while the use of encryption is much more prevalent today the debate about government access to encrypted datas not new. at each of the stages the government pushed back against these advances. in the earliest years we saw various government stakeholders were working behind the scenes to weaken the encryption standard. in the 1970s, law enforcement and intelligence community tried to sue academic who is tried to publish research on cripping to if i. -- cripping tography. we've seen more recent objections to full disk encryption. third point here is that as far as back as the 1960s it, was possible for a user to encrypt data a way government could not get access to it because user was only one with a key. other thanly recent move to cloud computing that broke this model for many users. in an effort to repair the security weakness companies are being cast as doing something an affront to law enforcement. i think we have to department all of that history in mind as we approach today's debate. so moving to the arguments that we're seeing today, there are really five arguments that law enforcement

some refinement around the details of the cases. >> is there any room for the rule of law in encrypted datashould there be some situation, rare as they may be that the government should have access to encrypted data? there's always rule of law. >> do you feel that the innovation and the technology outside of the u.s. has been able to out pace what companies here in the u.s. are doing giving the government intervention? >> i wouldn't say, i mean, the u.s. technology is the best in the world but i would say it's more equal across the world so a lot of times the technology and encryption especially was really ahead in the u.s. and now i would say it's more equal around the world with open source and the tool kits available and one of the big things about the debate is the world is flat and the u.s. or companies in the u.s. can't behave like they control all the technology and all the keys to the kingdom like in the past. >> it's hard not to notice now. you go on your phone and if you use whatsapp they're promoting the encryption as you're using the product. >> i definitely think that like i sa

data. they began using what is called metric encryption. ny of the companies were to then share the data. you have financial institutions who wanted to share data. we had the creation of the first backed encryption standards to help facilitate this exchange of data. the next change came when we had the rise of personal computers, networks, and the internet. and, the need to securely communicate with of wide -- a wide friday of users. these were often times anonymous parties. the biggest problem that you had with metric encryption was key exchange. how do you securely share the key with someone else? if youkes sense, you co could share a key securely, you would not need encryption in the first place. this led to public key encryption. you have one key to encrypt, and one key to decrypt. after this, the next big .evelopment was cloud computing this was a big change. in the past, all the data was stored locally. it was completely controlled by customers. data ands were sharing storing it in a third party. morecreated inherent abilities. many cl

. >> instagram what'sthat has started to encrypt data.he app, owned by facebook said it will be virtual impossible for hacker or u.s. government to read calls. it comes after tech companies have been pressured to release data, and on the heels of the fbi urging apple to help them hack into a phone of a bomber. others welcome the move. >> anyone that sends a text message can rest assured their communications will be read by the person who they are communicating which. the group that they are communicating with. the government won't have access, not the u.s., not the chinese government. the criminals won't have a. it provides a greater level of protection, as i am sure a lot of people are thinking, it makes it harder for law enforcement to eaves drop which is a challenge for law enforcement, it's been in the work for a long time. i am not sure why because of today there was an announcement. my guess is it's something they have been planning. it happened in the wake of snowden revelations. i think it disimulates a lot of people to think abou

data security. one of those ways could be through encryption. ook at the company's security protocols for handling data, whether or not the company is fulfilling its obligations. as the fbi had any discussions with the federal trade commission over whether the backdoors are access points that might compromise the secure data? >> we have engaged on a number of conversations among the interagency. academia. i can get back to you as to whether we met. >> it would be helpful because we're trying to work through the concepts, more on the retail space the data security regardless of who is on the the process. so that would be enormously helpful. let me ask you a question that is a little bit off topic. encryptor stuff and then they will get it back to less euphoric over several thousand dollars in bit coins. what is it that the committee needs to understand? >> an increasing problem. seeing it on a regular basis, and certainly to exercise good cyber security hygiene is important, to be able to backup systems to have the capability to access that inform

the instantly messaging service what's app is encrypting data. it says it will be virtually impossible for government or hackers to intercept calls. technology companies have been pressured their encryption services. more information at aljazeera.com [ ♪ ] >>> everything you are looking at at some point were covered with water. a lot of people want to move away, they can't afford to sell their house, throw another well. >> how did we get to this point. >> assuming that water would never run out.

and for your sake of it has repeatedly tried to limit the use of or obtained access to encrypted data. the most notable example occurred in the 1990s when the development of encrypted communications equipment sparked fears that the government would lose its ability to conduct lawful surveillance. in response the nsa developed a new encryption chip called the clipper chip that would enable encrypted communications but would provide the government with the key to access those communications if necessary. this so-called backdoor sparked intense debate between the government and the technology community about the benefits and risks of the government access to encrypted technology. one of the principal arguments was that such a backdoor would create a vulnerability that could be exploited by factors outside of the governed. this concern was founded when a critical flaw was discovered in the chip design. i should note one of our witnesses today, matt blaze, identified the boulevard which made the comments back to work more akin to a front door. as a partial solution congress passed the comm

encrypts data and demands payments that often range from $200 to $600 to unlock each of these infected pcs. soon be a little less expensive to mail that letter in the future. the price of the sta is going down this weekend. a temporary rate increase granted to the u.s. postal service in 2014 expires on sunday. so, now, a regular stamp will cost you 47 cents which is down from 49 cents. international letters they go down 5 cents and paying 1.15 sdl and a postcard will be a penny cheaper at only 34 cents. sam and laura, when will i get my letter. >> i never heard of this before. stamp prices going down. deflation. isn't the u.s. postal service having a little money trouble, too. >> time to write those love letters to your girlfriend. >> i prefer them to be handwritten, of course. >> sprayed with a little perfume. >> my perfume. >> your cologne, it's lovely. >>> 4:50 right now. new developments overnight. in the war of words between the democrats. not a lot of love letters there. >> no, snow love lost here. the latest battle hitting a fever pitch is bernie sanders listing a host of reason

them together in a way that changes. >> and there's people tha the pe encrypted sources by default or intention to hide their data and their intention to but they plan on hurting more. what did he tell the public about the? >> that fundamentally we are working on the problem and we believe that encryption provides the safest -- stomach that means apple will be working on this problem? you are looking at the commission oversight and we want to work with you and we don't think there is right or wrong absolute. we are all in this together and we need to know about your commitment to. >> i sat opposite my counterpart in the fbi. we don't talk frequently but regularly on a first name basis. i sat opposite him and i said why don't we set aside a day we will send some smart people to washington or you send some people and what we will do is talk about what the world looks like from our perspective. what is this explosion of data thathat we can see and why is io important and you talk about the world that come that combines yr investigators from the moment they wake up in the morning how do they think about technology an

senate to give federal judges the power to order tech companies to grant law enforcement access to encrypted data. fordham law school professor joel reidenberg says everyone's privacy is at stake in how we treat alleged criminals. >> i think we also have to worry that if in pursuing them, we undermine the rights of the public at large. we begin to jeopardize some core values in our society. we presume everyone is innocent in the united states. right, do we really want to reverse that and presume everyone is guilty? >> yeah, we should have privacy. but to what degree? my goodness. and in our case we want this solved. >> reporter: but if you can't get into that phone, what are the odds you're going to solve brittney's murder? >> well, if that's the case, i'd like for someone to come in and say, "i killed brittney. i knocked on the door. here's my gun. the ballistics match." it's not going to happen. >> sreenivasan: this week, for the first time in the united states, doctors performed successful surgeries that transplanted organs from one h.i.v. positive donor into two h.i.v. positive patients. this

data security. a component of that effort has been to push companies to strengthen security. one of those ways could be perhaps through encryption. the ftc will look at security protocols for handling data when it reviews a company. so has the fbi had any discussions with federal trade commission over whether the back doors are access points might compromise the secured data? >> yes, sir we have engaged in a number of conversations among the interagency with other agencies with industry. with academia. i can get back to you as far as whether we met with the trade commission. >> that would be helpful. we are trying to work through the concept of more on the retail space but of data security. data security is data security regardless of who is harmed in the process. data security is national security at large. so that would be enormously helpful. let me ask you a question,ist probably off topic but i can't help myself. one of the dark sides of encryption is someone comes in and incrypts you stuff you didn't want it incrypted and they won't get it back to you unless you fork over bit coins them in a dark market. what is it the comm

the transmission is encrypted as well as when the data sits at rest on the phone, it's encrypted thereas well . >> and you are presenting that image to a jury if an individual is caught and is prosecuted, it is imperative is it not for you to present the actual image to a jury. >> yes ma'am. the metadata alone, who was talking with whom doesn't matter. the content of that communication. if the images that were sent and received. >> so if you can't get these encrypted images, and the encrypted discussion, what you had in court #ácustomá we have nothing in court. we can't complete the investigation. >> how do you find the victims? >> oftentimes we don't have a way to identify the victims, they go on served. >> and can you please talk to us a bit more about why, what it is you actually do to find the victims? >> we do everything we can. we tried legal solutions meaning trying to get records and source providers from the technology companies, trying to identify them through that. the challenge we encounter there many times as mrs. hess mentioned is because of retention periods, the records

it was not possible to frensicily examine the encrypted data despite numerous attempts. a federal judge compelled fletcher to her provided law infers, but not the encrypted thumb drive. in the newly opened data, there were thousands of videos and images. to this this day varieties believe the thumb drive contains home-made pornography. fletcher had continuing and ongoing access to children, including a child he previously photographed in lascivious poses. fletcher has previous convictions for conspiracy to commit murder and child sex offenses detailed in my written testimony. there's good reason to believe behave hardened encrepes, additional crimes committed by fletcher cannot be investigated and prosecuted. that means additional child victims cannot be provided services or access to the justice they so richly deserve. i hope that congress takes time to truly understand what is at stake with the going dark phenomenon, there's costs with the scheme that allows unlawful access. but there's a much greater and very real human cost we sigh a across the country because of the

the transmission's encrypted as well as when the data sits at rest on the phones, it's encrypted there as well. >> and you presenting that image to a jury, if an individual is caught and needs -- and is prosecuted, it is imperative, is it not, for you to present the actual image to a jury? >> yes, ma'am. the metadata alone, who was talking with whom doesn't matter. it's the content of the communication. it's the images that were sent and received. >> so, if you can't get these encrypted images and the encrypted discussions, what do you have in court? >> we have nothing in court. we can't complete the investigation. >> how do you find the victims? >> oftentimes we don't have a way of identifying the victims. they go unserved. >> and can you please talk to us a bit more about why -- what it is that you actually do to find the victims? >> we do everything we can. we try to look for legal solutions, meaning trying to get records of internet service providers from the technology companies, trying to identify them through that. the challenge we encounter there many times, as ms. hess mention

encryption key and that only with both keys as well as the device in hand could you access the encrypted data on the device. i'm not an expert on encryption, so i must ask, is such a solution achievable? and secondly, have there been any discussions between you all, the law enforcement community with the tech community or tech industry regarding a proposal like this or something similar that would allow safe access to the data without giving a key, so to speak, to one entity? >> to answer your question, that paradigm would work. that's very similar to that paradigm of the safety deposit box in a bank where you have two different keys, and that would work, but it would require the cooperation of industry. >> anything to add? >> that's what i was going to say, yes. >> okay. we'll get a good chance to hear from industry on our next panel. but i was trying to explain this to one of my staffers, and i said, did you see the new "star wars" movie? well, you know the map to find luke, db-8 had one half and r2-d2 had the other half, you had to put it together. i get it now! anyway, i think it is impor

in the world whose encryption datap to snuff. the journalists had much better encryption because they did not want the law firm in pamela to aboutr there was concern russia and vladimir putin's connection. it was an incredible story of how technology was used to hide this information better than it was hidden at the law firm, inter than these attacks illegal accounts. a fascinating story we are hearing. coming up, we look at a new type eyetechnology -- bionic technology and the researchers who hope it might bring site act to the blind. ♪ emily: time for our first installment of the spark. meet a macarthur genius award recipient who figured out how our retinas take images from the outside world and process them so the brain can understand. it started as a pure research project but she is building a device that could bring site to the blind. >> my macular degeneration started about eight years ago. it results in loss of central foc vision, like i'm looking directly at the camera and i cannot see the lens of all. i cannot

data. the decision means the political impact over encryption will continue following the high-profile effort of the justice department to force apple to break into an iphone used by one of the san bernardino terrororists. president obama suggested last month that law enforcement is to have a way to access encrypted information on the smartphone. sources say the administration remains deeply divided on this very big decision. lauren: senior chininese politil figures with relatives involved in not sure tax havens such as vice premier. then a high-ranking member of the government and the yanks send overseas propaganda and ideology but the names of hundreds of american have so suaced in the panama papers. nicole: i'm sure we'll get more. a really dovish tone with slower rate hikes givee them up to miss them. you can see the japan nick at the quarter%, hong kong hang seng quarter of a percent higher. south korea higher. at the shanghai composite is a different story done nearly 1.5%. lauren: let's check out european stocks. but there is across the board. ftse up 12 points, ca cfo points and the d

in the world whose encryption datap to snuff. now selling our customers and client portals that we have the best encryption software, but we are not updating it. the journalists had much better encryption because they did not want the law firm in pamela to -- in panama to know or there was concern about russia and vladimir putin's connection. it was an incredible story of how technology was used to hide this information better than it was hidden at the law firm, better than these attacks in illegal accounts. emily: a fascinating story we are still seeing the cascading effects of. thank you so much. cory johnson, our editor at large. coming up, we look at a new type of technology -- bionic eye technology and the researchers who hope it might bring site act -- sight back to the blind. ♪ emily: time for our first installment of the spark. this make, we meet a scientist a macarthur genius award recipient who figured out how our retinas take images from the outside world and process them so the brain can understand. it star

a lot of people want encryption for legitimate reasons. health data, private information on their location. there is a lot about protecting themselves and their children as well as the issues of law enforcement issues. >> they have the resources that often african-american communities tonight have. >> if i can't figure out a way to access some of that wealth, then shame on me.

the transmission is encrypted as well is when the data is addressed on the phone, it is encrypted asl. rep. brooks: you resenting that if that a jury individual is caught and persecuted, it is imperative for you to present the actual image to a jury? capt. cohen: the metadata alone, who was talking to him does not matter. it is the content of the communication, the images sent and received. rep. brooks: if you cannot get these encrypted images and encrypted discussions, what do you have in court? capt. cohen: we have nothing in court. we cannot complete the investigation. rep. brooks: how do you find the victim? capt. cohen: often, we cannot identify the victims and they go unserved. rep. brooks: can you talk more about what it is that you actually do to find the victims? capt. cohen: we do everything we can. we try to look for legal solutions, trying to get records of providers from the technology companies, trying to identify them through that. the challenges we have encountered there many times is because of retention periods, the data, the metadata, no longer exists. we try to ge

. >>> the instant messaging service what's app is encrypting the data sent between its one billion users says it will be virtually impossible to crack the messages. the fbi recently dropped a case against apple over his encryption. >> ta means that anybody who sends a text message or makes a phone call through the app can rest assured that their communications are only going to be seen or heard or read by the person or group that they are communicating with. it means the government won't have access, not any government. it means the criminals won't have access, so it provides a greater level of protection. and it also makes it harder for law enforcement to eves drop on those communications. it has been in the works for a long time. i'm not sure why exactly today the announcement came. my guess is it is something they have been planning, and of course it has been happening in the wake of the snowden revelations. and i think that really stimulated a lot of people to think more carefully about security and privacy, knowing that the government has eaves dropped around the world. some will ju

the hackers demanded money in exchange for keys to regain access to the encrypted data. >>> well, thetime right now is 11:19. after the break, an idea that's getting a whole lot of attention. a ride-sharing service that's appealing to women and safety. >> sou news4 anywhere you go. just >>> look at that. terrifying moments in canada as a car plunges down a cliff above the atlantic ocean. police say the driver either jumped or was thrown from the car just before it went over the side, nosedived over the edge. this happened in newfoundland. the 25-year-old driver was rescued from the face of the cliff. she is expected to be okay. crews rapelled down and were able to lift the car 2500 feet back on the cliff. >>> chariot for women, it's called, was started by a former uber driver. the massachusetts-based company only hires women drivers. the goal is to give female passengers peace of mind by ensuring another woman is always behind the wheel. the only pick up female passengers or boys under the age of 13. chariot for women is set to launch around the country on april 19th. >>> well, today

baltimore sun reports the hackers demanded money in exchange for keys to regain access to the encrypted data. strength as thousands in mexico city worried about ash falling from the sky. take a look at this volcano explode. it sent rocks and ash up into the air. the volcano is about 50 miles southeast of mexico city and is one of the country's most active volcanos. >>> doctors may make stronger recommendations for bypass surgery according to the lead author affair study out yesterday from duke university. the study found that heart failure patients with clogged arteries have a better chance of recovering if they get the bypass surgery and take the prescribed medicine rather than just use the drugs alone. >>> a lot of people are sharing this next story online because this is really good video. take a look. let's just say this dog will need a good leash. that is a chihuahua that ran across the oakland san francisco motorcycle chasing hill down. highway patrol officer captured it. he's doing all right. they don't know who the dog belongs to, so if no one comes forward, it would be up for adopti

she hopes there's still time to save her child from suffering the same fate >>> what's app is encrypting its data between users. they say it will be virtually impossible for their communications to be intercepted. >> it means that anybody who sends a text message or makes a phone call through the app can rest assured that their communications are only going to be seen or heard or read by the person who they are communicating with, or the group they're communicating with. the government won't have access, not the u.s. government or chinese government. it means criminals won't have access so it provides a greater level of protection. it also makes it harder for law enforcement to eavesdrop on those communications which, of course, is a challenge for law enforcement. it has been in the works for a long time. i'm not sure why the announcement came. it could be because of the apple story, but my guess is it is something that they've been planning and it happen been in the wake of snowden revelation. it makes people think about security and privacy knowing that the government had eavesdropped on commun

controversial bill that would give judges the power to force companies like apple to help crack encrypted data. the bipartisan bill by the leaders of the senate intelligence committee will be drafted later this week. the issue remains deeply divisive after high-profile efforts by the dodj to break ino an iphone used by the san bernardino shooter. >>> now to the race for the white house. for democrats and republicans, it's all about winning new york. tracie potts joins us from washington with a look at what it will take for the front runners to hold on and win this state. tracie, good morning. >> reporter: sara, and wilfred, good morning. to hold on in new york and beyond. the situation right now, hillary clinton needs about a third of all the remaining delegates to get this nomination. but after losing in wisconsin, donald trump now needs 58%, a higher goal. >> it's great to be home. >> reporter: amid protests, heavy security, and thousands of supporters, donald trump makes a big splash back home in the big apple and calls out ted cruz's comment on new york values. >> with scorn on his face, w

to oppose legislation that would force companies such as apple to help law enforcement access encrypted data. the justice department pressured apple to help the fbi unlock the san bernardino shooter iphone. but apple refused and was facing a court battle at the fbi got help from an outside source. the white house is currently reviewing a draft of the bill that was co-authored by diane feinstein. the group of public interest groups sent a letter to the president today urging him to support the use of strong encryption without any backdoors. >>> as many as 40,000 verizon workers could go on strike on wednesday. the employees are mostly technicians and customer service representatives on the east coast. some of the contracts sticking points including a lack of layoff protections for newer workers and the possibility that employees could be required to work far from home for two-month periods. verizon says it is offering a 6.5% raise over the course of the contract and says its retirement benefits are competitive. >>> tesla has announced a recall of model x suv because the third row seat could b

it gets access to hospital computers and encrypts the data that hackers demand a ransom to unlock the servers. since february at least 13 hospitals across the country have been hit including three in southern california. >> a major social media campaign launches tomorrow called don't erase india. it is an effort to preventy references -- prevent references from india and hinduism to be taken out of reference books. >> right here there is just a guy taking out his trash. >> these south bay teenagers don't like the way india and hindus are portrayed in junior high textbooks. they are worried that things could get worse. a group of south asian study scholars proposed 75 edits to the california public school history books for 6th and seventh graders. they are referring it to south asia and hinduism a religion of ancient india. >> there is an attempt to erase the contributions of indian history and civilization. >> i reached out to several callers and none of them were returned. >> they got the state's board of education to throw out the proposed changes. right now 35 pages are dedicated t

we have technology from end to end document encryption that i use everyday. we have technology for data. do that,ething that we if it leaves the company premises, it would be stopped. when they do not use them, companies get hurt. >> would you be surprised if we see more reaches of this nature? >> i am sure we will see more. it is part of human nature. part of it is human nature. part of it can be reduced or eliminated completely with the right technology. >> has the phone been ringing off the hook from the british virgin islands and panama? >> i have not heard that yet. in the last few years with the enterprise market is not reacting to the change in cyberspace, not proactive enough to address it. business, we believe security is good. it is good that people do what is right for business and life and not just worry about the risk. there is plenty of risk around it. it is good we drive our lives not just based on risk. there was a drop off in high corporate data breaches, such as apple and jpmorgan. have you noticed slowdown as companies are less fearful and less inclined to spend money

legislation that would require judges to allow tech companies to help law enforcement crack the encrypted data. earlier this year the white house was skeptical that congress could tackle the issue. >> we have previously been quite skeptical of legislative handling of this particular matter. but i'm confident that we will engage constructively with those not members of the senate on this issue. i don't know at this point whether or not this will result in a piece of legislation that we will embrace. >> this new report from the middle east media research institute includes that isis has intensified its online outreach, launching several android transcends and running a several websites to increase its network and while there's argument in washington over the best way forward with encryption, isis is wasting no time to broaden its reach. heather: catherine, thanks. jon: a man hunt is on in washington state as two men break free from the site racket facility. why officials say they are so dangerous. plus, security along our borders. donald trump wants to build a wall. we get a firsthand account of

there will appear before a house member to defend a position the fbi is pushing for access to encrypted datahe criminal investigation they're fighting back sang the fbi's demands to the technology would infringe on users' privacy the have a starter when the fbi requested apple all blocked the san bernardino sugar from the case was resolved by the continues on the request to unlock the phone and in new york federal judge case. >>darya: it overlooks downtown san francisco drivers will still be of the drive along the western side in the parking lot was to open the goal is to keep pedestrians say if it is approved a pilot program last two years from june 1st of this year until may 31st of 2018. >>mark: tough loss for the giants' second on the arizona diamondbacks last night and lasted more than half for a half hours and the only pitched five innings but gave up four runs the giants went into the ninth inning of this game with a one run lead and that was broken up by at damaging gramm who had one run homers and in the game into extra innings at at&t park the oakland a's are new york mayor taken o

it gets access to hospital computers and encrypts the data that hackers demand a ransom to unlock the servers. since february at least 13 hospitals across the country have been hit including three in southern california. >> a major social media campaign launches tomorrow called don't erase india. it is an effort to preventy references -- prevent references from india and hinduism to be taken out of reference books. >> right here there is just a guy taking out his trash. >> these south bay teenagers don't like the way india and hindus are portrayed in junior high textbooks. they are worried that things could get worse. a group of south asian study scholars proposed 75 edits to the california public school history books for 6th and seventh graders. they are referring it to south asia and hinduism a religion of ancient india. >> there is an attempt to erase the contributions of indian history and civilization. >> i reached out to several callers and none of them were returned. >> they got the state's board of education to throw out the proposed changes. right now 35 pages are dedicated t

. >> reporter: because the chip holds your data encrypted. you may have recently received one in the mail from your bank. it's the panacea. it's going to solve the whole problem. no, it's not. >> skimming is still alive a well, and it will continue to be alive and well as long as thatb. >> i'll have that cheesy tomatoey one and water. >> reporter: still there because it's taking a long time and a lot of money --? you don't do chip? >> no. it's just a swipe. >> just a swipe. >> reporter: to make the switch. so most cards now have a chip with all my details on it. >> it's not actually encrypted because they can easily have what's called a wedge-type device, a small skimming device that can grab all the information off of it, and they could actually create a whole other credit card. so watch them closely. >> reporter: watch this mcdonald's drive-thru clerk in florida swipes once through the skimmer, once through the register so fast you have no idea. cops say he was stealing digits from up to 70 cards every shift. >> and they actually were able

. ♪ >>> up next on c-span 3, a house hearing on law enforcement access to encrypted data on smartphonesnd other devices. an fbi official said law enforcement agencies need access to enscripted data to investigate crimes. in a later panel, a senior vice-president with apple explained why his company does not want to allow what he calls a back door into people's phones. this hearing is three hours 15 minutes. >> we have multiple hearings going on today and tomorrow we have a hearing as well so you will see people coming and going, so especially for our witnesses so you don't think that it's chaos, we have members trying to juggle a lot of things at the same time. it is chaos, okay, i stand corrected. we're meeting today to consider the deceptively complex question, should the government have the ability to law flee access encrypted technology. this is at the center of a heated debate when the fbi obtained a court order to compel apple to unlock an iphone used by one of the san bernardino terrorists. this isn't a new question. strong encryption has existed for decades and motivated individ

if apple was able to use a secure online piece that encrypts financial data that paypal won't have access apple only has about 25% of the global smartphone market. people spend a total of money online. ultimately those combinations of all those players impacting paypal. apple pay will be more potent in terms of the impact. and revolution you guys .ave taken a look at finn tech a lot of that innovation is taking place outside the united states. how well positioned to his paypal to compete with them? steve: i think they are doing well. there's too much focus on what is happening there. the bigger picture is these large financial banks like jpmorgan. the debate in washington is are they too big to fail? i think the question is they are big to innovate. the third wave will be about the connection between the innovators in the policymakers. someplace like london is really leading the way. we have to enable the right kind of innovation. enabling those startups to take on some of these a giant companies. amalie: what is paypal need to prove? gene: they need to prove their five parts of the digit

encryption bill? should companies be required to fulfill all data requests? by court orders?st, thanks for having me. it is a very emotional debate. i have not reviewed the proposal yet. i understand that many industry groups have come out against it. it is going to be essential that any legislation have broad industry support in order to have a bipartisan bill that has any chance of passing in the end. emily: what is a realistic and productive way for tech companies to work with the government? luke: many have been trying to work with the government. i think the answer is to find a balance between privacy and security. it is not something that is completely out of reach. whether this is the right approach remains to be seen. emily: in june 2014, apple released ios 8 and turned on basically encryption, making , things more difficult for law enforcement. when you were at the doj, what was the reaction? luke: i was close to these cases. i do not want to talk about one particular case. it is very difficult as a general matter to solve cyber cases. evidence is fast-moving, very f

>> encryption protects data going from one person to another for a service like what's app which is usingion to protect voice messages, and chats, and texts, means that only the people involved can read those communications, and that means that governments and hackers who might try to access the communications will be unable to access them. >> reporter: why is it important to what's app to be doing this? >> well, there are other companies like apple which encrypts i-messages and video and voice chats through face time service and telegram, a german company run by a couple of russian guys that has a large number of users, and it also advertises encryption, i think what's app realizes if it is going to compete, it needs to be as safe or better. >> does itn't open the door for groups that you may want to listen in on, like terrorist organizations? >> certainly. when you offer infrastructure, that infrastructure will be used by both good people and bad people, but also this means that, you know, loved ones will be able to communicate security, it means people will be able to talk to their doc

encrypted. and so the isps are unable to see any of the data that's encrypted. and at the same time the other companies on the internet can see that data. so there's a real disparity into -- it's sort of like taking a howitzer and shooting it at a mosquito. i mean, it's like a tiny little segment of the ecosystem. and all that data's going to go everywhere. >> a few things. one is i think there is -- there's definitely a desire by the companies, an understandable one, to try to make it sound like isps and other companies that are operating on the internet that are collecting information and marketing with it are the same type of entity and that consumers have the same type of relationship with them, but they don't. consumers pay their isps to provide them with service. they pay their isps to get them connected to the internet. and then once they're on the internet they make choices about what services they're going to use online or on the internet or however they're using the network. and that's -- but -- as an initial matter they have no choice but to go through

the hardest part is what do you do if you have very strongly encrypted data, can you ever get it. it may not be the best place to look all the time because it may not always be available. >> historically you're never able to get ahold of everything. dr. blaze, you wanted to weigh in. >> i want to caution the split key design, as attractive as it sounds was also at the core of the nsa designed clipper chip, which was where we started over two decades ago. >> i appreciate that. mr. yoran, i've got to tell you, i did think your testimony and written testimony in particular was enlightening in regard to the fact if we do shut down the u.s. companies, then there may even be safe havens created by those countries not our friends and specifically our enemies. unfortunately i wanted to ask a series of questions on that and i see my time is expired and i'm required to yield back, mr. chairman. >> welcome looking at other panel members, we have miss brook from indiana. your five minutes. >> thank you, mr. chairman. i'd like to start out with a comment that was made in the first panel. i gue

it encrypts data locking up computers and demands payments from $200 to $600 in order to unlock each of the infected pcs. let's talk about stamps. it will soon be less expensive to mail that letter. the price of a stamp is going down this weekend. a temporary rate increase granted to the u.s. postal service in 2014 expires this sunday. so regular stamp will cost 47 cents now, down from $.49. international letters down to $1.15. to mail the postcard, it will be a penny cheaper at $.34. back to you guys. >> i don't know. when was the last time we mailed postcards, right? >> yeah. >> i think it's been a while. maybe i need to travel more. >> susan is saying i mail postcards all the time. thanks so much. a warning for anyone who who has unpaid tickets on long island. a new plan to collect the millions of dollars in fines. >>> later, a local man fined for flying a donald trump flag. we'll explain why. >>> plus, weather and traffic on the 4s coming up as we look at the inbound lincoln tunnel there. you're watching "today in new fios is not cable. we're wired differently. we guarantee to ma

the hardest part is what do you do if you have very strongly encrypted data, can you ever get it. it may not be the best place to look all the time because it may not always be available. >> historically you're never able to get ahold of everything. dr. blaze, you wanted to weigh in. >> i want to caution the split key design, as attractive as it sounds was also at the core of the nsa designed clipper chip, which was where we started over two decades ago. >> i appreciate that. mr. yoran, i've got to tell you, i did think your testimony and written testimony in particular was enlightening in regard to the fact if we do shut down the u.s. companies, then there may even be safe havens created by those countries not our friends and specifically our enemies. unfortunately i wanted to ask a series of questions on that and i see my time is expired and i'm required to yield back, mr. chairman. >> welcome looking at other panel members, we have miss brook from indiana. your five minutes. >> thank you, mr. chairman. i'd like to start out with a comment that was made in the first panel. i gue

. >> the hospital chain in march had the data encrypted to make it impossible to access files. >> theyag behind in the security or the infrastructure and they are easy targets for hackers. paid the ransom and no data was compromised but since 20132 strains like this crippled computer system of individuals, businesses and municipalities nationwide. >> it's a new breed of the security attack by the hackers. >> i.t. experts say the hackers come from eastern europe and russia. they infiltrate the computer systems using infected e-mail attachment and holding the dethey until ransom -- data until the ransom is paid with a hard to trace currency like bitcoin. >> they don't want to charge you so much to give up entirely. it's enough so you are willing to pay it. many do. >> the f.b.i. says in 2015 it received nearly 2,500 ransomware crime reports nationwide. the total amount of money paid to hackers last year from the institution or individuals was $24 million. the f.b.i. says the cases often go unreported because the victims will pay an average ransom of $200 to >> the best thing that folks c

major boost to privacy advocates has one of the world's most popular messaging apps brings in data encryption. >>> a devastating siege as fighting between kurdish and opposition forces continues. we'll hear from the world's number one who has his sites on master's title. that's later in sports. >> refugees continue to flee from turkey to greece. and they will be spending them back. harry faucet. >> the hear it before you see it. anxiety, exhaustion, desperation. so many children have drowned making this journey, yet more still come. even if this is one of the rare life jackets that floats. it's of no use for the tiny body inside. others make due with rubber tubes. even then not everyone is wearing them. >> these iraqi families probably paid hundreds of dollars a head. the boat is too small even with the 40 or so packed into it. these are families separated in a moment. all he could say was look after the woman. >> these people will be sent back, but still they're desperate to go. >> a handful left on the show. we asked why they're risking all this where under the new rules they have very chan

forward will make its devices even tougher to get to and even -- it's trying to even further encrypt the datagain, if you lose your password, then apple can't help you get the data on the crowd potential-- cloud potentially can't help you get the data. it's going to be fought in the courts publicly or congress can stepp and do something about this, but it's to bo dietl's point earlier. if you've got a valid court order, a search warrant, a subpoena, how can you not say, we're not goining to let you ino this phone and basically enforce the laws of the nation? >> i'll give up privacy for security. whatat changed with the apple ad fbi thing, gave apple a ance to add loyalty because they protected their customers and took on the government and said we're not giving up that access to the phone because we want to protect the contract we have with our customers. maria: gooood pr. >> yeah, it worked out perfect for them. >> nice to see them work together. we all want security and we have t would justst ask, can they now open any iphone? was this just one on any one. >> it's one iphone that we know of

the isp's are unable to see the data that's encrypted. at the same time the other companies on the internet can see that data. there's a real disparity. it's like taking a gun and shooting a mosquito. all that data is going to go everywhere. >> so i have -- a few things, one is i think you know there is definitely a desire by the companies an understandable one to try to make it sound like isp's and other companies that are operating on the internet that are collecting information and marketing with it are the same type of entity. and that consumers have the same type of relationship with them. they don't. consumers pay their isp's to provide them with service. they pay their isp's to get them connected to the internet. and then once they're on the internet, they make choices about what services they're going to use, you know, online. or on the internet or however they're using the network. and that's -- but -- as an initial matter, they have no choice but to go through an isp in order to get on to the network in the first place. that is d