parable strength are permitted for use by finan-
cial institutions not controlled in fact by United
States persons, unless there is substantial evi-
dence that such computer hardware or software
or computing devices will be—
‘‘(i) diverted to a military end use or
an end use supporting international terror-
ism;
‘‘(ii) modified for military or terrorist
end use; or
‘‘(iii) reexported without any author-
ization by the United States that may be
required under this Act; or
‘‘(B) if the Secretary determines that a
computer hardware or software or computing
device offering comparable security is commer-
cially available outside the United States from
a foreign supplier, without effective restrictions.
‘‘(4) 
DEFINITIONS.—As 
used 
in 
this
subsection—
‘‘(A)(i) the term ‘encryption’ means the
scrambling of wire communications, electronic
communications, or electronically stored infor-
mation, using mathematical formulas or algo-
rithms in order to preserve the confidentiality,
integrity, or authenticity of, and prevent unau-
thorized recipients from accessing or altering,
such communications or information;
‘‘(ii) the terms ‘wire communication’ and
‘electronic communication’ have the meanings
given those terms in section 2510 of title 18,
United States Code;
‘‘(B) the term ‘generally available’ means,
in the case of computer hardware or computer
software (including computer hardware or com-
puter software with encryption capabilities)—
‘‘(i) computer hardware or computer
software that is—
‘‘(I) 
distributed 
through 
the
Internet;
‘‘(II) offered for sale, license, or
transfer to any person without restric-
tion, whether or not for consideration,
including, but not limited to, over-the-
counter retail sales, mail order trans-
actions, phone order transactions,
electronic distribution, or sale on ap-
proval;
‘‘(III) preloaded on computer
hardware or computing devices that
are widely available for sale to the
public; or
‘‘(IV) assembled from computer
hardware or computer software com-
ponents that are widely available for
sale to the public;
‘‘(ii) not designed, developed, or tai-
lored by the manufacturer for specific pur-
chasers or users, except that any such pur-
chaser or user may—
‘‘(I) supply certain installation
parameters needed by the computer
hardware or software to function
properly with the computer system of
the user or purchaser; or
‘‘(II) select from among options
contained in the computer hardware
or computer software; and
‘‘(iii) with respect to which the manu-
facturer of that computer hardware or
computer software—
‘‘(I) intended for the user or pur-
chaser, including any licensee or
transferee, to install the computer
hardware or software and has sup-
plied the necessary instructions to do
so, except that the manufacturer of
the computer hardware or software, or
any agent of such manufacturer, may
also provide telephone or electronic
mail help line services for installation,
electronic transmission, or basic oper-
ations; and
‘‘(II) the computer hardware or
software is designed for such installa-
tion by the user or purchaser without
further substantial support by the
manufacturer;
‘‘(C) the term ‘computing device’ means a
device which incorporates one or more micro-
processor-based central processing units that
can accept, store, process, or provide output of
data;
‘‘(D) the term ‘computer hardware’ in-
cludes, but is not limited to, computer systems,
equipment, 
application-specific 
assemblies,
smart cards, modules, integrated circuits, and
printed circuit board assemblies;
‘‘(E) the term ‘customer premises equip-
ment’ means equipment employed on the prem-
ises of a person to originate, route, or terminate
communications;
‘‘(F) the term ‘technical assistance’ in-
cludes instruction, skills training, working
knowledge, consulting services, and the transfer
of technical data;
‘‘(G) the term ‘technical data’ includes
blueprints, plans, diagrams, models, formulas,
tables, engineering designs and specifications,
and manuals and instructions written or re-
corded on other media or devices such as disks,
tapes, or read-only memories; and
‘‘(H) the term ‘technical review’ means a
review by the Secretary of computer hardware
or 
software 
or 
computing 
devices 
with
encryption capabilities, based on information
about the product’s encryption capabilities sup-
plied by the manufacturer, that the computer
hardware or software or computing device
works as represented.’’.
(b) NO REINSTATEMENT OF EXPORT CONTROLS ON
PREVIOUSLY
DECONTROLLED
PRODUCTS.—Any
encryption product not requiring an export license as of
the date of enactment of this Act, as a result of adminis-
trative decision or rulemaking, shall not require an export
license on or after such date of enactment.
(c) APPLICABILITY
OF
CERTAIN
EXPORT
CON-
TROLS.—
(1) IN GENERAL.—Nothing in this Act shall
limit the authority of the President under the Inter-
national Emergency Economic Powers Act, the
Trading with the enemy Act, or the Export Adminis-
tration Act of 1979, to—
(A) prohibit the export of encryption prod-
ucts to countries that have been determined to
repeatedly provide support for acts of inter-
national terrorism; or
(B) impose an embargo on exports to, and
imports from, a specific country.
(2) SPECIFIC
DENIALS.—The Secretary may
prohibit the export of specific encryption products to
an individual or organization in a specific foreign
country identified by the Secretary, if the Secretary
determines that there is substantial evidence that
such encryption products will be used for military or
terrorist end-use.
(3) DEFINITION.—As used in this subsection
and subsection (b), the term ‘‘encryption’’ has the
meaning given that term in section 17(g)(5)(A) of