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Pentium III Draws More Fire
by Leander Kahney
2:45 p.m.  25.Feb.99.PST
Intel may wish the Pentium III privacy issue would just go away. But
wait until Friday's launch.
Privacy groups, including the Center for Democracy and Technology have
chosen that day to file a complaint with the US Federal Trade Commission
.

Ari Schwartz, a policy analyst with the CDT, declined to discuss the
complaint in advance, other than to say that it will point out "all the
ways (Intel) engaged in unfair and deceptive practices."

Earlier in the week, a coalition of privacy groups organized a boycott
 of the chip and sent a strongly worded letter to the FTC urging an
investigation of Intel.

And the Electronic Privacy Information Center filed a request under the
Freedom of Information Act to find out if the federal government
pressured Intel to include the serial number for snooping purposes. A
reply is not expected for months.

Intel said the serial number is designed to help administrators of large
networks keep track of hardware and as a safe and secure way to identify
individuals for e-commerce. However, privacy advocates contend that the
serial number is an easy way to track people's movement on the Internet
and is an infringement of privacy.

Meanwhile, following revelations that the chip's serial number can be
cracked without the user's knowledge, computer manufacturers said they
will turn off the number at the lowest level of a computer's operating
system.

Compaq, Dell, IBM, and Hewlett-Packard said they will build switches
into the system BIOS -- the very first instructions that get a machine
running as it boots up -- and that the default setting will turn off the
serial number. Intel said a switch in BIOS adds an extra level of
security.

However, Andreas Stiller, the hardware editor at c't magazine who
discovered the original software hack, said contrary to assurances, the
BIOS switch isn't secure either. Stiller said he cracked a BIOS switch
in a system shipped to the German magazine in about 30 minutes.

"It was very easy," he said. "It was much easier than I thought. I did
it in less than half an hour. You do not need a specialist cracker. For
this job it was quite easy."

Stiller said that instead of installing a switch, computer manufacturers
could more or less permanently disable the number in BIOS, but he didn't
think they were willing to do so.

"This is the only secure fix, all the others can be fooled," he said.
"They can do it but they will not do it because they want this number
for e-commerce."

Intel spokesman Tom Waldrop said he was aware of the proposed FTC filing
but declined to comment until he knew its substance.

"We are in discussion with CDT and we are aware that they have
differences with us on this issue," he said. "But we certainly believe
that we have not done anything deceptive or illegal."

Waldrop also confirmed that the switches in the software utility and
BIOS can be hacked.

"It's absolutely true that any kind of software, whether it's a software
utliity or BIOS, can be hacked if someone has the skill and motivation,
we've always said that," he said. "Software is eminently hackable.
That's why we added a hardware serial number... There's a touch of irony
in that the hardware serial number is supposed to protect security and
privacy."
Related Wired Links:
Privacy Hack on Pentium III
23.Feb.99
Intel Thinks Different, Too
17.Feb.99
Chips Ahoy
17.Feb.99
Firm Sidesteps Intel on Chip ID
29.Jan.99
Intel on Privacy: 'Whoops!'
25.Jan.99
Boycott Targets Intel
25.Jan.99


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