This scenario represents a continuation of a number of today's trends in national and international efforts to regulate the Net. Facing growing dissatisfaction with the direction in which the Internet is evolving, nations collectively resolve to take tough measures to regulate the flow of information. Initially, efforts are concentrated primarily on sexually explicit materials, information of a seditious nature, and illegal use of software. But gradually, they take on a more pervasive nature.
The key problem, in the opinion of many governments, is the relative anonymity of the individuals in the on-line world. The solution is to require a digital passport, guaranteed by the issuing nation. Because of their usefulness in electronic commerce, these electronically signed identity papers are rapidly integrated into the expanding digital economy. All communications require a traceable identification code, and despite a few successful efforts to forge 'passports' or circumvent the identification requirements, the vast majority of information on the Net can now be easily tracked. Falsification of addressing information is strictly prohibited and severely punished due to the potential for international scandal.
Encryption is also strictly forbidden, mostly in order to prevent terrorism and crime. Some large financial institutions and multinationals are excepted, but governments insist on having 'backdoor' access to most encrypted communications. Because governments cannot agree on cooperative key-escrow schemes with anyone but their closest allies, encryption is generally prohibited for international use.
Through international agreements, nations use their combined weight to keep the upper hand in the power struggle with the global pervasiveness of the Internet. With charges ranging from intellectual colonialism to piracy of copyrighted materials, nations convince their citizens of the need to maintain a significant influence on the development of the Net and succeed in doing so through strong international collaboration.