AG Holder Addresses Cyber
Security and Theft of Trade Secrets |
2/20. Attorney General Eric Holder gave a
speech in Washington DC regarding cyber security and theft of trade secrets.
Holder (at right) said that the
Department of Justice (DOJ) "has made
the investigation and prosecution of trade secret theft a top priority". He
said that the DOJ "has also gathered valuable intelligence about foreign-based
economic espionage"; but, he did not identify any foreign nations that conduct,
or are home to, cyber theft of trade secrets. And, he called for greater
cooperation among government agencies, and government and the private sector.
Substantively, he said little. He disclosed no new criminal arrests or
prosecutions. He identified no offenders. He announced no new DOJ policies or
practices. He proposed no new legislation. He said nothing about DOJ or FBI
investigation or surveillance authorities or practices.
However, that the Attorney General devoted a speech to cyber security and
trade secrets theft is in itself significant.
And, the Executive Office of the President's (EOP)
Intellectual
Property Enforcement Coordinator (IPEC) released a
document titled "Administration Strategy on Mitigating the Theft of U.S.
Trade Secrets". See, related story in this issue titled "IPEC Releases
Administration Strategy Regarding Theft of Trade Secrets".
Holder discussed the nature of the problem. He stated that the proliferation
of "smart phones, tablets, laptops, and other internet-access devices"
and "cloud-based computing" creates "more access points and
vulnerabilities that allow criminals to steal confidential information".
He added that "as new technologies have torn down traditional barriers to
international business and global commerce, they’ve also made it easier for
criminals to steal trade secrets -- and to do so from anywhere in the world. A
hacker in China can acquire source code from a software company in Virginia
without leaving his or her desk. With a few keystrokes, a terminated or simply
unhappy employee of a defense contractor can misappropriate designs, processes,
and formulas worth billions of dollars."
"By corrupting insiders, hiring hackers, and engaging in other unscrupulous
and illegal activities, these entities can inflict devastating harm on individual
creators, start-ups, and major companies." He elaborated that "Some
of these criminals exploit pilfered secrets themselves -- often by extorting the
victim company or starting their own enterprise. Others try to sell the illicit
information to a rival company, or obtain a bounty from a country interested in
encouraging such theft. And all represent a significant and steadily increasing
threat to America's economic and national security interests."
He did disclose that the DOJ's National
Security Division's (CSD) Counterespionage Section "has taken a leading
role in economic espionage cases -- and others affecting national security and
the export of military and strategic commodities or technology."
He also said that "We need to increase cooperation and coordination between
partners at every level of government. We need to improve engagement with
the corporations represented in the room today. We need to find ways to work
together more efficiently and effectively -- by following the road map set forth
in the Administration’s new, comprehensive strategy. And we need to do so
starting immediately -- because continuing technological expansion and
accelerating globalization will lead to a dramatic increase in the threat posed
by trade secret theft in the years ahead."
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IPEC Releases Administration Strategy
Regarding Theft of Trade Secrets |
2/20. The Executive Office of the President's (EOP)
Intellectual Property
Enforcement Coordinator (IPEC) released a
document titled "Administration Strategy on Mitigating the Theft of U.S.
Trade Secrets".
It states, among other things, that
- the US will put diplomatic pressure, mainly via the
Department of State (DOS), on the
governments of nations where trade secret theft is practiced
- the US will utilize trade policy tools, including via the
Office of the U.S. Trade Representative (OUSTR),
and especially with the Special 301 process
- the US FBI will expand its investigations into trade secrets theft
- the US intelligence community will share more information with the private
sector
This document also contains many items that are more rhetorical than
substantive in nature.
Diplomacy and the DOS. This document states that "The
Administration will continue to apply sustained and coordinated diplomatic
pressure on other countries to discourage trade secret theft. This will be
achieved by utilizing a whole of government approach directed at a sustained,
consistent and coordinated message from all appropriate agencies to foreign
governments where there are regular incidents of trade secret theft".
Trade Policy and the OUSTR. This document states that another strategy
will be "Targeting weaknesses in trade secret protection through enhanced
use of the annual Special 301 process, including the Special 301 Report".
(Footnote omitted.)
It adds that the US will seek, "through USTR-led trade negotiations
such as the Trans Pacific Partnership, new provisions on trade secret protections
requiring parties to make available remedies similar to those provided for in
U.S. law".
It should be noted that neither the People's Republic of China (PRC),
nor other nations that are likely the most egregious thieves of trade secrets,
are not parties to the ongoing Trans Pacific Partnership Agreement negotiations.
The Special 301 process, which was created by the Trade Act of 1974, requires
the executive branch to identify countries that fail to protect the intellectual
property rights (IPR) and market access of US companies, and take certain
actions against those countries. These Special 301 provisions are codified at
19 U.S.C. § 2411,
et seq.
Under the Special 301 provisions, the OUSTR identifies other countries that
deny adequate and effective protection of IP or deny fair and equitable market
access to U.S. artists and industries that rely upon IP protection. It does this
primarily in annual reports. However, it also conducts out of cycle reviews
(OCRs). And, it recently began doing separate notorious markets reports.
The definitions in Section 2411 are clear that Special 301 authority extends
to trade secrets protection. Subsection 2411(d)(3)(F)(1) provides that
"adequate and effective protection of intellectual property rights
includes adequate and effective means under the laws of the foreign country for
persons who are not citizens or nationals of such country to secure, exercise,
and enforce rights and enjoy commercial benefits relating to patents,
trademarks, copyrights and related rights, mask works, trade secrets
..." (Emphasis added.)
However, it should also be noted that the OUSTR's Special 301 reports have
placed the PRC on the Priority Watch List, and detailed numerous denials of
adequate and effective protection of IPR in the PRC, usually to little avail.
See, for example,
report [54 pages in PDF] titled "2012 Special 301 Report",
report [53 pages in PDF] titled "2011 Special 301 Report" and
story titled "OUSTR Releases Special 301 Report" in
TLJ Daily E-Mail
Alert No. 2,231, May 3, 2011.
US Law Enforcement Investigations. This IPEC document states that
DOJ and its Federal Bureau of Investigation (FBI) "will continue to
prioritize these investigations and prosecutions and focus law enforcement efforts
on combating trade secret theft. The FBI is also expanding its efforts to fight
computer intrusions that involve the theft of trade secrets by individual,
corporate, and nation-state cyber hackers."
Although, this document discloses nothing about "these investigations",
such numbers of personnel by area of expertise, whether the DOJ invokes Foreign Intelligence
Surveillance Act (FISA) authority to investigate theft of trade secrets of US
companies by foreign companies, or what investigation or surveillance techniques
are being employed.
Information Sharing by the Intelligence Community. This document
states that the Office of the Director of National
Intelligence (ODNI) "will coordinate within the intelligence community to
inform the private sector about ways to identify and prevent the theft of trade
secrets that benefit a state sponsor or an entity with ties to a foreign
government."
It also states that "ODNI will coordinate expanded discussions between
the intelligence community and the private sector".
However, missing from
this document are any proposed changes to the law, and particularly regarding immunity,
to incent
private sector entities to provide information regarding cyber attacks to
government agencies.
Information Sharing by the Private Sector. This document states that
"The Administration encourages companies to consider and share with each
other practices that can mitigate the risk of trade secret theft", and
that the government "will help facilitate efforts by organizations and
companies to develop industry led best practices to protect trade
secrets".
However, there are a number of legal impediments to private sector information
sharing, with other private sector entities, or government agencies, including
risk of civil liability for data breaches, loss of proprietary information to
Freedom of Information Act requests, and violation of privacy related laws
and antitrust prohibitions. This document proposes nothing to remove any
of these
impediments.
This section of the report adds that "In identifying and promoting the
adoption of best practices, it should be emphasized that such guidelines are
intended solely to offer suggestions to assist businesses in safeguarding
information they wish to keep secret and are not designed to be a minimum
standard of protection".
Legislation. This document contains a
section on legislation. However, it merely states that the administration
will "review existing Federal laws to determine if legislative changes
are needed to enhance enforcement against trade secret theft".
It makes no proposals for statutory changes.
It cites two minor changes to trade secret law
enacted in the 112th Congress: S 3642
[LOC |
WW],
the "Theft of Trade Secrets Clarification Act of 2012" and HR 6029
[LOC |
WW],
the "Foreign and Economic Espionage Penalty Enhancement Act of 2012".
Other. This document states that the government will seek greater
"international law enforcement cooperation", and conduct domestic
"education and outreach".
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Rep. Rogers and Rep.
Ruppersberger Re-Introduce CISPA |
2/13. Rep. Mike Rogers (R-MI)
and Rep. Dutch Ruppersberger (D-MD)
introduced HR 624
[LOC |
WW |
PDF], the "Cyber Intelligence and Sharing Protection Act" or CISPA.
This is a revised version of HR 3523
[LOC |
WW],
a bill with the same titled, that the House passed in the 112th Congress.
Rep. Rogers is the Chairman of the
House Intelligence Committee (HIC).
Rep. Ruppersberger is the ranking Democrat on the HIC.
Rep. Ruppersberger (at right) stated in a
release that "American industry is under attack, costing our country
and our economy billions of dollars and thousands of jobs. We need to do
everything we can to enable American companies to defend themselves against
these devastating cyber attacks. Our bill does just that by permitting the
voluntary sharing of critical threat intelligence while preserving important
civil liberties".
The bill would incent companies to share cyber threat information with
relevant government agencies. Opponents of the bill equate this with surveillance,
and a diminution of privacy.
The bill would also allow the government to share cyber threat intelligence
with certain approved companies and other entities.
The bill would not create a new government regulatory regime. This is a
source of opposition for those he seek such a regime, such as President Obama.
Legislative History. Rep. Rogers and Rep. Ruppersberger introduced the
first version of this bill on November 30, 2011. See,
story
titled "Representatives Introduce Cyber Threat Information Sharing Bill"
in TLJ Daily E-Mail
Alert No. 2,316, November 30, 2011.
The HIC approved it by a vote of 17-1 on December 1, 2011.
The full House considered this bill, and numerous amendments, on April 26,
2012. The vote on final passage was 248-168. See,
Roll Call No. 192.
See also, stories titled "House Passes CISPA" and "Amendment
by Amendment Summary of House Consideration of CISPA" in
TLJ Daily E-Mail
Alert No. 2,380, April 25, 2012.
President Obama opposed the bill. See, story titled "Obama EOP Opposes
CISPA" in TLJ
Daily E-Mail Alert No. 2,379, April 24, 2012.
See also, stories titled,
Neither any Senate Committee, nor the full Senate, considered the CISPA
during the 112th Congress.
The bill backed by Sen. Harry Reid
(D-NV) and President Obama was S 3414
[LOC |
WW],
the "Cybersecurity Act of 2012", or "CSA". This bill would
have created a new cyber security regulatory regime. Neither any Senate Committee,
nor the full Senate, approved S 3414 during the 112th Congress. However, Sen.
Reid twice tried, but failed, to ram the CSA through the Senate without debate
or opportunity to amend the bill.
Also, Sen. John McCain (R-AZ)
introduced another cyber security bill, S 2151
[LOC |
WW],
the "Secure IT Act", in the 112th Congress.
Bill Summary. The CISPA is bill that would promote, but not mandate,
information sharing. It would allow sharing, by the private sector, and by the
government. It would create new immunities. On the other hand, it would create no
new regulatory regime, no new criminal prohibition regime, and no data retention
mandate.
It provides that the Director of National
Intelligence (DNI) "shall establish procedures to allow elements of the
intelligence community to share cyber threat intelligence with private-sector
entities and utilities and to encourage the sharing of such intelligence."
This bill would amend Title 50, which pertains to national defense and
intelligence, to authorize U.S. intelligence agencies to provide
"classified cyber threat intelligence" to certain private sector entities,
namely, "cybersecurity providers", "protected entities" (of
cyber security providers), and "self-protected entities" (which provide
their own cyber security). The bill further allows these entities to further share
this intelligence, but prohibits "unauthorized disclosure".
This bill would also allow "cybersecurity providers" and
"self-protected entities" to provide "cyber threat
information" to others, and to the federal government.
Such information would be exempt from disclosure under the Freedom of
Information Act. It would also be "considered proprietary information and
shall not be disclosed to an entity outside of the Federal Government except as
authorized by the entity sharing such information". Moreover, such information
"shall not be used by the Federal Government for regulatory purposes".
The bill would also grant sweeping immunity from state and federal, and civil
and criminal, actions and liability.
It provides that "No civil or criminal cause of action shall lie or be
maintained in Federal or State court against a protected entity, self-protected
entity, cybersecurity provider, or an officer, employee, or agent of a protected
entity, self-protected entity, or cybersecurity provider, acting in good faith
-- (A) for using cybersecurity systems to identify or obtain cyber threat
information or for sharing such information in accordance with this section; or
(B) for decisions made based on cyber threat information identified, obtained,
or shared under this section."
The bill also imposes limits on the use of information given to the federal
government. "The Federal Government may use cyber threat information shared with
the Federal Government ... for cybersecurity purposes ... for the investigation
and prosecution of cybersecurity crimes ..."
But then the bill would broadly allow use of such information for "for the
protection of individuals from the danger of death or serious bodily harm and
the investigation and prosecution of crimes involving such danger of death or
serious bodily harm".
The bill adds that the federal government could not search its databases of
cyber threat information, except for the above listed purposes.
Support for CISPA. This bill is back by many information technology companies
and groups. For example, Peter Cleveland of Intel wrote in a
letter to the HIC that "We applaud you for adopting a voluntary and
non-regulatory approach to improving cybersecurity that incentivizes industry
participation by providing much-needed legal certainty and liability protection
to businesses engaged in responsible information sharing practices, and leverages
existing public-private partnerships rather than creating new bureaucracies."
See also, statements of support from
IBM,
Internet Security Alliance and
TechAmerica.
This bill is also backed by many voice, programming, and broadband service
providers and their trade groups. For example, Walter McCormick, head of the
US Telecom, stated in a
release that "USTelecom is pleased to again support the "Cyber
Intelligence Sharing and Protection Act," a bill that would enable the government
and private sector to more efficiently detect, deter and respond to cyber threats.
The legislation addresses this critical need, while providing the appropriate
safeguards necessary for facilitating real-time information sharing. As threats
and attacks continue to increase, this bill is needed even more urgently now
than when it passed the House on a bipartisan vote last April. We look forward
to working with Congressmen Rogers and Ruppersberger on this legislation."
Steve Largent, head of the CTIA, stated in
a release that
"Recent attacks on The New York Times, The Wall Street Journal and the Federal
Reserve highlight the pressing need to enhance America’s ability to address
cyberthreats. Our members are committed to helping, but they need the government
to be a willing partner to share intelligence and develop solutions to protect
our consumers and our networks."
Largent added that the "CTIA welcomes the introduction of the
Rogers-Ruppersberger bill because Congress can help facilitate this collaboration by
enacting a sensible framework to enable information sharing and provide appropriate
liability protections. This bipartisan bill does that and CTIA urges the Congress
to act quickly to make it law."
See also, statements of support from
AT&T,
Verizon,
Comcast,
Time Warner Cable, and
National Cable & Telecommunications Association.
See also,
letter signed by numerous groups, including Information Technology
Industry Council (ITIC) and the Software and Information Industry Association
(SIIA), as well as oil and gas, airline, railroad, electricity groups, and
the U.S. Chamber of Commerce and the National Association of Manufacturers.
Finally, financial services groups expressed their support.
Opposition to CISPA. Several groups announced their opposition to the
just introduced CISPA on privacy grounds.
Michelle Richardson of the American Civil
Liberties Union (ACLU) stated in a
release that "The ACLU still opposes CISPA, which once again allows
companies to share sensitive and personal American internet data with the
government, including the National Security Agency and other military agencies
... CISPA does not require companies to make reasonable efforts to protect their
customers’ privacy and then allows the government to use that data for undefined
‘national-security’ purposes and without any minimization procedures, which have
been in effect in other security statutes for decades."
The Electronic Frontier Foundation (EFF)
stated in a
release that "EFF is adamantly opposed to CISPA".
Leslie Harris, head of the
Center for Democracy and Technology (CDT), state in a
release that the "CISPA remains fundamentally flawed".
She said that "It allows private Internet communications and information
of American citizens to go directly to the NSA, a military intelligence agency that
operates secretly with little public accountability. Once that private information
is in the hands of the military, it can be used for purposes completely unrelated
to cybersecurity."
"In seeking to promote cybersecurity information sharing, CISPA creates a
sweeping exception to all privacy laws," said Harris. "It dismantles years
of hard fought privacy protections for Americans. We urge all Members of Congress to
oppose this bill and to work instead for cybersecurity legislation that enhances both
privacy and security. CDT will work with all Members of Congress and all stakeholders
to achieve that goal."
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GAO Releases Report on
Cyber Security |
2/14. The Government Accountability Office
(GAO) released a report
[112 pages in PDF] titled "Cybersecurity: National Strategy, Roles, and
Responsibilities Need to Be Better Defined and More Effectively Implemented".
It states that "it is critical that the government adopt a comprehensive
strategic approach to mitigating the risks of successful cybersecurity attacks.
Such an approach would not only define priority problem areas but also set a
roadmap for allocating and managing appropriate resources, making a convincing
business case to justify expenses, identifying organizations' roles and
responsibilities, linking goals and priorities, and holding participants
accountable for achieving results."
"However," the report finds that "the federal government’s efforts
at defining a strategy for cybersecurity have often not fully addressed these key
elements, lacking, for example, milestones and performance measures, identified
costs and sources of funding, and specific roles and responsibilities. As a
result, the government's cybersecurity strategy remains poorly articulated and
incomplete."
It adds that "In fact, no integrated, overarching strategy exists that
articulates priority actions, assigns responsibilities for performing them, and
sets time frames for their completion. In the absence of an integrated strategy,
the documents that comprise the government’s current strategic approach are of
limited value as a tool for mobilizing actions to mitigate the most serious
threats facing the nation."
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In This
Issue |
This issue contains the following items:
• AG Holder Addresses Cyber Security and Theft of Trade Secrets
• IPEC Releases Administration Strategy Regarding Theft of Trade
Secrets
• Rep. Rogers and Rep. Ruppersberger Re-Introduce CISPA
• GAO Releases Report on Cyber Security
• Obama Signs Cyber Security Order and Policy Directive
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Washington Tech
Calendar
New items are highlighted in
red. |
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Thursday, February 21 |
The House will not meet. It will next meet at 2:00 PM on
February 25.
The Senate will not meet. It will next meet at 2:00 PM on
February 25.
12:00 NOON. The Federal
Communications Bar Association (FCBA) will host a lunch. The speaker
will be FCC Commissioner Ajit Pai. The deadline for reservations and
cancellations is 12:00 NOON on February 15. Prices vary. No CLE
credits. See,
notice. Location: Mayflower Hotel, 1127 Connecticut Ave., NW.
12:00 NOON - 1:30 PM. The
National Economists
Club (NEC) will hold lunch. The speaker will be Jun Saito (Senior
Research Fellow, Japan Center for Economic Research). Location: Chinatown Garden
Restaurant, 618 H St., NW.
1:00 - 5:00 PM. The National
Telecommunications and Information Administration (NTIA) will hold another
in its series of meetings regarding mobile application transparency. See,
notice. This event will also be teleconferenced. Location: American
Institute of Architects, 1735 New York Ave., NW.
1:00 PM. The US Telecom
will host a webcast seminar titled "Monitoring & Optimizing Real
Time IP Communications Networks". The speaker will be Renuka Prasad (Acme
Packet). Free. See,
notice.
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Friday, February 22 |
The House will not meet. It will next meet at 2:00 PM on
February 25.
The Senate will not meet. It will next meet at 2:00 PM on
February 25.
Supreme Court conference day. See, Supreme Court
calendar.
President Obama will meet in Washington DC with the Prime Minister of
Japan, Shinzo Abe. See, White House news office
notice.
12:00 NOON - 1:15 PM. The
American Bar Association (ABA) will
host a teleconferenced panel discussion titled "IP Fundamentals for
Antitrust Attorneys". The speakers will be Sean Gates (Morrison Foerster),
David Balto (Law Offices of David Balto), Kristin Cooklin (Crowell & Moring),
and Edward Mathias (Axinn Veltrop Harkrider). Free. No CLE credits. See,
notice.
Day one of a two day event hosted by the
Practicing Law Institute (PLI) titled
"SEC Speaks 2013". The speakers will include the SEC Commissioners.
Among the topics to be addressed by panels are implementation of HR 3606
[LOC |
WW],
the "Jumpstart Our Business Startups Act of 2012" or "JOBS
Act" and the value of XBRL and structured data to investors. Prices
vary. CLE credits. See,
notice. For more information, contact Laura Shields at 212-824-5797 or
lshields at pli dot edu. Location: Ronald Reagan Building and International
Trade Center, 1300 Pennsylvania Ave., NW.
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Saturday, February 23 |
Day two of a two day event hosted by the
Practicing Law Institute (PLI) titled "SEC
Speaks 2013". The speakers will include the SEC Commissioners. Among the
topics to be addressed by panels are implementation of the JOBS Act and the
value of XBRL and structured data to investors. Prices vary. CLE credits. See,
notice. For more information, contact Laura Shields at 212-824-5797 or
lshields at pli dot edu. Location: Ronald Reagan Building and International
Trade Center, 1300 Pennsylvania Ave., NW.
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Monday, February 25 |
The House will meet at 2:00 PM.
The Senate will meet at 2:00 PM.
9:30 AM. The
U.S. Court of Appeals (DCCir) will hear oral argument in Comcast v.
FCC, App. Ct. No. 12-1337. This is a challenge to the Federal
Communications Commission's (FCC)
Memorandum Opinion and Order (MOO) in the matter of the Tennis
Channel's complaint against Comcast. This MOO is FCC 12-78 in MB Docket
No. 10-204 and File No. CSR-8258-P. See also,
story
titled "FCC Asserts Broad MVPD Program Carriage Authority" in
TLJ Daily E-Mail
Alert No. 2,412, July 26, 2012. And see, FCC
brief. This case is the third of three on the schedule. Judges Kavanaugh,
Edwards and Williams will preside. Location: USCA Courtroom, 5th floor,
Prettyman Courthouse, 333 Constitution Ave., NW.
10:00 - 11:30 AM. The
Copyright Office (CO) will host a
webcast and teleconferenced event titled "The Orphan Works Problem:
Recent Developments, Proposed Legislation, and Alternative Solutions".
This pertains to the CO's open proceeding on orphan works. See,
story
titled "Copyright Office Issues Notice of Inquiry on Orphan Works" in
TLJ Daily E-Mail
Alert No. 2,468, November 2, 2012. The speakers will include
Karyn
Clagget, the CO's Associate Register of Copyrights and Director of Policy
& International Affairs, who is responsible for this proceeding. The other
participants will be Marco Giorello (European Commission), June Besek (Columbia
Law School), Kevin Smith (Duke University Libraries), and Jennifer Urban (UC
Berkeley law school). The price for the general public is $195. Prices for others
are less. CLE credits. The
American Bar Association (ABA) states
that this is an ABA event. See, ABA
notice.
See also, CO's original
notice in the Federal Register, Vol. 77, No. 204, October 22, 2012, at
Pages 64555-64561, and extension
notice in the FR, Vol. 77, No. 231, November 30, 2012 at Page 71452. And
see,
initial comments. The extended deadline to submit initial comments was
February 4. The extended deadline to submit reply comments is March 4,
2013.
12:15 - 1:30 PM. The Federal
Communications Bar Association's (FCBA) Intellectual Property Committee will
host a brown bag lunch. The topic will be patent infringement litigation.
The speakers will be Bill Bradley (Roylance Abrams) and Tim Simeone (Wiltshire
& Grannis). Free. Location: Wiltshire Grannis, 1200 18th St., NW.
Day one of a three day event hosted by the Department of
Energy (DOE) titled "ARPA-E Energy Innovation Summit". On
February 25 from 4:30 to 5:30 PM there will be a panel discussion
titled "Get Smart about IP: Pros, Cons and Costs of Your Patent
Strategy". The speakers will include
Robert Atkinson
(Information Technology and Innovation Foundation). See,
conference web site.
Location:
Gaylord National Hotel and Convention Center, 201 Waterfront Street
National Harbor, MD.
Deadline to submit initial comments to the Federal
Communications Commission (FCC) in response to its
Notice of Proposed Rule Making (NPRM) regarding implementing allocation
decisions from the World Radiocommunication Conference held in Geneva in 2007
(WRC-07) regarding spectrum between 108 MHz and 20.2 GHz, and changing service
rules for this spectrum. The FCC adopted this NPRM on November 15, 2012, and
released the text on November 19. It is FCC 12-140 in ET Docket No. 12-338.
See,
notice in the Federal Register, Vol. 77, No. 248, December 27, 2012, at
Pages 76250-76287.
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Tuesday, February 26 |
10:00 AM. The
House Science Committee's (HSC) Subcommittee on Technology and
Subcommittee on Research will hold a joint hearing titled "Cyber R&D
Challenges and Solutions". The witnesses will be __. See,
notice. Location: Room 2318, Rayburn Building.
10:00 AM - 12:00 NOON. The
Senate Banking Committee (SBC)
will hold a hearing titled "The Semiannual Monetary Policy Report to the
Congress". The witness will be
Ben
Bernanke (Chairman of the Federal Reserve Board). See,
notice. Location: Room 106, Dirksen Building.
10:00 AM - 3:00 PM. The
Public Knowledge (PK) will host an event titled "2013 PK
Policy Symposium". There will be panels titled "Data
Caps", "Future of Video", "Copyright Reform",
and "Digital First Sale". See,
notice and registration page. Location: Room SVC201-00, Capitol
Visitor Center.
2:00 PM. The House
Foreign Affairs Committee's (HFAC) Subcommittee on Asia and the Pacific
will hold a hearing titled "The Rebalance to Asia: Why South Asia
Matters (Part I)". The witnesses will be
Robert Blake
(Department of State) and Joseph
Yun (Department of State). See,
notice. Location: Room 2172, Rayburn Building.
2:30 PM. The
Senate Intelligence Committee (SIC) will hold a closed hearing on
undisclosed topics. See,
notice. Location: Room 219, Hart Building.
Deadline to submit initial comments to the Federal
Communications Commission (FCC) in response to its Notice of Proposed
Rulemaking (NPRM) regarding IP Captioned Telephone Service. This item
is FCC 13-13 in CG Docket Nos. 13-24 and 03-123. The FCC adoptd this item on
January 24, 2013, and released the text on January 25. See,
notice in the Federal Register, Vol. 78, No. 24, February 5, 2013, at
Pages 8090-8096.
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Wednesday, February 27 |
CANCELLED. 5:30 - 7:00 PM. The
Institute for Policy Innovation (IPI)
will host a reception in advance of its February 28 event titled "5th
Annual Communications Summit".
9:00 AM - 5:00 PM. Day one of a two day meeting of
the Department of Homeland Security's (DHS)
Homeland Security Information Network Advisory Committee (HSINAC). See,
notice in the Federal Register Vol. 78, No. 23, February 4, 2013, at
Pages 7797-7798. Location: Ronald Reagan International Trade Center, 1300
Pennsylvania Ave., NW.
9:30 AM. The
House Oversight and Government Reform Committee (HOGRC) will hold a
hearing titled "Time to Reform Information Technology Acquisition:
The Federal IT Acquisition Reform Act". Location: Room 2154, Rayburn
Building.
10:00 AM. The House
Appropriations Committee's (HAC) Subcommittee on the Legislative Branch will
hold a hearing on the budget for the Library of
Congress. The witness will be
James
Billington. No webcast. See,
notice. Location: Room HT-2, Capitol Building.
12:00 NOON - 1:30 PM. The DC
Bar Association will host a panel discussion titled "What
Intellectual Property Attorneys Need to Know About the New gTLD
Program". The speakers will be Scott Harlan (Steptoe & Johnson),
Brian Winterfeldt (Steptoe & Johnson), and Danny Awdeh (Finnegan). The
price to attend ranges from $15 to $25. No CLE credits. Closed to reporters. See,
notice. For more information, call 202-626-3488. Location: Steptoe
& Johnson, 1330 Connecticut, Ave., NW.
2:00 PM. The
Senate Judiciary Committee (SJC)
will hold a hearing on the nomination of Jane Kelly to be a Judge of
the U.S. Court of Appeals (8thCir).
See,
notice. Location: Room 226, Dirksen Building.
Deadline to submit initial comments to the Federal
Communications Commission (FCC) in response to its Public Notices (PNs)
regarding development of the forward looking cost model for Connect
America Phase II. These PNs are DA 12-1561, DA 12-1687, DA 12-2011, DA
12-2029, and DA 13-70 in WC Docket Nos. 10-90 and 05-337. See,
notice in the Federal Register, Vol. 78, No. 18, January 28, 2013, at
Pages 5765-5767.
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Thursday, February 28 |
CANCELLED. 9:00 AM - 1:00 PM. The
Institute for Policy Innovation (IPI)
will host an event titled "5th Annual Communications Summit".
Free. Open to the public. Lunch will be served. See,
notice and registration
page. Location: Reserve Officers Association, 5th Floor, One Constitution
Ave., NE.
9:00 AM - 2:00 PM. Day two of a two day meeting of
the Department of Homeland Security's (DHS)
Homeland Security Information Network Advisory Committee (HSINAC). See,
notice in the Federal Register Vol. 78, No. 23, February 4, 2013, at
Pages 7797-7798. Location: Ronald Reagan International Trade Center, 1300
Pennsylvania Ave., NW.
10:00 AM. The Senate
Judiciary Committee (SJC) will hold an executive business meeting. The
agenda includes consideration of the nomination of David Medine to be
Chairman of the Privacy and Civil Liberties Oversight Board, and four judicial
nominees, William Orrick (USDC/NDCal), Nelson Roman (USDC/SDNY),
Shelly Dick (USDC/MDLa), and Sheri Chappell (USDC/MDFl). See,
notice. Webcast. Location: Room 226, Dirksen Building.
2:30 PM. The
Senate Intelligence Committee (SIC) will hold a closed hearing on
undisclosed topics. See,
notice. Location: Room 219, Hart Building.
6:00 - 8:15 PM. The
Federal Communications Bar Association's (FCBA) Video Programming and
Distribution Committee will host an event titled "The 1992 Cable
Act: 20 Years Later". The speakers will include
Toni Bush
(Skadden Arps), Paul Glist
(Davis Wright Tremaine),
Seth Davidson (Edwards Wildman Palmer),
Jim Casserly (Willkie Farr
& Gallagher),
Howard Symons (Mintz Levin), Diane Burstein (NCTA), and Loretta Polk
(NCTA). No webcast. CLE credits. Prices vary. See,
notice. Reservations and cancellations are due by 12:00 NOON on
February 27. Location: Wiley Rein,
1776 K St., NW.
5:00 PM. Deadline to submit 2012 DART Royalty Claims Forms to the
Copyright Royalty Board (CRB). See,
online claims form.
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Obama Signs Cyber Security
Order and Policy Directive |
2/13. President Obama signed an
Executive Order (EO) titled "Improving Critical Cybersecurity
Infrastructure" and
Presidential Policy Directive 21 (PPD-21), titled "Critical Infrastructure
Security and Resilience".
The EO states that "It is the policy of the United States to enhance the
security and resilience of the Nation's critical infrastructure and to maintain
a cyber environment that encourages efficiency, innovation, and economic
prosperity while promoting safety, security, business confidentiality, privacy,
and civil liberties."
The PPD similarly states that "It is the policy of
the United States to strengthen the security and resilience of its critical
infrastructure against both physical and cyber threats."
The EO and PPD direct the federal government to increase the flow of information
from the government to the private sector regarding cyber threats. This is not
controversial.
However, the EO and PPD take no meaningful steps to increase the flow of
information from private sector entities about cyber attacks directed at them to
the relevant government agencies. Indeed, this would require changes to law by
the Congress.
Moreover, this is a controversial topic. On the one hand, some argue that
this is a necessary component of any national cyber security strategy. The
government needs this data to develop cyber threat intelligence. On the other
hand, some argue that if private companies transfer more information to the
government, that would entail diminishing the privacy of individuals.
Leslie Harris, head of the Center for Democracy
and Technology (CDT), stated in a
release that the EO "says that privacy must be built into the government's
cybersecurity plans and activities, not as an afterthought but rather as part
of the design ... By explicitly requiring adherence to fair information practice
principles, the order adopts a comprehensive formulation of privacy. The annual
privacy assessment, properly done, can create accountability to the public for
government actions taken in the name of cybersecurity."
On the other hand, HR 624
[LOC |
WW |
PDF], the "Cyber Intelligence and Sharing Protection Act" or CISPA,
introduced on February 13, seeks to incent the flow of information in both
directions. See, related story in this issue titled "Rep. Rogers and Rep.
Ruppersberger Re-Introduce CISPA".
There is also the matter of the role of the government in regulating the cyber security related practices of the entities that operate
critical networks and systems. The federal government has authority to manage
the cyber security practices of governmental and military networks and systems.
And, the PDD addresses this.
However, most of the networks and systems that are or will be targeted by
cyber attacks are owned and operated privately. There is no specific statute
that enables the federal government to regulate private sector entities for
the purpose of improving their cyber security.
President Obama sought, but failed to obtain passage of, a bill in the
112th Congress that would have created a cyber security regulatory regime.
The just introduced CISPA would not create such a regulatory regime.
The EO and PPD are models of obfuscation on this matter
government compulsion of private sector entities.
The EO is clear that the federal government will identify "critical
infrastructure" and write "standards" for them.
The EO also states that "Nothing in this order shall be construed
to provide an agency with authority for regulating the security of critical
infrastructure in addition to or to a greater extent than the authority the
agency has under existing law."
This EO calls for a partnership "partnership" and
"collaboration" with the private sector.
It requires the Department of Commerce's (DOC)
National Institute of Standards and Technology (NIST) to write a
"Cybersecurity Framework" that includes "standards". It
then requires that the DOC "shall establish a voluntary program to
support the adoption of the Cybersecurity Framework by owners and operators
of critical infrastructure and any other interested entities", and
"a set of incentives designed to promote participation".
Moreover, various departments shall "make recommendations" regarding
whether "incentives would require legislation or can be provided under
existing law". Also, various government entities shall make recommendations
regarding incorporating the "standards into acquisition planning and contract
administration".
The EO states that "Agencies with responsibility for regulating the security
of critical infrastructure shall engage in a consultative process with DHS, OMB,
and the National Security Staff to review the preliminary Cybersecurity
Framework and determine if current cybersecurity regulatory requirements are
sufficient given current and projected risks."
Then, "these agencies shall submit a report to the President ... that states
whether or not the agency has clear authority to establish requirements based
upon the Cybersecurity Framework to sufficiently address current and projected
cyber risks to critical infrastructure, the existing authorities identified, and
any additional authority required".
Also, "If current regulatory requirements are deemed to be insufficient,
within 90 days of publication of the final Framework, agencies ... shall propose
prioritized, risk-based, efficient, and coordinated actions ... to mitigate
cyber risk."
That is, while the EO asserts that it merely creates a "voluntary"
program, the EO also states that the government writes standards, decides who
is covered by those standards, and then pursues numerous procedures to compel
compliance with these standards.
Agencies such as the Federal Communications Commission (FCC) are already
adept at compelling companies to promise to take actions against their interest,
and then calling this submission "voluntary commitments". Consider,
for example, the outcomes of FCC antitrust merger reviews.
This EO and PPD do not in plain and clear language purport to create a federal
cyber security regulatory regime. However, they are full of vague phrases regarding
regulatory activities, ambiguities, euphemisms, and carefully
crafted linguistic goobledygook, that in the hands of government lawyers could
be interpreted to mean whatever they want it to mean, including compelling
companies to comply with standards set by the government.
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About Tech Law
Journal |
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