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October 29, 2002
In This Issue:

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FIN Members Active at Every Turn
Elected officials welcome input from constituents -- and FIN members eagerly accepted the invitation. Throughout the year, FIN members voiced their views on trade, competition, DRM and other important issues. A special thanks goes out to those of you who took an active part in policy debates that impact consumers, the economy and technology.

Policy Victories for Technology
  • Trade Promotion Authority (TPA) -- The technology sector, as well as other industries and the U.S. economy, got a big boost when Congress passed TPA, which will help American companies compete in global markets. Though this issue was not tech-specific, supporters of technology, including FIN members, were instrumental in winning passage. At the signing ceremony, President Bush praised Democrats and Republicans for working together to do "what was right for the people of this country."
  • Extension of Internet Tax Moratorium -- In November 2001, Congress gave a boost to e-commerce -- and kept it on equal footing with most offline catalogue sales -- by passing a two-year extension of the Internet tax moratorium. We'll need your help again to support another extension when this one expires on November 1, 2003.
  • Cyber Security - The House passed the Cyber Security Enhancement Act overwhelmingly, which strengthens penalties against hackers. However, the Senate merged that bill with the Department of Homeland Security legislation - which is currently stalled in the Senate. Both chambers did pass the Cyber Security Research and Development Act, which authorizes funding for computer and network security research.
Issues on the Horizon
While elected officials took some steps that benefit the future of innovation, they also proposed new technology mandates that would hamper innovation. Look for these issues to return in 2003:
  • Digital Rights Management (DRM) -- Technology continues to provide new ways for consumers to enjoy music, movies and video games. Content owners, including software companies, do not want to see their products illegally copied and distributed, but government mandates are not the answer. In the last year, several lawmakers proposed DRM legislation that would hurt competition and innovation. Expect the issue of DRM mandates to return in the next Congress.
  • Procurement Preferences - At the urging of open source software (OSS) advocates, including Red Hat Software, California legislators are being asked to pass a bill that would grant preferential treatment to OSS products over traditional commercial software. Software should be purchased on its merits and value, not on how it is developed. Look for more information -- and more policy debates -- about OSS in the future.
In 2003, Congress, state legislatures and government agencies will also take up a wide range of other issues important to the tech sector, including broadband, cyber security and piracy. We'll keep on providing information about issues that affect us all, so you can continue to communicate with your legislators on a regular basis.

REMEMBER TO VOTE!
The next Congress will be making a wide range of policy decisions that affect the future of technology. When you cast your vote, remember to weigh each candidate's record on issues that affect technology and innovation. To learn where your incumbents stood on key technology votes, visit the Information Technology Industry Council's High Tech Voting Guide.

Visit the Freedom to Innovate Web Site
The FIN Web site is your source for information on policy issues affecting technology. You can also find links to news about technology, archived FIN newsletters and more.

To contact your elected officials directly and let them know your views on issues you care about, visit:
http://www.freetoinnovate.com

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