Strong encryption protects information from criminals, but it also protects criminals from the police. That's why the White House, backed by the FBI, has insisted on restricting exports of encryption products. Most companies are barred from exporting programs too strong to be easily cracked. Current rules apply not only to firms that want to sell encryption abroad but also to some companies that want to use strong encryption to communicate with their foreign affiliates. But export restrictions haven't deterred illegal activity.
Most countries have no restrictions at all.
Right now, criminals abroad can buy unbreakable encryption software products from Germany and Japan. It took a group of computer enthusiasts just 22 hours to crack the code. Attacks on encryption will become even more efficient as the value of information transmitted across the Internet increases. This just goes to show that by preventing programs that are invulnerable to hackers, government encryption controls compromise the very national security they are trying to protect. In fact, reports the National Couterintelligence Center, private transmissions are already being stolen at alarming rates.