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NSIAD-86-7 1 (1985-10-15)

handle is hein.gao/gaobabnue0001 and id is 1 raw text is: 

           0UNITED STATES GENERAL ACCOUNTING OFFICE
                             WASHINGTON. D.C. 20548


  NATIONAL SECURITY AND                                    IIOtu  111
INTERNATIONAL AFFAIRS D VISION          O T 5 1 8

     B-220762                           OCT 1 5 1985         128229


     The Honorable Glenn English
     Chairman, Subcommittee on Government
       Information, Justice, and Agriculture
     Committee on Government Operations
     House of Representatives

     Dear Mr. Chairman:

          Subject: Concerns Regarding the National Security Agency
                    Secure Telephone Program (GAO/NSIAD-86-7)

          On September 24, 1984, you requested that we evaluate the
     use of TEMPEST and similar technologies--such as secure
     telephones--for the protection of national security
     information. As requested by your office on July 26, 1985, this
     letter identifies the major issues regarding secure telephones
     that we have identified to date.

          The STU-II is the secure telephone in use today. These
     telephones are to be replaced by lower cost STU-III telephones.
     Development contracts for the STU-III telephones were awarded
     in March 1985 to AT&T, Motorola, and RCA to develop an easy to
     use, low cost (target price about $2,000) secure telephone,
     deliverable by early 1987. Current plans are to award
     production contracts to all three contractors (if they
     successfully develop a product) in March 1986, with deliveries
     to begin in April 1987. The number of units awarded to each
     contractor will depend on their price and degree of success in
     performance tests. A contract has also been awarded to GTE
     Sylvania for systems integration and testing. The total cost to
     the government for this developmental effort is about $82
     million.

          This program is very unique because, in addition to having
     applicability to national security information, this secure
     telephone will also have a commercial market, that is, banks,
     brokerage firms, and other businesses interested in securing


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