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On Feb. 25, the House of Representatives passed by a vote of 295-114 under suspension of the rules a bill aimed at creating a statutory right for owners of cellphones to be able to “unlock” their phones so that they can use the same phone with a different service provider.The Unlocking Consumer Choice Act (H.R. 1123), which was introduced in March by Rep. Robert W. Goodlatte (R-Va.), chairman of the House Judiciary Committee, was widely supported by members on both sides of the aisle.However, some representatives expressed objections to the current form of the legislation and even suggested that statutory protection of unlocking was no longer necessary, given that the Federal Communications Commission had in December persuaded the wireless industry to allow unlocking on a voluntary basis (241 PTD, 12/16/13).

On the morning of the day that the vote was to take place, several representatives who had previously supported the bill, issued a letter to their colleagues urging that H.R. 1123 be defeated on the floor of the House. The letter--signed by Reps. Zoe Lofgren (D-Calif.), Anna G. Eshoo (D-Calif.), Thomas H. Massie (R-Ky.), and Jared S. Polis (D-Colo.)--objected to a provision added to the bill after its approval by the full committee in July (148 PTD, 8/1/13).The new provision would exempt from protection “bulk unlocking” of phones. This provision might have something to with concerns expressed by some members of the Judiciary Committee in last year's hearings on the bill that permitting individual consumers to unlock their phones should not extend to businesses who charge consumers to unlock their phones for them.The letter referred to statements by the Electronic Frontier Foundation and Public Knowledge, consumer groups that had both supported the bill in the past, in which they withdrew their support because of the appearance of the new provision.

The new rules for exemptions to copyright's DRM-circumvention laws were issued today, and the Librarian of Congress has granted much of what EFF asked for over the course of months of extensive briefs and hearings. The exemptions we requested—ripping DVDs and Blurays for making fair use remixes and analysis; preserving video games and running multiplayer servers after publishers have abandoned them; jailbreaking cell phones, tablets, and other portable computing devices to run third party software; and security research and modification and repairs on cars—have each been accepted, subject to some important caveats.

The exemptions are needed thanks to a fundamentally flawed law that forbids users from breaking DRM, even if the purpose is a clearly lawful fair use. As software has become ubiquitous, so has DRM.  Users often have to circumvent that DRM to make full use of their devices, from DVDs to games to smartphones and cars. The law allows users to request exemptions for such lawful uses—but it doesn’t make it easy. Exemptions are granted through an elaborate rulemaking process that takes place every three years and places a heavy burden on EFF and the many other requesters who take part. Every exemption must be argued anew, even if it was previously granted, and even if there is no opposition. The exemptions that emerge are limited in scope. What is worse, they only apply to end users—the people who are actually doing the ripping, tinkering, jailbreaking, or research—and not to the people who make the tools that facilitate those lawful activities. The section of the law that creates these restrictions—the Digital Millennium Copyright Act's Section 1201—is fundamentally flawed, has resulted in myriad unintended consequences, and is long past due for reform or removal altogether from the statute books. Still, as long as its rulemaking process exists, we're pleased to have secured the following exemptions.

The new rules are long and complicated, and we'll be posting more details about each as we get a chance to analyze them. In the meantime, we hope each of these exemptions enable more exciting fair uses that educate, entertain, improve the underlying technology, and keep us safer. A better long-terms solution, though, is to eliminate the need for this onerous rulemaking process. We encourage lawmakers to support efforts like the Unlocking Technology Act, which would limit the scope of Section 1201 to copyright infringements—not fair uses. And as the White House looks for the next Librarian of Congress, who is ultimately responsible for issuing the exemptions, we hope to get a candidate who acts—as a librarian should—in the interest of the public's access to information.

AMERICAN AND BRITISH spies hacked into the internal computer network of the largest manufacturer of SIM cards in the world, stealing encryption keys used to protect the privacy of cellphone communications across the globe, according to top-secret documents provided to The Intercept by National Security Agency whistleblower Edward Snowden. The hack was perpetrated by a joint unit consisting of operatives from the NSA and its British counterpart Government Communications Headquarters, or GCHQ. The breach, detailed in a secret 2010 GCHQ document, gave the surveillance agencies the potential to secretly monitor a large portion of the world’s cellular communications, including both voice and data. The company targeted by the intelligence agencies, Gemalto, is a multinational firm incorporated in the Netherlands that makes the chips used in mobile phones and next-generation credit cards. Among its clients are AT&T, T-Mobile, Verizon, Sprint and some 450 wireless network providers around the world. The company operates in 85 countries and has more than 40 manufacturing facilities. One of its three global headquarters is in Austin, Texas and it has a large factory in Pennsylvania. In all, Gemalto produces some 2 billion SIM cards a year. Its motto is “Security to be Free.”

With these stolen encryption keys, intelligence agencies can monitor mobile communications without seeking or receiving approval from telecom companies and foreign governments. Possessing the keys also sidesteps the need to get a warrant or a wiretap, while leaving no trace on the wireless provider’s network that the communications were intercepted. Bulk key theft additionally enables the intelligence agencies to unlock any previously encrypted communications they had already intercepted, but did not yet have the ability to decrypt.

Leading privacy advocates and security experts say that the theft of encryption keys from major wireless network providers is tantamount to a thief obtaining the master ring of a building superintendent who holds the keys to every apartment. “Once you have the keys, decrypting traffic is trivial,” says Christopher Soghoian, the principal technologist for the American Civil Liberties Union. “The news of this key theft will send a shock wave through the security community.”