Business Services Industry

Encryption Software Tangles with Government Regulators. (Originated from San Jose Mercury News, Calif.)

Knight Ridder/Tribune Business News, June, 1994 by Bank, David

June 26--Jim Bidzos says he's not paranoid. It's just that the government is out to get him.

Bidzos' Redwood City company makes software for encrypting electronic mail and other computer communications that even the master code breakers at the National Security Agency can't crack. That drives the agency, one of the most powerful and secretive of all the federal intelligence agencies, crazy.

Take a meeting in April, for example, when three NSA agents dropped in on Bidzos, president of RSA Data Security Inc. For two hours, Bidzos said, the agents were civil and pleasant as he drew diagrams, told jokes and tried to convince them that the agency's attempts to promote an alternative encryption scheme would fail.

He must have said something wrong. One of...

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