CYBERSECURITY,INNOVATION AND THEINTERNET ECONOMY THE DEPARTMENT OF COMMERCEINTERNET POLICY TASK FORCE Message from Secretary of Commerce Gary Locke The Internet has undergone astounding growth, by nearly any measure,in recent years.The number of Internet users increased from roughly360 million in 2000 to nearly two billion at the end of 2010.The numberof hosts connected to the Internet increased from fewer than 30 millionat the beginning of 1998 to nearly 770 million in mid-2010. According toindustry estimates, this global network helps facilitate $10 trillion inonline transactions every single year. As Commerce Secretary, I am proud to work with the Americancompanies that have led the way at every stage of the Internet revolution,from web browsing and e-commerce technology to search and socialnetworking.Along the way, the United States government has supportedthe private sector in creating the foundation for the Internet’s success.After establishing the computer network that became the Internet, thegovernment opened the door for commercialization of the Internet in theearly 1990s.In the late 1990s, the government’s promotion of an openand public approach to Internet policy helped ensure the Internet couldgrow organically and that companies could innovate freely.Morerecently, we have promoted the rollout of broadband facilities and newwireless connections in unserved and underserved parts of the country. Today, the Internet is again at a crossroads.Protecting security ofconsumers, businesses and the Internet infrastructure has never beenmore difficult.Cyber attacks on Internet commerce, vital businesssectors and government agencies have grown exponentially. Someestimates suggest that, in the first quarter of this year, security expertswere seeing almost 67,000 new malware threats on the Internet everyday.This means more than 45 new viruses, worms, spyware and otherthreats were being created every minute – more than double the numberfrom January 2009.As these threats grow, security policy, technologyand procedures need to evolve even faster to stay ahead of the threats. Addressing these issues in a way that protects the tremendous economicand social value of the Internet, without stifling innovation, requires afresh look at Internet policy. For this reason, in April 2010, I launched anInternet Policy Task Force (IPTF), which brings together the technical,policy, trade, and legal expertise of the entire Department. The following report – or green paper – recommends consideration of anew framework for addressing internet security issues for companiesoutside the orbit of critical infrastructure or key resources.Whilesecuring energy, financial, health and other resources remain vital, the future of the innovation and the economy will depend on the success ofInternet companies and ensuring that these companies are trusted andsecure is essential.This is the area of our focus. The report recommends that the U.S. government and stakeholders cometogether to promote security standards to address emerging issues.Italso proposes that the government continue to support both innovationsin security and on the Internet more broadly.We believe this frameworkwill both improve security at home and around the world so that Internetservices can continue to provide a vital connection for trade andcommerce, civic participation, and social interaction around the globe. I am grateful for the extensive investment of executive time andresources by Department leadership.The Internet Policy Task Forcerepresents an extraordinary example of the kind of collaboration we havesought to build across the Department of Commerce. They could nothave accomplished this work, however, without the respondents to ourCybersecurity and Innovation Notice of Inquiry and the many participantsof our outreach meetings. The report completes just the first phase of this inquiry.For theundertaking to succeed in producing effective U.S. cybersecurity policiesacross all sectors of the Internet economy, we will need your ongoingparticipation and contributions. Sincerely,Gary Locke Foreword At the U.S. Department of Commerce, the Internet has always beenimportant to our stewardship of technology and communications, asreflected in the Clinton Administration’s 1999 Framework that hasguided Internet policy for more than the past decade.Today the Internetis central to our mission to promote growth and retool the economy forsustained U.S. leadership in the 21stCentury. In April 2010, Commerce Secretary Gary Locke established a Department-wide Internet Policy Task Force to address key Internet policy challenges.Specifically, Secretary Locke directed our Task Force to look atestablishing practices, norms, and ground rules that promote innovativeuses of information in four key areas where the Internet must addresssignificant challenges: Enhancing Internet privacy;Improving cybersecurity;Protecting intellectual property; andEnsuring the global free flow of i