DATE=2/25/97
TYPE=CORRESPONDENT REPORT
NUMBER=2-210559
TITLE=U-S / ECONOMIC ESPIONAGE (L)
BYLINE=MAXIM KNIAZKOV
DATELINE=WASHINGTON
CONTENT=
VOICED AT:
INTRO: AN AMERICAN PROFESSIONAL ASSOCIATION SAYS ECONOMIC
INTELLIGENCE GATHERING IS BECOMING AN ALMOST UNIVERSAL
PHENOMENON. MAXIM KNIAZKOV REPORTS THE SOCIETY OF COMPETITIVE
INTELLIGENCE PROFESSIONALS PRESENTED ITS FINDINGS TUESDAY IN
WASHINGTON.
TEXT: IN DOCUMENTS DISTRIBUTED AT ITS SYMPOSIUM, THE SOCIETY OF
COMPETITIVE INTELLIGENCE PROFESSIONALS SAID ECONOMIC INTELLIGENCE
GATHERING HAS MUSHROOMED INTO A BUSINESS IN ITS OWN RIGHT.
IT IS NO LONGER JUST FOREIGN GOVERNMENTS OR COMPETITORS VERSUS
THE UNITED STATES. SOCIETY EXECUTIVE DIRECTOR GUY KOLB SAYS U-S
CORPORATIONS HAVE SHOWN THEIR WILLINGNESS TO TAKE ON THEIR RIVALS
WHEREVER THEY ARE.
// ACT ONE KOLB //
COMPETITIVE INTELLIGENCE AS A PROFESSION HAS COME TO BE
SEEN AS A NECESSITY IN AN INFORMATION ERA MARKED BY
HYPER-COMPETITION WITHIN A GLOBAL ECONOMY. THE NUMBER
OF LARGE CORPORATIONS WITH COMPETITIVE INTELLIGENCE
UNITS HAS TRIPLED SINCE 1988 TO ABOUT 10-PERCENT OF THE
CORPORATIONS IN THE UNITED STATES. THIS IS ACCORDING TO
STUDIES BY THE FUTURES GROUP, A GLASTONBERY,
CONNECTICUT-BASED CONSULTING FIRM.
// END ACT //
MR. KOLB SAYS 80-PERCENT OF U-S COMPANIES HAVE ADOPTED WHAT HE
CALLED -- AN ORGANIZED APPROACH -- TO COLLECTING BUSINESS
INFORMATION AND FEEDING IT TO THEIR DECISION-MAKERS.
MEANWHILE, U-S GOVERNMENT REPORTS SHOW ECONOMIC INTELLIGENCE
GATHERING BY FOREIGNERS IS ALSO EXPERIENCING A BOOM. THE FEDERAL
BUREAU OF INVESTIGATION WAS PROBING 800 ECONOMIC ESPIONAGE CASES
AS OF LATE LAST YEAR. THIS IS TWICE AS MANY AS THE YEAR BEFORE.
THE PRESIDENT OF A COMPANY SPECIALIZING IN BUSINESS INTELLIGENCE
AND COUNTERINTELLIGENCE, BILL DEGENARO, SAYS U-S ANNUAL LOSSES
FROM FOREIGN ECONOMIC ESPIONAGE ARE STAGGERING.
// ACT TWO DEGENARO //
I HAVE HEARD NUMBERS AS HIGH AS 100-BILLION DOLLARS IN
LOSSES FROM ALL FORMS OF ESPIONAGE AND PIRACY.
// END ACT //
AS FOR THE PERPETRATORS, MR. DEGENARO NAMED FRANCE, ISRAEL, AND
CHINA AMONG THE WORST OFFENDERS. BUT HE POINTED OUT THE LIST IS
BY NO MEANS LIMITED BY THESE THREE COUNTRIES.
// ACT THREE DEGENARO //
THERE ARE PROBABLY SOMEWHERE BETWEEN 20 AND 50 COUNTRIES
THAT HAVE ON OCCASION DEMONSTRATED THEIR WILLINGNESS AND
ABILITY TO USE THEIR GOVERNMENT ASSETS TO ACQUIRE
INFORMATION OF BEHALF OF THEIR LOCAL COMPANIES.
// END ACT //
LAST YEAR, PRESIDENT BILL CLINTON SIGNED INTO LAW THE ECONOMIC
ESPIONAGE ACT, GIVING FEDERAL AGENCIES NEW TOOLS TO COMBAT THE
THEFT OF PROPRIETARY BUSINESS INFORMATION. SYMPOSIUM
PARTICIPANTS EXPRESSED THE HOPE THE NEW LAW WILL HELP SLOW THE
SPREADING INTERNATIONAL AND DOMESTIC HUNT FOR TRADE SECRETS.
(SIGNED)
NEB/MAX/RAE
25-Feb-97 12:20 PM EST (1720 UTC)
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