RIM Agrees To Hand Over Its Encryption Keys To India
An anonymous reader writes "BlackBerry maker Research in Motion's (RIM) four-year standoff with the Indian government over providing encryption keys for its secure corporate emails and popular messenger services is finally set to end. RIM recently demonstrated a solution that can intercept messages and emails exchanged between BlackBerry handsets, and make these encrypted communications available in a readable format to Indian security agencies. An amicable solution over the monitoring issue is important for the Canadian smartphone maker since India is one of the few bright spots for the company that has been battling falling sales in its primary markets of the US and Europe. In India, RIM has tripled its customer base close to 5 million over the last two years,"
Part of the appeal of RIM was that you knew governments weren't out there stealing secrets sent across your network. I understand that India has a legitimate security need to be able to wiretap communications and so on. But this isn't going to 'help' RIM. This takes away the only major competitive advantage they had, which was that using RIM meant you knew no one in the indian government was going to steal your work and sell it to someone else (which is a serious concern in india).
If anything, this just levels the playing field. And that's bad for RIM, because they aren't competitive.