€interface€to€end„users€located€outsideÐ ¤ô Ðthe€countries€listed€in€Supplement€3€to€this€part€740.€€In€addition,€products€previouslyÐ p!À  Ðreviewed€by€BIS€that€were€determined€to€be€eligible€as€ð ðretailðð€under€this€licenseÐ <#Œ" Ðexception€may€be€exported€or€reexported€to€government€end„users,€without€additionalÐ %X $ Ðreview.€€For€products€not€previously€determined€to€be€eligible€as€retail€products,€anotherÐ Ô&$"& Ðreview€is€required€to€determine€their€eligibility€as€ð ðretailðð€products€under€paragraphÐ  (ð#( Ð(b)(3)€of€this€section.Ð l*¼%* ÐÔÿÔÐ 8,ˆ', Ðщ€¨4Ñâ ‰âÑ  Ñâ ‰âÑ  ÑÓ XÓÔÿÔà Œ à(ii)€Exporters€must€certify€to€BIS,€in€a€letter€from€a€corporate€official,€thatÐ ° Ðthe€only€change€to€the€encryption€product€is€the€key€length€for€confidentiality€or€keyÐ |Ì Ðexchange€algorithms€and€that€there€is€no€other€change€in€cryptographic€functionality.€Ð H˜ ÐCertifications€must€include€the€original€authorization€number€issued€by€BIS€and€the€dateÐ  d Ðof€issuance.€€BIS€must€receive€this€certification€prior€to€any€export€of€an€upgradedÐ à 0 Ðencryption€product.€€The€certification€should€be€sent€to€BIS€and€a€copy€of€theÐ ¬ ü  Ðcertification€should€be€sent€to€the€ENC€Encryption€Request€Coordinator€at€the€mailingÐ xÈ  Ðaddress€indicated€in€paragraph€(e)(5)€of€this€section.ò òÔÿÔÐ D”  ÐÓ XÓó óÔÿÔÌ(e)€òòReporting€requirementsóó.Ð Ü, ÐÌÓ XÓ(1)€òòSemi„annual€reporting€requirementóó.€€Semi„annual€reporting€is€required€forÐ tÄ Ðexports€and€reexports€under€this€license€exception.€€Certain€encryption€items€andÐ @ Ðtransactions€are€excluded€from€this€reporting€requirement€(see€paragraph€(e)(4)€of€thisÐ  \ Ðsection).€€For€instructions€on€how€to€submit€your€reports,€see€paragraph€(e)(5)€of€thisÐ Ø( Ðsection.€ò òÐ ¤ô ÐÓ XÓó óÌÓ XÓ(2)€òòGeneral€information€requiredóó.€€Exporters€must€include€all€of€the€followingÐ <#Œ" Ðapplicable€information€in€their€reports:Ð %X $ Ðà Œ à(i)€For€items€exported€to€a€distributor€or€other€reseller,€includingÐ Ô&$"& Ðsubsidiaries€of€U.S.€firms,€the€name€and€address€of€the€distributor€or€reseller,€the€itemÐ  (ð#( Ðand€the€quantity€exported€and,€if€collected€by€the€exporter€as€part€of€the€distributionÐ l*¼%* Ðprocess,€the€end„userððs€name€and€address;Ð 8,ˆ', ÐÑŠ€¨5Ñâ ŠâÑ  Ñâ ŠâÑ  Ñà Œ à(ii)€For€items€exported€through€direct€sale,€the€name€and€address€of€theÐ ° Ðrecipient,€the€item,€and€the€quantity€exported€(except€for€retail€products,€if€the€end„user€isÐ |Ì Ðan€individual€consumer);Ð H˜ Ðà Œ à(iii)€For€exports€of€ECCN€5E002€items€to€be€used€for€technical€assistanceÐ  d Ðthat€are€not€released€by€ðð744.9€of€the€EAR,€the€name€and€address€of€the€end„user€;€andšÐ à 0 Ðà Œ à(iv)€The€authorization€number€and€the€name€of€the€item(s)€exportedò òó ó.Ð ¬ ü  ÐÓ XÓÌÓ XÓ(3)€òòInformation€on€foreign€manufacturers€and€products€that€use€encryption€itemsóó.Ð D”  ÐFor€direct€sales€or€transfers,€under€License€Exception€ENC,€of€encryption€components,Ð ` Ðsource€code,€general€purpose€toolkits,€equipment€controlled€under€ECCN€5B002,Ð Ü, Ðtechnology,€or€items€that€provide€an€open€cryptographic€interface€to€foreign€developersÐ ¨ø Ðor€manufacturers€when€intended€for€use€in€foreign€products€developed€for€commercialÐ tÄ Ðsale,€you€must€submit€the€names€and€addresses€of€the€manufacturers€using€theseÐ @ Ðencryption€items€and,€if€you€know€when€the€product€is€made€available€for€commercialÐ  \ Ðsale,€a€non„proprietary€technical€description€of€the€foreign€products€for€which€theseÐ Ø( Ðencryption€items€are€being€used€(e.g.,€brochures,€other€documentation,€descriptions€orÐ ¤ô Ðother€identifiers€of€the€final€foreign€product;€the€algorithm€and€key€lengths€used;€generalÐ p!À  Ðprogramming€interfaces€to€the€product,€if€known;€any€standards€or€protocols€that€theÐ <#Œ" Ðforeign€product€adheres€to;€and€source€code,€if€available).Ð %X $ ÐÓ XÓÌÓ XÓ(4)€òòExclusions€from€reporting€requirementsóó.€€Reporting€is€not€required€for€theÐ  (ð#( Ðfollowing€items€and€transactions:Ð l*¼%* ÐÐ 8,ˆ', ÐÑ‹€¨6Ñâ ‹âÑ e Ñâ ‹âÑ  ÑÓ °XÓ(i)€Any€encryption€item€to€U.S.€subsidiaries€for€internal€company€use;€Ð ° ÐÓ °ÓÌÓ °Ó(ii)€Encryption€commodities€or€software€with€a€symmetric€key€length€notÐ H˜ Ðexceeding€64€bits;ò òÐ  d ÐÓ °ÓÓE.ÜÜ4Œ ä <”ìDœôL¤ü!ü!ÜÜ‹Xü!EÓó óÌà 4 àà Œ à(iii)€Retail€products€exported€to€individual€consumers;€Ð ¬ ü  ÐÌÓ °Ó(iv)€Encryption€items€exported€via€free€or€anonymous€download;€Ð D”  ÐÐ ` Ð(v)€Encryption€items€from€or€to€a€U.S.€bank,€financial€institution€or€theirÐ Ü, Ðsubsidiaries,€affiliates,€customers€or€contractors€for€banking€or€financial€operations;Ð ¨ø ÐÐ tÄ Ð(vi)€Items€that€incorporate€components€limited€to€providing€short„rangeÐ @ Ðwireless€encryption€functions;Ð  \ ÐÐ Ø( ÐÓB+Ü Ü4Œ ä <”ìDœôL¤ü!ÜÜŒXü!BÓ(vii)€Retail€operating€systems,€or€desktop€applications€(e.g.€e„mail,Ð ¤ô Ðbrowsers,€games,€word€processing,€data€base,€financial€applications€or€utilities)€designedÐ p!À  Ðfor,€bundled€with,€or€pre„loaded€on€single€CPU€computers,€laptops€or€hand„held€devices;€Ð <#Œ" ÐÐ %X $ ÐÓE.ÜÜ4Œ ä <”ìDœôL¤ü!ü!ÜÜ‹Xü!EÓ(viii)€Client€Internet€appliance€and€client€wireless€LAN€cards;Ð Ô&$"& ÐÐ  (ð#( Ð(ix)€Foreign€products€developed€by€bundling€or€compiling€of€source€code.Ð l*¼%* ÐÓ °ÓÓB+Ü Ü4Œ ä <”ìDœôL¤ü!ÜÜŒXü!BÓò òÐ 8,ˆ', ÐÑŒ€¨7Ñâ ŒâÑ e Ñâ ŒâÑ  ÑÓ XÓó ó(5)€òòSubmission€requirementsóó.€€You€must€submit€the€reports€required€under€thisÐ ° Ðsection,€semi„annually,€to€BIS,€unless€otherwise€provided€in€this€paragraph€(e)(5).€ForÐ |Ì Ðexports€occurring€between€January€1€and€June€30,€a€report€is€due€no€later€than€August€1Ð H˜ Ðof€that€year.€For€exports€occurring€between€July€1€and€December€31,€a€report€is€due€noÐ  d Ðlater€than€February€1€the€following€year.€€These€reports€must€be€provided€in€electronicÐ à 0 Ðform€to€BIS.€€Recommended€file€formats€for€electronic€submission€include€spreadsheets,Ð ¬ ü  Ðtabular€text€or€structured€text.€€Exporters€may€request€other€reporting€arrangements€withÐ xÈ  ÐBIS€to€better€reflect€their€business€models.€€Reports€may€be€sent€electronically€to€BIS€atÔ#†ôµòXX÷çÛ|#ÔÔ‡X÷çXòôµÔÐ D”  Ðcrypt@bis.doc.gov€(with€a€copy€to€the€ENC€Encryption€Request€Coordinator€atÔ#†ôµòXX÷çÒÁ#ÔÔ‡X÷çXòôµÔÐ ` Ðenc@ncsc.mil)Ô#†ôµòXX÷çtÂ#ÔÔ‡X÷çXòôµÔ,€or€disks€and€CDs€containing€the€reports€may€be€mailed€to€the€followingÐ Ü, Ðaddresses:€Ð ¨ø ÐÓ ¨ýXÓÓ ÓÓ<%ä Œ ä <”ìDœôL¤ü!ÜÜ‹Xü!<ÓÐ tÄ Ð(i)à ä àDepartment€of€Commerce,€Bureau€of€Industry€and€SecurityÐ @ ÐÓ ¨ýÓÓ °ÓÓ<%Œ Œ ä <”ìDœôL¤ü!ä Œ ‰Xü!<Óà ä àOffice€of€Strategic€Trade€and€Foreign€Policy€ControlsÐ  \ Ðà ä à14th€Street€and€Pennsylvania€Ave.,€N.W.,Ð Ø( Ðà ä àRoom€2705Ð ¤ô Ðà ä àWashington,€D.C.€20230Ð p!À  Ðà ä àAttn:€Encryption€ReportsÐ <#Œ" ÐÌÓ ¨ýÓÓ °ÓÓ<%ä Œ ä <”ìDœôL¤ü!Œ Œ ‰Xü!<Ó(ii)à ä àA€copy€of€the€report€should€be€sent€to:Ð Ô&$"& ÐÓ ¨ýÓÓ °ÓÓ<%Œ Œ ä <”ìDœôL¤ü!ä Œ ‰Xü!<Óà ä àAttn:€ENC€Encryption€Request€CoordinatorÐ  (ð#( Ðà ä à9800€Savage€RoadÐ l*¼%* Ðà ä àSuite€6131Ð 8,ˆ', ÐÑ€¨8Ñâ âÑ  Ñâ âÑ  Ñà ä àFt.€Meade,€MD€20755„€6000.Ð ° ÐÓ XÓÓ °ÓÓB+Ü Ü4Œ ä <”ìDœôL¤ü!Œ Œ ‰Xü!BÓÐ |Ì ÐÐ H˜ ÐÓ XÓò òPART€742€„€[AMENDED]Ð  d Ðó óÌÓ ÔþÓÓ XÓÓ?(4 4Œ ä <”ìDœôL¤ü!ÜÜ‹Xü!?Ó19.à 4 à€€Section€742.15€is€revised€to€read€as€follows:Ð ¬ ü  ÐÓ ÔþÓÓ XÓÓB+Ü Ü4Œ ä <”ìDœôL¤ü!44ŠXü!BÓò òðð742.15€Encryption€Itemsó óÐ xÈ  ÐÌEncryption€items€can€be€used€to€maintain€the€secrecy€of€information,€and€thereby€may€beÐ ` Ðused€by€persons€abroad€to€harm€U.S.€national€security,€foreign€policy€and€lawÐ Ü, Ðenforcement€interests.€€The€United€States€has€a€critical€interest€in€ensuring€that€importantÐ ¨ø Ðand€sensitive€information€of€the€public€and€private€sector€is€protected.€€Consistent€withÐ tÄ Ðour€international€obligations€as€a€member€of€the€Wassenaar€Arrangement,€the€UnitedÐ @ ÐStates€has€a€responsibility€to€maintain€control€over€the€export€and€reexport€of€encryptionÐ  \ Ðitems.€€As€the€President€indicated€in€Executive€Order€13026€and€in€his€Memorandum€ofÐ Ø( ÐNovember€15,€1996,€exports€and€reexports€of€encryption€software,€like€exports€andÐ ¤ô Ðreexports€of€encryption€hardware,€are€controlled€because€of€this€functional€capacity€toÐ p!À  Ðencrypt€information€on€a€computer€system,€and€not€because€of€any€informational€orÐ <#Œ" Ðtheoretical€value€that€such€software€may€reflect,€contain,€or€represent,€or€that€its€export€orÐ %X $ Ðreexport€may€convey€to€others€abroadòò.óó€€For€this€reason,€export€controls€on€encryptionÐ Ô&$"& Ðsoftware€are€distinguished€from€controls€on€other€software€regulated€under€the€EAR.Ð  (ð#( ÐÌ(a)€òòLicensing€requirements€and€policyóóÐ 8,ˆ', ÐÑŽ€¨9Ñâ ŽâÑ e Ñâ ŽâÑ  ÑÌà 4 à(1)€òòEncryption€items€controlled€under€ECCN€5A002,€5D002,€or€5E002óó.òòÐ |Ì ÐÌÓ XÓóóà Œ à(i)òò€Licensing€requirementsóó.€€A€license€is€required€to€export€or€reexportÐ  d Ðencryption€items€(ð ðEIðð)€controlled€under€ECCN€5A002,€5D002€or€5E002€to€allÐ à 0 Ðdestinations,€except€Canada.€€Refer€to€part€740€of€the€EAR,€for€license€exceptions€thatÐ ¬ ü  Ðapply€to€certain€encryption€items,€and€to€ðð772.1€of€the€EAR€for€definitions€of€encryptionÐ xÈ  Ðitems€and€terms.€€Exporters€must€submit€applications€to€obtain€authorization€under€a€Ð D”  Ðlicense€or€an€Encryption€Licensing€Arrangement€for€exports€and€reexports€of€encryptionÐ ` Ðitems€that€are€not€eligible€for€a€license€exception.ò òÐ Ü, ÐÓ XÓÌÓ XÓó óà Œ à(ii)€€òòLicensing€policyóó.€€Applications€will€be€reviewed€on€a€case„by„caseÐ tÄ Ðbasis€by€BIS,€in€conjunction€with€other€agencies,€to€determine€whether€the€export€orÐ @ Ðreexport€is€consistent€with€U.S.€national€security€and€foreign€policy€interests.€€Exports€ofÐ  \ Ðencryption€items€to€governments,€or€Internet€and€telecommunications€service€providersÐ Ø( Ðfor€the€provision€of€services€specific€to€governments,€may€be€favorably€considered€forÐ ¤ô Ðcivil€uses,€e.g.,€social€or€financial€services€to€the€public;€civil€justice;€social€insurance,Ð p!À  Ðpensions€and€retirement;€taxes€and€communications€between€governments€and€theirÐ <#Œ" Ðcitizens.€€Encryption€Licensing€Arrangements€may€be€authorized€for€exports€andÐ %X $ Ðreexports€of€unlimited€quantities€of€encryption€items€to€all€destinations,€except€countriesÐ Ô&$"& Ðlisted€in€Country€Group€E:1€of€Supplement€No.€1€to€part€740.€€Encryption€LicensingÐ  (ð#( ÐArrangements,€including€those€which€authorize€exports€and€reexports€of€encryptionÐ l*¼%* Ðtechnology€to€strategic€partners€(as€defined€in€ðð772.1€of€the€EAR)€šof€U.S.€companiesš,€areÐ 8,ˆ',> ÐÑ€¨:Ñâ âÑ 0 Ñâ âÑ  Ñvalid€for€four€years€andòò€óómay€require€reporting.€€Applicants€seeking€authorization€forÐ ° ÐEncryption€Licensing€Arrangements€must€specify€the€sales€territory€and€class€of€end„userÐ |Ì Ðon€their€license€applications.€Ð H˜ ÐÓ XÓÌà 4 à(2)€òòEncryption€items€controlled€under€ECCN€5A992,€5D992,€or€5E992óó.Ð à 0 ÐÌà 4 àà Œ à(i)€òòLicensing€requirementsóó.€€Items€controlled€under€ECCN€5A992,€5D992Ð xÈ  Ðor€5E992€are€controlled€for€anti„Ô#†ôµòXX÷çØÂ#ÔÔ‡X÷çXòôµÔterrorism€(AT)€reasons€to€countries€listed€in€AT€Ð D”  Ðcolumn€1€or€AT€column€2,€as€applicable,€of€the€Commerce€Country€Chart€(SupplementÐ ` ÐNo.€1€to€Part€738€of€the€EAR).€€A€license€also€may€be€required€to€certain€destinations€orÐ Ü, Ðpersons€for€other€reasons€specified€elsewhere€in€the€EAR€(e.g.,€embargoes).€€In€addition,Ð ¨ø Ðthese€encryption€items€are€subject€to€the€notification€or€review€requirements€described€inÐ tÄ Ðparagraph€(b)(1)€and€(b)(2)€of€this€section,€unless€specifically€excluded€by€paragraphÐ @ Ð(b)(3)€of€this€section.Ô#†ôµòXX÷çúÚ#ÔÔ‡X÷çXòôµÔÐ  \ ÐÌà 4 àà Œ à(ii)€òòLicensing€policyóó.€€Applications€will€be€reviewed€on€a€case„by„caseÐ ¤ô Ðbasis€by€BIS,€in€conjunction€with€other€agencies,€to€determine€whether€the€export€orÐ p!À  Ðreexport€is€consistent€with€U.S.€national€security€and€foreign€policy€interests.€€BIS€doesÐ <#Œ" Ðnot€authorize€Encryption€Licensing€Arrangements€for€exports€and€reexports€of€encryptionÐ %X $ Ðitems€to€any€of€the€countries€listed€in€Country€Group€E:1€of€Supplement€No.€1€to€Ð Ô&$"& ÐPart€740€of€the€EAR.Ð  (ð#( Ðâ âÐ l*¼%* ÐÑ€¨;Ñâ âÑ 0 Ñâ âÑ  Ñ(b)€òòNotification€and€review€requirements€for€encryption€items€controlled€under€ECCNÐ ° Ðâ â5A992,€5D992€or€5E992.óó€€You€may€export€and€reexport€encryption€commodities,Ð |Ì Ðsoftware€and€technology€controlled€under€ECCN€€5A992,€5D992€or€5E992€without€aÐ H˜ Ðlicense€(NLR:€€No€License€Required)€to€most€destinations,€in€accordance€with€paragraphÐ  d Ð(a)(2)€of€this€section,€provided€that€you€have€met€the€notification€and€reviewÐ à 0 Ðrequirements€described€in€paragraphs€(b)(1)€and€(b)(2)€of€this€section.€€Certain€encryptionÐ ¬ ü  Ðitems€controlled€under€ECCN€5A992,€5D992€or€5E992€may€be€exported€or€reexportedÐ xÈ  Ðwithout€notification€or€review€ð!ð€these€items€are€identified€in€paragraph€(b)(3)€of€thisÐ D”  Ðsection.€€In€addition,€no€post„shipment€reporting€is€required€for€encryption€itemsÐ ` Ðcontrolled€under€ECCN€5A992,€5D992,€or€5E992.€€See€ðð732.5€of€the€EAR€for€ShipperððsÐ Ü, ÐExport€Declaration€(SED),€Destination€Control€Statements€(DCS),€and€recordkeepingÐ ¨ø Ðrequirements€for€items€exported€and€reexported€without€a€license€(NLR).Ð tÄ ÐÌÓ XÓ(1)€òòNotification€requirement€for€specified€encryption€itemsóó.€You€may€export€andÐ  \ Ðreexport€encryption€items€controlled€under€ECCN€5A992,€5D992€or€5E992€and€identifiedÐ Ø( Ðin€this€paragraph€(b)(1)€to€most€destinations€without€a€license€(NLR:€€No€LicenseÐ ¤ô ÐRequired),€provided€that€you€have€submitted€to€BIS,€by€the€time€of€export,€theÐ p!À  Ðinformation€described€in€paragraphs€(a)€through€(e)€of€Supplement€6€to€this€part€742,€andÐ <#Œ" Ðif€applicable,€specific€information€describing€how€your€products€qualify€for€mass€marketšÐ %X $ Ðtreatment€under€the€criteria€in€ò òó óthe€Cryptography€Note€(Note€3)ò òó ó€of€Category€5,€Part€2,€ofÐ Ô&$"& Ðthe€Commerce€Control€List€(Supplement€No.€1€to€Part€774€of€the€EAR).€€Submit€thisÐ  (ð#( Ðnotification€to€BIS€by€email,€to€crypt@bis.doc.gov,ò ò€ó óand€also€send€a€copy€to€the€ENCÐ l*¼%* ÐEncryption€Request€Coordinator,€at€enc@ncsc.milÔ#†ôµòXX÷çµÝ#ÔÔ‡X÷çXòôµÔ.€€If€you€are€unsure€as€to€whether€yourÐ 8,ˆ',> ÐÑ‘€¨<Ñâ ‘âÑ  Ñâ ‘âÑ  Ñencryption€items€are€eligible€for€export€or€reexport€under€this€paragraph€(b)(1),€youÐ ° Ðshould€submit€a€request,€to€BIS€and€to€the€ENC€Encryption€Request€Coordinator,€for€aÐ |Ì Ðreview€of€your€encryption€items€pursuant€toš€the€requirements€of€ò òó óparagraph€(b)(2)€of€thisÐ H˜ Ðsection€(for€mass€market€encryption€commodities€and€software),€or€under€the€provisionsÐ  d Ðof€License€Exception€ENC€(see€ðð740.17€of€the€EAR).€€The€following€encryption€itemsÐ à 0 Ðcontrolled€by€ECCN€5A992,€5D992,€or€5E992€are€eligible€for€export€or€reexport€withoutÐ ¬ ü  Ða€license,€to€most€destinations,€with€notification€only:Ð xÈ  Ðò òÐ D”  ÐÓ °XÓó ó(i)€Up€to€(and€including)€64„bit€mass€market€encryption€commodities€andÐ ` Ðsoftware;€Ð Ü, ÐÓ °ÓÌÓ °Ó(ii)€Encryption€items€(including€key€management€products€and€companyÐ tÄ Ðproprietary€implementations)€with€key€lengths€not€exceeding€56€bits€for€symmetricÐ @ Ðalgorithms,€512€bits€for€asymmetric€key€exchange€algorithms,€and€112€bits€for€ellipticÐ  \ Ðcurve€algorithms;ò òò òÔÿÔÐ Ø( ÐÓ °Óó óó óÔÿÔÌÓ XÓ(2)€òòReview€requirement€for€mass€market€encryption€commodities€and€softwareÐ p!À  Ðexceeding€64€bitsóó:€€Mass€market€encryption€commodities€and€software€employing€a€keyÐ <#Œ" Ðlength€greater€than€64€bits€for€the€symmetric€algorithm€(including€such€productsÐ %X $ Ðpreviously€reviewed€by€BIS€and€exported€under€ECCN€5A002€or€5D002)€remain€subjectÐ Ô&$"& Ðto€the€EAR€and€require€review€by€BIS,€prior€to€export€or€reexport€under€this€paragraphÐ  (ð#( Ðâ â(b)(2).€€Encryption€commodities€and€software€that€are€not€eligible€as€retail€items€underÐ l*¼%* ÐÑ’€¨=Ñâ ’âÑ  Ñâ ’âÑ  ÑLicense€Exception€ENC€do€not€qualify€for€mass€market€treatment€(see€ðð740.17(b)(3)€ofÐ ° Ðthe€EAR€for€retail€product€eligibility€under€License€Exception€ENC.)Ð |Ì Ðâ âÓ XÓÌÓ °Ó(i)€òòProcedures€for€requesting€reviewóó.€€To€request€review€of€your€massÐ  d Ðmarket€encryption€products,€you€must€submit€to€BIS€and€the€ENC€Encryption€RequestÐ à 0 ÐCoordinator€the€information€described€in€paragraphs€(a)€through€(e)€of€Supplement€6€toÐ ¬ ü  Ðthis€part€742,€and€ò òó óyou€must€include€specific€information€describing€how€your€productsÐ xÈ  Ðqualify€for€mass€market€treatment€under€the€criteria€in€the€Cryptography€Note€(Note€3)€ofÐ D”  ÐCategory€5,€Part€2€(ð ðInformation€Securityðð),€of€the€Commerce€Control€List€(SupplementÐ ` ÐNo.€1€to€Part€774€of€the€EAR).€€Review€requests€must€be€submitted€on€Form€BIS„748PÐ Ü, Ð(Multipurpose€Application),€or€its€electronic€equivalent,€as€described€in€ðð748.3€of€theÐ ¨ø ÐEAR.€€To€ensure€that€your€review€request€is€properly€routed,€iûÿÿÿdûnsertüÿÿÿdü€€the€phrase€ð ðMassÐ tÄ Ðmarket€encryptionðð€in€Block€9€(Special€Purpose)€of€the€application€form€and€place€anÐ @ Ðð ðXðð€in€the€box€marked€ð ðClassification€Requestðð€in€Block€5€(Type€of€Application)€ð!ðÐ  \ ÐBlock€5€does€not€provide€a€separate€item€to€check€for€the€submission€of€encryptionÐ Ø( Ðreview€requests.€€Failure€to€properly€complete€these€items€may€delay€consideration€ofÐ ¤ô Ðyour€review€request.€€Review€requests€that€are€not€submitted€electronically€to€BIS€shouldÐ p!À  Ðbe€mailed€to€the€address€indicated€in€ðð748.2(c)€of€the€EAR.€€Submissions€to€the€ENCÐ <#Œ" ÐEncryption€Request€Coordinator€should€be€directed€to€the€mailing€address€indicated€inÐ %X $ Ððð740.17(e)(5)(ii)€of€the€EAR.€€BIS€will€notify€you€if€there€are€any€questions€concerningÐ Ô&$"& Ðyour€request€for€review€(e.g.,€because€of€missing€or€incomplete€support€documentation).Ð  (ð#( Ðâ âÓ °ÓÐ l*¼%* ÐÑ“€¨>Ñâ “âÑ  Ñâ “âÑ  ÑÓ °Ó(ii)€òòAction€by€BISóó.€€Once€BIS€has€completed€its€review,€you€will€receiveÐ ° Ðâ âwritten€confirmation€concerning€the€eligibility€of€your€items€for€export€or€reexport€asÐ |Ì Ðmass€market€encryption€commodities€or€software€controlled€under€ECCN€5A992€orÐ H˜ Ð5D992.€€If,€during€the€course€of€its€review,€BIS€determines€that€your€encryption€items€doÐ  d Ðnot€qualify€for€mass€market€treatment€under€the€EAR,€or€are€otherwise€controlled€underÐ à 0 ÐECCN€5A002,€5B002,€5D002€or€5E002,€BIS€will€notify€you€and€will€review€yourÐ ¬ ü  Ðcommodities€or€software€for€eligibility€under€License€Exception€ENC€(see€ðð740.17€of€theÐ xÈ  ÐEAR€for€review€and€reporting€requirements€for€encryption€items€under€LicenseÐ D”  ÐException€ENC).ò òÔÿÔ€ó óÔÿÔ€BIS€reserves€the€right€to€suspend€your€eligibility€to€export€and€reexportÐ ` Ðunder€the€provisions€of€this€paragraph€(b)(2)€and€to€return€review€requests,€withoutÐ Ü, Ðaction,€if€the€requirements€for€review€have€not€been€met.Ð ¨ø ÐÓ °ÓÌà 4 àà Œ à(iii)€òòExports€and€reexports€to€government€and€non„government€end„usersóó.Ð @ ÐImmediately€upon€registration€by€BIS€of€your€completed€review€request€(ð ðregistrationðð€isÐ  \ Ðdefined€in€ðð750.4(a)(2)€of€the€EAR),€you€may€export€or€€reexport€mass€market€encryptionÐ Ø( Ðcommodities€and€software€exceeding€64€bits,€under€ECCNs€5A992€and€5D992,€without€aÐ ¤ô Ðlicense€(NLR:€€No€License€Required)€to€€government€and€non„government€end„usersÐ p!À  Ðlocated€in€the€countries€listed€in€Supplement€3€to€part€740€of€the€EAR.€€These€massÐ <#Œ" Ðmarket€encryption€products€also€may€be€exported€or€reexported,€without€a€license€(NLR),Ð %X $ Ðto€most€destinations€(except€those€that€require€a€license€for€AT€reasons€or€for€reasonsÐ Ô&$"& Ðdescribed€elsewhere€in€the€EAR)€for€the€internal€use€of€foreign€subsidiaries€or€offices€ofÐ  (ð#( Ðfirms,€organizations€and€governments€headquartered€in€Canada€or€in€countries€listed€inÐ l*¼%* ÐSupplement€3€to€part€740€of€the€EAR.€€Thirty€days€after€BIS€registers€your€reviewÐ 8,ˆ',> ÐÑ”€¨?Ñâ ”âÑ  Ñâ ”âÑ  Ñrequest,€you€may€export€or€reexport€these€mass€market€encryption€products,€without€aÐ ° Ðlicense,€to€government€and€non„government€end„users€located€in€most€destinationsÐ |Ì Ðoutside€the€countries€listed€in€Supplement€3€to€part€740€of€the€EAR€(certain€destinationsÐ H˜ Ðand€persons€may€require€a€license€for€AT€reasons€or€for€reasons€specified€elsewhere€inÐ  d Ðthe€EAR),€unless€otherwise€notified€by€BIS€(e.g.,€because€of€missing€or€incompleteÐ à 0 Ðsupportûÿÿÿdû€documentationüÿÿÿdü,€or€conversion€to€License€Exception€ENC€review).€€The€thirtyÐ ¬ ü  Ðdays€may€not€include€any€time€that€your€review€request€was€on€hold€without€action.Ô#†ôµòXX÷ç¦é#ÔÔ‡X÷çXòôµÔ€€Ô#†ôµòXX÷çÊ#ÔÔ‡X÷çXòôµÔSeeÐ xÈ  Ððð772.1€of€the€EAR€for€the€definition€of€ð ðgovernment€end„userðð€as€it€applies€to€encryptionÐ D”  Ðitems.Ð ` Ðà 4 à(3)€òòExclusions€from€notification€and€review€requirementsóó.€€The€following€itemsÐ Ü, Ðand€transactions€do€not€require€notification€or€review€prior€to€export€or€reexport.€Ð ¨ø ÐHowever,€a€license€may€be€required€to€export€or€reexport€these€items€to€certainÐ tÄ Ðdestinations€for€AT€reasons€or€for€reasons€set€forth€elsewhere€in€the€EAR€(e.g.,Ð @ Ðembargoes).Ð  \ ÐÌÓ °Ó(i)€òòEncryption€items€for€U.S.€subsidiariesóó.€Encryption€items€controlledÐ ¤ô Ðunder€ECCN€5A992,€5D992,€or€5E992€that€are€exported€to€foreign€subsidiaries€of€U.S.Ð p!À  Ðcompanies€(as€defined€in€ðð772.1€of€the€EAR)€for€any€end„use,€including€the€developmentÐ <#Œ" Ðof€new€products,€that€is€not€prohibited€elsewhere€in€the€EAR.€All€items€produced€orÐ %X $ Ðdeveloped€by€U.S.€subsidiaries€with€encryption€commodities,€software€and€technologyÐ Ô&$"& Ðexported€under€this€paragraph€are€subject€to€the€EAR€and€require€review€andÐ  (ð#( Ðauthorization€before€any€sale€or€retransfer€outside€of€the€U.S.€company.Ð l*¼%* ÐÓ °ÓÐ 8,ˆ', ÐÑ•€¨@Ñâ •âÑ € Ñâ •âÑ  ÑÓ °Ó(ii)€òòMass€market€short„range€wireless€productsóó.€Mass€market€products€Ð ° Ðthat€are€controlled€under€ECCN€5A992€or€5D992€only€because€they€incorporateÐ |Ì Ðcomponents€or€software€which€provide€short„range€wireless€encryption€functions€(e.g.,Ð H˜ Ðwireless€products€with€an€operating€range€typically€not€exceeding€100€meters).ò òÐ  d ÐÓ °Óó óÌÓ °Ó(iii)€òòItems€with€limited€cryptographic€functionalityóó.€Encryption€itemsÐ ¬ ü  Ðcontrolled€under€ECCN€5A992,€5D992,€or€5E992€for€which€the€use€of€cryptography€isÐ xÈ  Ðlimited€to€cryptographic€functions€that€are€not€controlled€for€ð ðEIðð€reasons€under€the€EARÐ D”  Ð(e.g.€items€with€cryptographic€functions€limited€to€authentication€or€digital€signature,Ð ` Ðexecution€of€copy€protected€software,€and€ð ðfinance€specificðð€items€specially€designedÐ Ü, Ðand€limited€for€banking€use€or€money€transactions).€€These€items€are€described€in€theÐ ¨ø ÐRelated€Controls€paragraph€and€the€Technical€Notes€under€ECCN€5A002€on€theÐ tÄ ÐCommerce€Control€List€(Supplement€No.€1€to€part€774€of€the€EAR),€which€are€cross„Ð @ Ðreferenced€under€ECCNs€5D002€and€5E002.Ð  \ ÐÐ Ø( ÐÓ X°Ó(4)€òòCommodities€and€software€that€activate€or€enable€cryptographic€functionalityóó.€Ð ¤ô Ðò òó óCommodities,€software,€and€components€that€allow€the€end„user€to€activate€or€enableÐ p!À  Ðcryptographic€functionality€in€encryption€products€which€would€otherwise€remainÐ <#Œ" Ðdisabled,€are€controlled€according€to€the€functionality€of€the€activated€encryption€product.Ð %X $ ÐThe€notification€and€review€requirements€enumerated€in€this€paragraph€(b)€of€this€sectionÐ Ô&$"& Ðapply€to€commodities,€software€and€components€which€activate€cryptographicÐ  (ð#( Ðfunctionality€in€encryption€products€controlled€under€ECCNs€5A992€and€5D992.€€(SeeÐ l*¼%* Ððð740.17€of€the€EAR€for€review€and€reporting€requirements€for€commodities,€softwareÐ 8,ˆ',> ÐÑ–€¨AÑâ –âÑ  Ñâ –âÑ  Ñand€components€that€enable€cryptographic€functionality€in€encryption€products€controlledÐ ° Ðunder€ECCNs€5A002€and€5D002.)€€This€paragraph€(b)(4)€does€not€authorize€the€export€orÐ |Ì Ðreexport€of€any€activated€encryption€product.€€Separate€review€or€authorization€of€theÐ H˜ Ðenabled€encryption€product€is€required.Ð  d ÐÓ XÓÌÓ XÓ(5)€òòExamples€of€mass€market€encryption€productsóó.€€Subject€to€the€requirements€ofÐ ¬ ü  Ðthe€Cryptography€Note€(Note€3)€in€Category€5,€Part€2,€of€the€Commerce€Control€List,Ð xÈ  Ðmass€market€encryption€products€include,€but€are€not€limited€to,€general€purposeÐ D”  Ðoperating€systems€and€desktop€applications€(e.g.€e„mail,€browsers,€games,€wordÐ ` Ðprocessing,€database,€financial€applications€or€utilities)€designed€for,€bundled€with,€orÐ Ü, Ðpre„loaded€on€single€CPU€computers,€laptops,€or€hand„held€devices;€commodities€andÐ ¨ø Ðsoftware€for€client€Internet€appliances€and€client€wireless€LAN€devices;€home€useÐ tÄ Ðnetworking€commodities€and€software€(e.g.€personal€firewalls,€cable€modems€forÐ @ Ðpersonal€computers,€and€consumer€set€top€boxes);€€portable€or€mobile€civilÐ  \ Ðtelecommunications€commodities€and€software€(e.g.€personal€data€assistants€(PDAs),Ð Ø( Ðradios,€or€cellular€products);€and€commodities€and€software€exported€via€free€orÐ ¤ô Ðanonymous€downloads.Ð p!À  ÐÓ XÓÌÓB+Ü Ü4Œ ä <”ìDœôL¤ü!ÜÜ‹Xü!BÓÌÓ ÔþÓÓ XÓÓ?(4 4Œ ä <”ìDœôL¤ü!ÜÜ‹Xü!?Ó20.à 4 à€Supplement€No.€6€to€part€742€is€revised€to€read€as€follows:Ð Ô&$"& ÐÓ ÔþÓÓ XÓÓB+Ü Ü4Œ ä <”ìDœôL¤ü!44ŠXü!BÓò òÌÓE.ÜÜ4Œ ä <”ìDœôL¤ü!ü!ÜÜ‹Xü!EÓSupplement€No.€6€to€Part€742€„€Guidelines€for€Submittingó ó€ò òReview€Requests€forÐ l*¼%* ÐEncryption€Itemsó óòòÔÿÔÐ 8,ˆ', ÐÑ—€¨BÑâ —âÑ j Ñâ —âÑ  ÑóóÔÿÔÓ XÓ€Review€requests€for€encryption€items€must€be€submitted€on€Form€BIS„748PÐ ° Ð(Multipurpose€Application),€or€its€electronic€equivalent,€and€supported€by€theÐ |Ì Ðdocumentation€described€in€this€Supplement,€in€accordance€with€the€procedures€Ð H˜ Ðdescribed€in€ðð748.3€of€the€EAR.€€To€ensure€that€your€review€request€is€properly€routed,€€Ð  d Ðinsert€the€phrase€ð ðMass€market€encryptionðð€or€ð ðLicense€Exception€ENCðð€(whichever€isÐ à 0 Ðapplicable)€in€Block€9€(Special€Purpose)€of€the€application€form€and€place€an€ð ðXðð€in€theÐ ¬ ü  Ðbox€marked€ð ðClassification€Requestðð€in€Block€5€(Type€of€Application)€ð!ð€Block€5€doesÐ xÈ  Ðnot€provide€a€separate€item€to€check€for€the€submission€of€encryption€review€requests.€Ð D”  ÐFailure€to€properly€complete€these€items€may€delay€consideration€of€your€review€request.€Ð ` ÐBIS€recommends€that€review€requests€be€delivered€via€courier€service€to:€€Bureau€ofÐ Ü, ÐIndustry€and€Security,€U.S.€Department€of€Commerce,€14th€Street€and€PennsylvaniaÐ ¨ø ÐAve.,€N.W.,€Room€2705,€Washington,€D.C.€€20230.€€€For€electronic€submissions€viaÐ tÄ ÐSNAP,€you€may€fax€a€copy€of€the€support€documents€to€BIS€at€(202)€219„9179€or€„9182Ð @ Ðor€you€may€deliver€the€documents€via€courier€service€to:€€Bureau€of€Industry€andÐ  \ ÐSecurity,€Information€Technology€Controls€Division,€Room€2625,€14th€Street€andÐ Ø( ÐPennsylvania€Ave.,€N.W.€Washington,€D.C.€20230.€€In€addition,€you€must€send€a€copy€ofÐ ¤ô Ðyour€review€request€and€all€support€documents€to:€€Attn:€ENC€Encryption€RequestÐ p!À  ÐCoordinator,€9800€Savage€Road,€Suite€6131,€Fort€Meade,€MD€20755„6000.€€For€allÐ <#Œ" Ðreview€requests€of€encryption€items,€you€must€provide€brochures€or€other€documentationÐ %X $ Ðor€specifications€related€to€the€technology,€commodity€or€software,€relevant€productÐ Ô&$"& Ðdescriptions,€architecture€specifications,€and€as€necessary€for€the€review,€source€code.€Ð  (ð#( Ðâ âYou€also€must€ò òó óindicate€whether€there€have€been€any€prior€reviews€of€the€product,€if€suchÐ l*¼%* Ðј€¨CÑâ ˜âÑ ) Ñâ ˜âÑ  Ñreviews€are€applicable€to€the€current€submission.€€In€addition,€you€must€provide€theÐ ° Ðfollowing€information€in€a€cover€letter€accompanying€your€review€request:Ð |Ì Ðâ âÓ XÓÓE.ÜÜ4Œ ä <”ìDœôL¤ü!ü!ÜÜŒXü!EÓÌÓ XÓ(a)€State€the€name€of€the€encryption€item€being€submitted€for€review;Ð  d ÐÓ XÓÌÓ XÓ(b)€State€that€a€duplicate€copy€has€been€sent€to€the€ENC€Encryption€RequestÐ ¬ ü  ÐCoordinator;Ð xÈ  ÐÓ XÓÌÓ XÓÔ€/X£hXXX÷çÔ(c)€For€review€requests€for€a€commodity€or€software,€provide€theÐ ` Ðfollowing€information:Ð ôD ÐÓ XÓÌÓ °Ó(1)€Description€of€all€the€symmetric€and€asymmetricÐ ¼  Ðencryption€algorithms€and€key€lengths€and€how€the€algorithms€areÐ  ð Ðused.€€Specify€which€encryption€modes€are€supported€(e.g.,€cipherÐ „Ô Ðfeedback€mode€or€cipher€block€chaining€mode).Ð h¸ ÐÓ °ÓÔÿÔÌÓ °ÓÔÿÔ(2)€State€the€key€management€algorithms,€includingÐ 0"€  Ðmodulus€sizes,€that€are€supported.Ð $d" ÐÓ °ÓÌÓ °Ó(3)€For€products€with€proprietary€algorithms,€include€aÐ Ü',#& Ðtextual€description€and€the€source€code€of€the€algorithm.Ð À)%( Ðâ âÓ °ÓÐ ¤+ô&*Ê ÐÑ™€¨DÑâ ™âÑ ) Ñâ ™âÑ  ÑÓ °Ó(4)€Describe€the€pre„processing€methods€(e.g.,€dataÐ ° Ðâ âcompression€or€data€interleaving)€that€are€applied€to€the€plaintext€dataÐ ”ä Ðprior€to€encryption.€Ð xÈ Ð(5)€Describe€the€post„processing€methods€(e.g.,€packetization,Ð \ ¬ Ðencapsulation)€that€are€applied€to€the€cipher€text€data€after€encryption.Ð @  ÐÓ °ÓÌÓ °Ó(6)€State€the€communication€protocols€(e.g.,€X.25,€TelnetÐ X  Ðor€TCP)€and€encryption€protocols€(e.g.,€SSL,€IPSEC€or€PKCSÐ ì<  Ðstandards)€that€are€supported.Ð Ð  ÐÓ °ÓÌÓ °Ó(7)€Describe€the€encryption„related€ApplicationÐ ˜è ÐProgramming€Interfaces€(APIs)€that€are€implemented€and/orÐ |Ì Ðsupported.€€Explain€which€interfaces€are€for€internal€(private)€and/orÐ `° Ðexternal€(public)€use.Ð D” ÐÓ °ÓÌÓ °Ó(8)€Describe€whether€the€cryptographic€routines€areÐ  !\ Ðstatically€or€dynamically€linked,€and€the€routines€(if€any)€that€areÐ ð"@  Ðprovided€by€third„party€modules€or€libraries.€€Identify€the€third„partyÐ Ô$$ " Ðmanufacturers€of€the€modules€or€toolkits.Ð ¸&"$ ÐÓ °ÓÌÓ °Ó(9)€For€commodities€or€software€using€Java€byte€code,Ð €*Ð%( Ðdescribe€the€techniques€(including€obfuscation,€private€access€modifiersÐ d,´'* ÐÑš€¨EÑâ šâÑ ) Ñâ šâÑ  Ñor€final€classes)€that€are€used€to€protect€against€decompilation€andÐ ° Ðmisuse.€Ð ”ä ÐÓ °ÓÌÓ °Ó(10)€State€how€the€product€is€written€to€preclude€userÐ \ ¬ Ðmodification€of€the€encryption€algorithms,€key€management€and€keyÐ @  Ðspace.Ð $t  ÐÓ °ÓÌÓ °Ó(11)€For€products€that€qualify€as€ð ðretailðð,€explain€how€theÐ ì<  Ðproduct€meets€the€listed€criteria€in€ðð740.17(b)(3)€of€the€EAR.Ð Ð  Ð(12)€For€products€which€incorporate€an€openÐ ´ Ðcryptographic€interface€as€defined€in€part€€772€of€the€EAR,€describeÐ ˜è Ðthe€Open€Cryptographic€Interface.Ð |Ì ÐÓ °ÓÌÓ XÓ(d)€For€review€requests€regarding€components,€provide€theÐ D” Ðfollowing€additional€information:Ð (x ÐÐ  !\ ÐÓ °XÓ(1)€€Reference€the€application€for€which€the€componentsÐ ð"@  Ðare€used€in,€if€known;Ð Ô$$ " ÐÓ °ÓÌÓ °Ó(2)€State€if€there€is€a€general€programming€interface€to€theÐ œ(ì#& Ðcomponent;Ð €*Ð%( ÐÓ °ÓÐ d,´'* ÐÑ›€¨FÑâ ›âÑ ) Ñâ ›âÑ  ÑÓ °Ó(3)€State€whether€the€component€is€constrained€byÐ ° Ðfunction;€andÐ ”ä ÐÓ °ÓÌÓ °Ó(4)€Identify€the€encryption€component€and€include€theÐ \ ¬ Ðname€of€the€manufacturer,€component€model€number€or€otherÐ @  Ðidentifier.Ð $t  ÐÓ °ÓÌÓ XÓ(e)€For€review€requests€for€source€code,€provide€the€followingÐ ì<  Ðinformation:Ð Ð  ÐÓ XÓÌÓ °Ó(1)€If€applicable,€reference€the€executable€(object€code)Ð ˜è Ðproduct€that€was€previously€reviewed;€Ð |Ì ÐÓ °ÓÌÓ °Ó(2)€Include€whether€the€source€code€has€been€modified,Ð D” Ðand€the€technical€details€on€how€the€source€code€was€modified;€andÐ (x Ð(3)€Include€a€copy€of€the€sections€of€the€source€code€thatÐ  !\ Ðcontain€the€encryption€algorithm,€key€management€routines€and€theirÐ ð"@  Ðrelated€calls.€Ð Ô$$ " ÐÓ °ÓÌÓ XÓÔ€X÷çXX/X£hÔ€€(f)€€Ô€/X£hXXX÷çÔFor€step„by„step€instructions€and€guidance€on€submittingÐ œ(ì#& Ðâ âreview€requests€for€encryption€items,€visit€our€webpage€atÐ €*Ð%( ÐÑœ€¨GÑâ œâÑ ) Ñâ œâÑ  Ñwww.bis.doc.gov/Encryption€Ô€X÷çXX/X£hÔand€click€on€the€navigation€button€labeled€ð ðGuidanceðð.Ð ° Ðâ âÓ XÓÌò òPART€748€„€[AMENDED]ó óÐ `° ÐÌà 4 àÓE.444Œ ä <”ìDœôL¤ü!ü!ÜÜŒXü!EÓ21.à Œ à€Sectionò ò€ó ó748.3€is€amended€by€revising€the€section€heading,€by€adding€twoÐ ø H Ðnew€sentences€at€the€end€of€paragraph€(a),€by€removing€paragraph€(b)(3),€and€by€adding€aÐ Ä   Ðnew€paragraph€(d),€to€read€as€follows:Ð à  ÐÓH.ÜÜ4Œ ä <”ìDœôL¤ü!ü!444‹Xü!HÓÌò òSection€748.3€€Classification€Requests,€Advisory€Opinions,€and€Encryption€ReviewÐ (x ÐRequests.Ð ôD ÐÓ XÓÓB+Ü Ü4Œ ä <”ìDœôL¤ü!ÜÜŒXü!BÓó óÐ À ÐÓ XÓ(a)€*€€€€€*€€€€€*€€The€encryption€requirements€in€the€EAR€require€that€certain€encryptionÐ ŒÜ Ðitems€be€reviewed€by€BIS€in€order€for€them€to€be€eligible€for€export€or€reexport€underÐ X¨ ÐLicense€Exception€ENC€(see€ðð740.17€of€the€EAR)€or€to€be€released€from€ð ðEIðð€controlsÐ $t Ð(see€ðð742.15(b)(2)€of€the€EAR).€€BIS€makes€its€determination€based€on€the€submission€of€Ð ð@ ÐÌÌÌa€review€request€prepared€in€accordance€with€the€instructions€in€Supplement€No.€6€to€Ð  %p $ ÐPart€742€of€the€EAR.Ð ì&<"& ÐÌà@ååìà*€€€€€*€€€€€*€€€€€*€€€€€*€ˆÐ „*Ô%* ÐÐ P, ', ÐÑ€¨HÑâ âÑ „ Ñâ âÑ  ÑÓE.ÜÜ4Œ ä <”ìDœôL¤ü!ü!ÜÜ‹Xü!EÓ(d)€òòReview€requests€for€encryption€itemsóó.€€A€Department€of€Commerce€review€ofÐ ° Ðencryption€items€transferred€from€the€U.S.€Munitions€List€consistent€with€ExecutiveÐ |Ì ÐOrder€13026€of€November€15,€1996€(3€CFR,€1996€Comp.,€p.€228)€and€pursuant€to€theÐ H˜ ÐPresidential€Memorandum€of€that€date€may€be€required€to€determine€eligibility€underÐ  d ÐLicense€Exception€ENC€or€for€release€from€ð ðEIðð€controls.€€Refer€to€ðð742.15(b)€andÐ à 0 ÐSupplement€6€to€part€742€of€the€EAR€for€instructions€regarding€mass€market€encryptionÐ ¬ ü  Ðcommodities€and€software.€Refer€to€ðð740.17€of€the€EAR€for€the€provisions€of€LicenseÐ xÈ  ÐException€ENC.Ð D”  ÐÓE.ÜÜ4Œ ä <”ìDœôL¤ü!ü!ÜÜŒXü!EÓò òÌPART€770€„€[AMENDED]Ð Ü, ÐÌÓ ÔþÓÓ XÓÓE.444Œ ä <”ìDœôL¤ü!ü!ÜÜŒXü!EÓó ó22.à 4 à€Sectionò ò€ó ó770.2€is€amended€by€revising€paragraph€(n)€to€read€as€follows:Ð tÄ ÐÓ ÔþÓÓ XÓÓH.ÜÜ4Œ ä <”ìDœôL¤ü!ü!444‹Xü!HÓò òÌðð770.2€€Item€interpretations.Ð  \ Ðó óÌà@þþìà*€€€€€*€€€€€*€€€€€*€€€€€*ˆÐ ¤ô ÐÓ XÓÐ p!À  Ð(n)€òòInterpretation€14:€Encryption€commodity€and€software€reviews.óó€€€Review€ofÐ <#Œ" Ðencryption€commodities€or€software€is€required€to€determine€the€eligibility€of€certainÐ %X $ Ðencryption€items€under€License€Exception€ENC€(see€ðð740.17€of€the€EAR)€or€to€releaseÐ Ô&$"& Ðcertain€encryption€items€from€ð ðEIðð€controls€(see€ðð742.15(b)(2)€of€the€EAR).€€Note€thatÐ  (ð#( Ðsubsequent€bundling,€patches,€upgrades€or€releases,€including€name€changes,€may€beÐ l*¼%* Ðexported€or€reexported€under€the€applicable€provisions€of€the€EAR€without€further€reviewÐ 8,ˆ', ÐÑž€¨IÑâ žâÑ „ Ñâ žâÑ  Ñas€long€as€the€functional€encryption€capacity€of€the€originally€reviewed€product€has€notÐ ° Ðbeen€modified€or€enhanced.€€This€interpretation€does€not€extend€to€products€controlledÐ |Ì Ðunder€a€different€category€on€the€CCL.Ð H˜ ÐÓ XÓÌò òÔÿÔÌÔÿÔPART€772€„€[AMENDED]Ð ¬ ü  ÐÌÓ ÔþÓà Ü àà 4 àó ó23.à Œ à€Sectionò ò€ó ó772.1€is€amended€by€revising€the€definition€of€ð ðCryptanalyticÐ D”  Ðitemsðð€to€read€as€follows:Ð ` ÐÓ ÔþÓò òÓB+Ü Ü4Œ ä <”ìDœôL¤ü!ÜÜŒXü!BÓðð772.1€Definitions€of€Terms€as€Used€in€the€Export€Administration€Regulations.Ð Ü, Ðó óÌà@þþìà*€€€€€*€€€€€*€€€€€*€€€€€*ˆÐ tÄ ÐÔÿÔÌÔÿÔð ðòòCryptanalytic€itemsóóðð.€€Systems,€equipment,€applications,€specific€electronic€assemblies,Ð  \ Ðmodules€and€integrated€circuits€designed€or€modified€to€perform€cryptanalytic€functions,Ð Ø( Ðsoftware€having€the€characteristics€of€cryptanalytic€hardware€or€performing€cryptanalyticÐ ¤ô Ðfunctions,€or€technology€for€the€development,€production€or€use€of€cryptanalyticÐ p!À  Ðcommodities€or€software.Ð <#Œ" ÐÌNotes:€€1.€€Cryptanalytic€functions€may€include€cryptanalysis,€which€is€the€analysis€of€aÐ Ô&$"& Ðcryptographic€system€or€its€inputs€and€outputs€to€derive€confidential€variables€orÐ  (ð#( Ðsensitive€data€including€clear€text.€(ISO€7498„2„1988(E),€paragraph€3.3.18).Ð l*¼%* ÐÐ 8,ˆ', ÐÑŸ€¨JÑâ ŸâÑ „ Ñâ ŸâÑ  Ñà 4 à2.€€Functions€specially€designed€and€limited€to€protect€against€malicious€computerÐ ° Ðdamage€or€unauthorized€system€intrusion€(e.g.,€viruses,€worms€and€trojan€horses)€are€notÐ |Ì Ðconstrued€to€be€cryptanalytic€functions.ò òÔÿÔÐ H˜ ÐÓE.ÜÜ4Œ ä <”ìDœôL¤ü!ü!ÜÜ‹Xü!EÓó óÔÿÔÌà@þþìà*€€€€€*€€€€€*€€€€€*€€€€€*ˆÐ à 0 ÐÌò òÓB+Ü Ü4Œ ä <”ìDœôL¤ü!ÜÜŒXü!BÓPART€774€„€[AMENDED]Ð xÈ  Ðó óÌò òSupplement€No.€1€to€Part€774€(The€Commerce€Control€List)€„€[AMENDED]ó óÐ ` ÐÌà 4 àÓ?(4 4Œ ä <”ìDœôL¤ü!ÜÜ‹Xü!?Ó24.à Œ à€In€Supplement€No.€1€to€Part€774€(the€Commerce€Control€List),€Ð ¨ø ÐCategory€5€ð!ð€Telecommunications€and€ð ðInformation€Securityðð,€immediately€followingÐ tÄ Ðthe€heading€ð ðInformation€Securityðð,€is€amended€by€revising€Notes€2€and€3€and€by€addingÐ @ Ða€new€Nota€Bene€(N.B.),€immediately€following€Note€3,€to€read€as€follows:Ð  \ ÐÌÓB+Ü Ü4Œ ä <”ìDœôL¤ü!44ŠXü!BÓÌCategory€5€ð!ð€Telecommunications€and€ð ðInformation€SecurityððÐ p!À  ÐÌà@þþìà*€€€€€*€€€€€*€€€€€*€€€€€*ˆÐ %X $ ÐÌPart€2€ð!ð€ð ðInformation€SecurityððÐ  (ð#( ÐÌà@þþìà*€€€€€*€€€€€*€€€€€*€€€€€*ˆÐ 8,ˆ', ÐÑ €¨KÑâ  âÑ „ Ñâ  âÑ  ÑÌà 4 àNote€2:€€Category€5,€part€2,€encryption€products,€when€accompanying€their€userÐ |Ì Ðfor€the€user's€personal€use€or€as€tools€of€trade,€are€eligible€for€License€Exceptions€TMP€orÐ H˜ ÐBAG,€subject€to€the€terms€and€conditions€of€these€License€Exceptions.€Ð  d ÐÌà 4 àNote€3:€€Cryptography€Note:€€ECCNs€5A002€and€5D002€do€not€control€items€thatÐ ¬ ü  Ðmeet€all€of€the€following:€Ð xÈ  ÐÓ ÔþÓÓ ,ÓÓB+ 4Œ ä <”ìDœôL¤ü!ÜÜ‹Xü!BÓà  àa.à 4 àGenerally€available€to€the€public€by€being€sold,€without€restriction,€from€stock€atÐ D”  Ðretail€selling€points€by€means€of€any€of€the€following:€Ð ` ÐÓ X,ÓÓE+4 4Œ ä <”ìDœôL¤ü!4ŠXü!EÓà 4 à1.à Œ àOver„the„counter€transactions;€Ð Ü, Ðà 4 à2.à Œ àMail€order€transactions;€Ð ¨ø Ðà 4 à3.à Œ àElectronic€transactions;€or€Ð tÄ Ðà 4 à4.à Œ àTelephone€call€transactions;Ð @ ÐÓ ,XÓÓE+ 4Œ ä <”ìDœôL¤ü!44ŠXü!EÓà  àb.à 4 àThe€cryptographic€functionality€cannot€be€easily€changed€by€the€user;Ð  \ Ðà  àc.à 4 àDesigned€for€installation€by€the€user€without€further€substantial€support€by€theÐ Ø( Ðsupplier;€andÐ ¤ô Ðà  àd.à 4 àWhen€necessary,€details€of€the€items€are€accessible€and€will€be€provided,€uponÐ p!À  Ðrequest,€to€the€appropriate€authority€in€the€exporter's€country€in€order€to€ascertainÐ <#Œ" Ðcompliance€with€conditions€described€in€paragraphs€(a)€through€(c)€of€this€note.Ð %X $ ÐÓ ÔþÓÓH.4Œ ä <”ìDœôL¤ü!4ŠXü!HÓÌÓ ,ÓÓH+Ü Ü4Œ ä <”ìDœôL¤ü!4ŠXü!HÓÔ‡3X÷çXXX÷çÔà 4 àà Œ àòòN.B.€to€Cryptography€Noteóó:€€Mass€market€encryption€commodities€andÐ  (ð#( Ðsoftware€eligible€for€the€Cryptography€Note€are€subject€to€the€notification€or€reviewÐ l*¼%* Ðrequirements€described€in€ðð742.15(b)(1)€and€(b)(2)€of€the€EAR,€unless€specificallyÐ 8,ˆ', ÐÑ¡€¨LÑâ ¡âÑ „ Ñâ ¡âÑ  Ñexcluded€from€these€requirements€by€ðð742.15(b)(3)€of€the€EAR.€€Mass€marketÐ ° Ðcommodities€and€software€employing€a€key€length€greater€than€64€bits€for€the€symmetricÐ |Ì Ðalgorithm€must€be€reviewed€in€accordance€with€the€requirements€of€ðð742.15(b)(2)€of€theÐ H˜ ÐEAR€in€order€to€be€released€from€the€ð ðEIðð€and€ð ðNSðð€controls€of€ECCN€5A002€or€5D002.€Ð  d ÐAll€other€mass€market€commodities€and€software€eligible€for€the€Cryptography€Note€areÐ à 0 Ðcontrolled€under€ECCN€5A992€or€5D992€(without€review)€and€may€be€exported€orÐ ¬ ü  Ðreexported€to€most€destinations€without€a€license,€following€notification,€in€accordanceÐ xÈ  Ðwith€the€requirements€of€ðð742.15(b)(1)€of€the€EAR.Ð D”  ÐÌà@þþìà*€€€€€*€€€€€*€€€€€*€€€€€*ˆÐ Ü, ÐÔ#†X÷çXX3X÷ç–c#Ôò òó óÌÓB+Ü Ü4Œ ä <”ìDœôL¤ü!ÜÜ‹Xü!BÓÔ‡3X÷çXXX÷çÔà 4 à25.à Œ àIn€Supplement€No.€1€to€Part€774€(the€Commerce€Control€List),€Category€5Ð tÄ Ðð!ð€Telecommunications€and€ð ðInformation€Securityðð,€Part€2€ð!ð€ð ðInformation€Securityðð,€isÐ @ Ðamended€by€revising€ECCN€5D002€to€read€as€follows:Ð  \ ÐÌò ò5D002€€Information€Security€ð!ð€ð ðSoftwareðð.ó óÐ ¤ô ÐÔ#†X÷çXX3X÷ç&i#ÔÔ‡@X÷çXXX÷çÔò òLicense€Requirementsó óÐ p!À  Ðà 4 àòòReason€for€Controlóó:€€NS,€AT,€EIÐ <#Œ" ÐÌòòControl(s)óóà0 Œ àà0ä Œ ü!Œ ü!àà0<ä ü!ä ü!àà0”<ü!<ü!àòòCountry€ChartóóÐÔ&$"&”ü!”ü! ÐÌNS€applies€to€entire€entryà0 < àà0”<ü!<ü!àNS€Column€1Ðl*¼%*”ü!”ü! ÐÐ 8,ˆ', ÐÑ¢€¨MÑâ ¢âÑ „ Ñâ ¢âÑ  ÑAT€applies€to€entire€entryà0 < àà0”<ü!<ü!àAT€Column€1а”ü!”ü! ÐÔ#†X÷çXX@X÷çïj#ÔÌð ðEIðð€applies€to€encryption€items€transferred€from€the€U.S.€Munitions€List€to€theÐ H˜ ÐCommerce€Control€List€consistent€with€Executive€Order€13026€of€November€15,€1996€Ð  d Ð(3€CFR,€1996€Comp.,€p.€228)€and€pursuant€to€the€Presidential€Memorandum€of€that€date.Ð à 0 ÐRefer€to€ðð742.15€of€the€EAR.Ð ¬ ü  ÐÌà 4 àNote:€Encryption€software€is€controlled€because€of€its€functional€capacity,€and€notÐ D”  Ðbecause€of€any€informational€value€of€such€software;€such€software€is€not€accorded€theÐ ` Ðsame€treatment€under€the€EAR€as€other€ð ðsoftwareðð;€and€for€export€licensing€purposes,Ð Ü, Ðencryption€software€is€treated€under€the€EAR€in€the€same€manner€as€a€commodityÐ ¨ø Ðincluded€in€ECCN€5A002.Ð tÄ ÐÌà 4 àNote:€Encryption€software€controlled€for€ð ðEIðð€reasons€under€this€entry€remainsÐ  \ Ðsubject€to€the€EAR€even€when€made€publicly€available€in€accordance€with€part€734€of€theÐ Ø( ÐEAR.€€See€ðð740.13(e)€of€the€EAR€for€information€on€releasing€certain€source€code€(andÐ ¤ô Ðcorresponding€object€code)€which€would€be€considered€publicly€available€from€ð ðEIððÐ p!À  Ðcontrols.€Ð <#Œ" ÐÌà 4 àNote:€After€notification€to€BIS,€56„bit€encryption€items€(including€keyÐ Ô&$"& Ðmanagement€products€not€exceeding€512€bits)€and€up€to€(and€including)€64„bit€massÐ  (ð#( Ðmarket€encryption€commodities€and€software€are€released€from€ð ðEIðð€and€ð ðNSðð€controls.Ð l*¼%* ÐAfter€a€review€by€BIS,€all€other€mass€market€encryption€commodities€and€softwareÐ 8,ˆ', ÐÑ£€¨NÑâ £âÑ „ Ñâ £âÑ  Ñeligible€for€the€Cryptography€Note€also€may€be€released€from€ð ðEIðð€and€ð ðNSðð€controls.Ð ° ÐSee€ðð742.15(b)(1)€and€(b)(2)€of€the€EAR.€Ð |Ì ÐÌò òLicense€Exceptionsó óÐ  d ÐÔ‡AX÷çXXX÷çÔà 4 àòòCIVóó:à Œ àN/AÐ à 0 Ðà 4 àòòTSRóó:€€€€N/AÐ ¬ ü  ÐÔ#†X÷çXXAX÷çTu#ÔÔ‡@X÷çXXX÷çÔÌò òList€of€Items€Controlledó óÐ D”  Ðà 4 àòòUnitóó:€€$€valueÐ ` Ðà 4 àòòRelated€Controlsóó:€Ô#†X÷çXX@X÷çv#Ô€€This€entry€does€not€control€ð ðsoftwareðð€ð ðrequiredðð€for€theÐ Ü, Ðð ðuseðð€of€equipment€excluded€from€control€under€the€Related€Controls€paragraph€or€theÐ ¨ø ÐTechnical€Notes€in€ECCN€5A002€or€ð ðsoftwareðð€providing€any€of€the€functions€ofÐ tÄ Ðequipment€excluded€from€control€under€ECCN€5A002.€These€items€are€controlled€underÐ @ ÐECCN€5D992.Ô‡@X÷çXXX÷çÔÐ  \ Ðà 4 àòòRelated€Definitionsóó:€€5D002.a€controls€ð ðsoftwareðð€designed€or€modified€to€useÐ Ø( Ðð ðcryptographyðð€employing€digital€or€analog€techniques€to€ensure€ð ðinformation€securityðð.Ð ¤ô Ðà 4 àòòItemsóó:Ð p!À  ÐÌÔ#†X÷çXX@X÷çvx#ÔÔ‡@X÷çXXX÷çÔa.€€ð ðSoftwareðð€specially€designed€or€modified€for€the€ð ðdevelopmentðð,€ð ðproductionðð,€orÐ %X $ Ðð ðuseðð€of€equipment€or€ð ðsoftwareðð€controlled€by€5A002,€5B002,€or€5D002.Ð Ô&$"& ÐÌb.€€ð ðSoftwareðð€specially€designed€or€modified€to€support€ð ðtechnologyðð€controlled€byÐ l*¼%* Ð5E002.Ð 8,ˆ', ÐѤ€¨OÑâ ¤âÑ „ Ñâ ¤âÑ  ÑÌc.€€Specific€ð ðsoftwareðð€as€follows:Ð |Ì Ðà 4 àc.1.€€ð ðSoftwareðð€having€the€characteristics,€or€performing€or€simulating€theÐ H˜ Ðfunctions€of€the€equipment€controlled€by€5A002€or€5B002;Ð  d Ðà 4 àc.2.€€ð ðSoftwareðð€to€certify€ð ðsoftwareðð€controlled€by€5D002.c.1.Ð à 0 ÐÔ#†X÷çXX@X÷çíy#ÔÔ‡@X÷çXXX÷çÔÌÔ#†X÷çXX@X÷çU}#ÔÔ‡@X÷çXXX÷çÔDATED:Ð xÈ  ÐÌÌJames€J.€JochumÐ Ü, ÐAssistant€SecretaryÐ ¨ø Ðfor€Export€AdministrationÔ#†X÷çXX@X÷ç˜}#ÔÔ‡@X÷çXXX÷çÔÐ tÄ ÐÔ#†X÷çXX@X÷ç\~#ÔÓVÓò òÌó óÔ#†ôµòXX÷ç#Ô