The United States today said that India's strict telecom regulations such as encryption norms on products such as handsets act as a barrier to information protection for companies operating in India.
Encryption in a telecom network is a process which does not allow everybody to have access to protected information.
US Trade Representative Ron Kirk in a report said that India in 2007 issued rules regulating the use of encryption at key strengths above 40 bits in telecommunication products (handsets for example).
Under these rules, use of encryptions greater than 40 bits is allowed, but users must receive written permission from the Department of Telecom (DoT) and deposit the decryption key, split into two parts, with the DoT, Kirk noted in his report.
In his latest report of the 1377 Review, Kirk has said India's restrictions on use of strong encryption are both confusing and detrimental to the security of companies operating in India.
"Furthermore, India prohibits use of any encryption on a dedicated network (as opposed to a public network) without prior approval from the DoT," he said. India has resorted to such a practice as a security measure.