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June 15, 1998

A 13-Step Internet Program

Here is an overview and status report on the Administration’s proposals and goals for promoting electronic commerce, which were spelled out last July.

ONE-YEAR GOALS

Goal
Status

Develop rules and solutions for protecting privacy on the Internet
A Federal Trade Commission report found that private industry efforts have been inadequate. The Commerce Department will hold a conference this month on the subject.

Secure international agreements to keep the Internet tax-free
Japan has signed an agreement and it has general support worldwide. The World Trade Organization recently adopted a one-year ban.

Reach agreement with state and local governments to keep the Internet tax-free
Legislation is pending to create a three-year moratorium on taxes on Internet access, online services and information traveling across the Internet, at least until a study on taxing.

Ratify World Intellectual Properties Organization treaty on digital copyrights
The Senate has ratified the treaty. Legislation to put the treaty into effect has passed the Senate and is pending in the House of Representatives.

Make control of Internet domains private and competitive
Currently, domain names are assigned by Network Solutions Inc. under a Government-sponsored monopoly. The Administration has released a plan for handing governance over to a nonprofit corporation, but the international community still has to reach.

Develop rules for authenticating electronic transactions
International discussions are continuing and legislation is pending to adopt a uniform national standard.

Develop Internet rating and filtering systems that can screen content deemed unsuitable for children
Several technologies are being developed, but their effectiveness is debatable. Legislation is pending to require schools that receive Federal Internet funds to install software to screen content.

Get more involved in electronic commerce
The Administration wants to expand its “GSA Advantage” online shopping service.

LONGER-TERM GOALS

Create international standards for Internet security
The Administration remains deadlocked with private industry over controls for encryption technology.

Create a seamless environment for electronic commerce worldwide and insure access for all
International discussions are continuing.

Update U.S. patent policy to meet the needs of the electronic age and seek worldwide agreements to protect patents
Work is underway.

Promote private sector development of electronic technical standards and oppose efforts by other Governments to impose standards
International discussions are continuing.

Monitor developments in electronic payment systems and oppose imposition of restrictions
Work is underway.


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