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India Widens Security Crackdown, Implicates Google, Skype


By Kat Asharya | Thu Sep 02, 2010 12:30 pm

India has asked all companies that provide encrypted communications to install servers within the country, as the government widened its security crackdown to companies including Google, Nokia and Skype.

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In light of security concerns, the Indian government is asking companies who pass encrypted data over its services to install servers within its borders, making it easier for the it to monitor data.

Officials have clashed with BlackBerry maker Research in Motion over the issue of access to encrypted information, recently granting the handset maker a two-month reprieve to work out a solution to the impasse.

But now the net is widening to all companies dealing with protected data.

"People who operate communication services in India should install a server in India as well as make available access to law enforcement agencies," said G.K. Pillai, India's minister of Home Affairs. "That has been made clear to RIM of BlackBerry but also to other companies."

Regulators have been concerned for some time with Google and Skype, both of which have no servers in the country. Google has a unit in India, but its Gmail service officially based in the U.S. Skype has no offices in India.

Companies such as RIM maintain that having local servers makes no impact on the ability of the government to monitor data. But adding a server in the country does let the government to use local laws to access encrypted data more easily without waiting for foreign companies or security agencies to cooperate.

"The moment you will be in Indian land, you will be able to be controlled by the government's ruling," said Rajesh Chharia, president of the Internet Service Providers Association of India. "National security is supreme over privacy."

India initiated a data security review after the terrorist attack in Mumbai in November 2008. The Mumbai attacks were coordinated with mobile technology such cell phones, satellite phones and Internet-based calls. Security officials want the ability to better monitor these communications.

Officials also want to head off any potential attack at the Commonwealth Games, a major sporting event that will be held in New Delhi in October.

The tougher security stance is also a result of the confidence it has gained as an emerging market for international companies. By threatening companies like RIM with bans on their services within India, the government can stymie growth and expansion in one of Asia's fastest-growing markets.

Now that the security crackdown on information has broadened beyond RIM, the Indian regulators want everyone, including Skype, Google, Nokia and Microsoft's Hotmail, to give its agencies more access to their encrypted data.

Nokia has already agreed to place a server in India. But Skype, Google and Microsoft said Thursday that they have yet to receive an official notification with any request.


Posted In: Google (598) | Nokia (556) | Policy (245) | Skype (52) | India (42)


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