The explosive growth of the telecommunications industry is one of the major engines driving the dramatic expansion of the U.S. economy. As international markets continue to open to competition, exports are a critical component of the industry's continued expansion. Exempting CPE and communications network equipment from burdensome export restrictions is fundamental to ensuring the continued growth of the telecommunications industry. Background The SAFE Act, which enjoys the bi-partisan support of more than 205 cosponsors, seeks to liberalize U.S. encryption export regulations, which penalize U.S. companies with more restrictive regulations than their foreign competitors. For example, one of the greatest problems facing the wireless industry is the illegal cloning of cellular phones and other wireless devices.
Encryption is an important tool in combating such fraud.
The restrictive U.S. encryption regulations impose a tremendous burden on U.S. equipment manufacturers as they seek to sell their products overseas. The association's member companies manufacture or supply virtually all of the products used in global communication networks. TIA represents the telecommunications industry with its subsidiary, the MultiMedia Telecommunications Association, in association with the Electronic Industries Alliance.