U.S. Proposes Policy Change in Computer Access : Technology: The shift would allow export of software with more powerful encoding abilities. Internet security could increase.

The Clinton Administration on Thursday proposed relaxing its policy on government access to computer communications, opening the way for increased exports of certain software products next year.

The new policy would permit export of software containing more powerful encoding abilities, hopefully preventing security problems on the Internet.

The proposed shift came as Mountain View, Calif.-based Netscape Communications Corp. confirmed that a French student had broken the code used to protect data handled by Netscape Navigator, the popular program used to browse the World Wide Web, which is part of the Internet.

Currently, the government prevents export of software containing strong encoding systems, to keep the upper hand against terrorism and other threats.

Under the proposed “key escrow encryption” policy, keys to the codes would be deposited with government-approved escrow agents, allowing law enforcement officials to “listen in” to encrypted data if necessary.

“Key escrow encryption is part of the Administration’s initiative to promote the use of strong techniques to protect the privacy of data and voice transmissions . . . without compromising the government’s ability to carry out lawful wiretaps,” said Ray Kammer, deputy director of the National Institute of Standards & Technology.

Michael Nelson of the White House Office on Science & Technology Policy said he hopes to have the mechanisms in place to allow exports by the end of the year.

Referring to the incident involving the Netscape program, Netscape product manager Jeff Treuhaft said he is not surprised by the cracking of the code, saying it shows the weakness of U.S. software export laws and the need to allow the company to ship more secure versions of its program overseas.

Participants at the Cryptography Policy Workshop, where the Administration’s announcement was made, said it is a significant departure from current policy.

“This is a major change,” said Bill Sweet, marketing director of National Semiconductor Corp. The workshop was organized by the Software Publishers Assn. and the American Electronics Assn.

But some software makers, as well as civil liberties groups wanting to protect the freedoms of the Internet, have said the government should lift all export restrictions on encryption devices.

In April, 1993, the government tried to address the issue, introducing the so-called Clipper Chip, which gave law enforcement officers a “back door” to monitor encrypted phone conversations and data transmissions.