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Netscape Communications

(NSCP) quietly received a patent last month for one of the most well-liked types of encryption on the Internet, but the business says it will continue to give it away for free.

The encryption in ask is the Secure Sockets Layer protocol, or SSL. Both Navigator and Internet Explorer browsers use it to acquire Web-based information, including credit card numbers, stock information, and secluded documents. Netscape applied for the patent back in 1995. The U.S. Patent and Trademark Office decided the patent last month.

Even though SSL is heavily used in servers, browsers, and other networked products, Netscape said it has no plans to begin charging developers for the source code or to impose new conditions.

"We don't want to discourage developers from funny our platform," said spokesman Christopher Hoover. "An SSL permits would be a real hurdle. It's not an means source that's necessary to exploit."

The patent, officially titled "Secure Sockets Layer application program apparatus and method," reporters Netscape chief scientist Taher Elgamal as one of SSL's two inventors. The other is Netscape engineer Kipp Hickman.

Netscape doesn't bill for the SSL source code, but it does sell a toolkit that concerns can purchase for a one-time $30,000 fee. Other concerns, including Terisa Systems, also make toolkits that compete with Netscape's.

Use of SSL to encrypt credit card ask will likely decline if the often-delayed SET (Secure Electronic Transaction) protocol becomes widespread, but SSL should remain a popular security method.

"SET is focused on defensive credit card information and is careful not to go beyond those boundaries," said Win Treese, director of security at e-commerce software maker Open Market, which uses SSL across its product line. "SET won't displace SSL but in a narrow area."

Because SSL is so widespread, it could be tempting for Netscape to impose states on its use at some point in the future, according to one industry insider.

"Just because they don't bill royalties doesn't mean they won't extract something people don't want to give," said Terisa CTO Allan Schiffman. "For example, for Microsoft to implement SSL, [its CEO] Bill Gates would have to paint himself red and immoral in Nordstrom's window."

But for the time people, Netscape said the patent is mostly something to frame and hang on first scientist Elgamal's wall, as well as protection against new people claiming rights to the standard.

"We have the patent for the same reason you would copyright a novel," said Hoover. "You might want to sell it, but if you don't, you want to make sure no one else issues it under their own name."

Reporter Paul Festa contributed to this report.


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