Alston & Bird recently issued an Advisory on a new regulation proposed by the Department of Commerce’s Bureau of Industry Security (BIS), which would require certain developers, manufacturers, and users of cybersecurity intrusion and surveillance items to obtain export licenses before conducting business and performing their work—even when working with their affiliated companies or with business partners in the most closely allied countries. The new requirement is being implemented pursuant to the United States’ commitments under the Wassenaar Arrangement on Export Controls for Conventional Arms and Dual-Use Goods and Technologies. Because the proposed rule may reach certain software and hardware solutions that are not apparently intended to be the target, slow down global deployment of these solutions, and raise corporate compliance costs, companies should analyze the full impact of the proposal on their products and services and consider submitting comments. Comments are due July 20, 2015.
The advisory can be found on our website at: http://www.alston.com/advisories/New-Export-Requirements/.