This book ?nds its roots in the horror that engulfed us all around the globe as we experienced and watched with disbelief the events of September 11, 2001. Naturally, policy-makers around the world rushed to examine their law enforcement capabilities and the suitability of these tools to the new war on terror. This examination resulted in a wave of legislation around the world, aimed at increasing the power of law enforcement agencies. The digital environment was a major focus of these regulatory and legis- tive attempts. Given the horror of the events and the haste to provide law enforcement agencies with the best tools possible to ?ght the new threat, policy-makers moved forward without much public discussion. Legis- tors around the world rushed to do the same. No real public debate took place before the USA PATRIOT Act was approved by Congress, 6 weeks 1 after 9/11. Our concern is that the public¿s voice is also needed in this process.

TABLE OF CONTENTS Foreword Acknowledgments Introduction Chapter One. The Balance between Security and Civil Rights 1.1 Mapping the Threats: Preventing Physical and Virtual Terrorist Attacks 1.2 Designing Policies to Address New Security Threats 1.2.1 Information warfare. 1.2.2 Data security. 1.2.3 Gathering information and surveillance. 1.2.4 Regulation of encryption products 1.2.5 Terror propaganda 1.3 Preserving Civil Liberties 1.3.1 The right to privacy 1.3.2 Freedom of expression 1.3.3 Enforcement. 1.4 Electronic Commerce and Innovation 1.4.1 Ramifications for research and development 1.4.2 Encryption regulation and electronic commerce Chapter Two. The Legal Situation: Prevention and Enforcement in the Information Age 2.1 The International Scene 2.1.1 Protection of the right to privacy 2.1.2 International regulation for protection of personal data 2.1.3 International regulation of encryption products 2.1.4 International regulation of decryption products 2.2 The United States 2.2.1 Protection of the right to privacy 2.2.2 Protection of the freedom of speech 2.2.3 American regulation of encryption products 2.2.4 American regulation of decryption products 2.3 The European Union 2.3.1 Protection of the right to privacy 2.3.2 EU regulation of encryption 2.3.3 EU regulation of copyright 2.4 Other Countries 2.4.1 Britain 2.4.2 Canada 2.4.3 Australia Chapter Three. Israel and Online Terrorism 3.1 The Right to Privacy 3.1.1 Search and seizure 3.1.2 Secret monitoring in Israeli law 3.2 Freedom of Speech 3.2.1 Liability of service providers 3.2.2 Enforcementof hacking prohibitions 3.3 Israeli Regulation of Encryption 3.3.1 The framework of the legal arrangements up to 1998 3.3.2 The framework of the legal arrangements after 1998 3.4 Freedom of Occupation 3.5 Property Rights Chapter Four. Technological Issues 4.1 What is Encryption? The Technological Basis 4.2 The Basic Principle of Encryption: Letter Replacement 4.3 Symmetrical Encryption 4.4 Asymmetrical Encryption: Public Key and Private Key 4.4.1 Analysis of the RSA method 4.5 How is Information Gathered on the Internet? 4.5.1 General background 4.5.2 Means of collecting information and monitoring the Internet 4.5.3 Collection of information on the server or the PC Chapter Five. Recommendations: Is There a Need for New Regulations? 5.1 The Existing System¿s Suitability for the Internet 5.2 Implementing Existing Legal Regulations for the Internet 5.3 Protecting the Right to Privacy 5.4 Liability of Internet service providers 5.5 Regulating Encryption Products to Protect Freedom of Occupation and Property Rights Concluding Remarks