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""""7!{&&dXXd7X8XXX  ""   `     h      p   BillingCode:351033P  DEPARTMENTOFCOMMERCEBureauofExportAdministration15CFRPart774DocketNo.990701179016703RIN:0694AB90ExpansionofLicenseExceptionCIVEligibilityfor"Microprocessors"ControlledbyECCN3A001X8XXX8andGraphicsAcceleratorsControlledbyECCN4A003#X8XXX8-# ` AGENCY:BureauofExportAdministration,Commerce  ACTION:Interimrulewithrequestforcomments.X8XXX8SUMMARY:TheBureauofExportAdministration(BXA)maintainstheCommerceControl P(#& List(CCL),whichidentifiesthoseitemssubjecttoDepartmentofCommerceexportlicensingrequirements.Consistentwithtechnologicalchanges,thisinterimruleadjuststheLicenseExceptionCIVeligibilitylevelformicroprocessorscontrolledbyExportControlClassification -@), Number(ECCN)3A001fromacompositetheoreticalperformance(CTP)ofequaltoorlessthan3500milliontheoreticaloperationspersecond(MTOPS)toaCTPofequaltoorlessthan4500MTOPS.#X8XXX8J#X8XXX8ThisrulealsoadjuststheLicenseExceptionCIVeligibilitylevelforgraphics   acceleratorscontrolledbyExportControlClassificationNumber(ECCN)4A003from75#X8XXX8#X8XXX8million   vectorspersecond#X8XXX8#X8XXX8Ԁto#X8XXX8Q#X8XXX8Ԁ100millionvectorspersecond#X8XXX8ߖ#X8XXX8.#X8XXX8#X8XXX8ԀLicenseExceptionCIV""authorizesis   availablefor   exports""""   andreexportstocivilend-usersforcivilend-usesinCountryGroup""D:1.CIVmaynotbeusedforexportsorreexportsstomilitaryendusersorenduses.""Toavoidunwarranted"" administrative burdens""""onindustryandkeeptheexportcontrollevelsforcommoditymicroprocessorsatcontrollablelevels,theAdministrationiscommittedtoreviewingtheCIVlevelonanongoingbasis.Basedonindustryprojections,substantiallymorepowerfulcommoditymicroprocessorswillbereleasedlaterthisyear.Inlightofthisinformation,theAdministrationwillcontinuetomonitorthemicroprocessormarket,andascircumstanceswarrant,weanticipateraisingtheCIVeligibilitylevelsfrom4500MTOPStoalevelsomewherebetween5500and7000MTOPStoaccountforthemorepowerfulmicroprocessorsenteringmassproduction.TheexponentialadvanceofmicroprocessortechnologydirectlyaffectsHighPerformanceComputer(HPC)technology.Accordingly,theAdministrationisalsocommittedtoreviewingHPCcontrollevelsregularly.Thissummer,wewillonceagainassesstheHPCmarkettodetermineatwhatlevelcomputersarenolongercontrollableduetowidecommercialproductionanddisseminationofthecomputersandtheircomponents.Additionally,wewilldetermineifthe -`'* individuallicensinglevelsforcomputersexportedtoTier2andTier3countries""require""""adjustment.Finally,wewillcontinuetoexaminewhetherCTPremainsaviablemetricfordeterminingHPCexportcontrols.#X8XXX8:#DATES:Thisruleiseffective[DATEOFPUBLICATION].Commentsonthisrulemustbereceivedonor[30DAYSFROMDATEOFPUBLICATION].ADDRESSES:WrittencommentsshouldbesenttoHillaryHess,RegulatoryPolicyDivision,BureauofExportAdministration,DepartmentofCommerce,P.O.Box273,Washington,DC20044.FORFURTHERINFORMATIONCONTACT:JamesLewis,Director,OfficeofStrategicTradeandForeignPolicyControls,BureauofExportAdministration,Telephone:(202)4824196.SUPPLEMENTARYINFORMATION:AlthoughtheExportAdministrationAct(EAA)expiredonAugust20,1994,thePresidentinvokedtheInternationalEmergencyEconomicPowersActandcontinuedineffecttheEAR,and,totheextentpermittedbylaw,theprovisionsoftheEAAinExecutiveOrder12924ofAugust19,1994,asextendedbythePresident'snoticesofAugust15,1995(60FR42767),August14,1996(61FR42527),August13,1997(62FR43629),August13,1998(63FR -`'* 44121),X8XXX8andAugust10,1999(64FR44101,August13,1999)#X8XXX8ߒ#. R RulemakingRequirements  1.ThisinterimrulehasbeendeterminedtobenotsignificantforpurposesofE.O.X8XXX812866#X8XXX8ߗ#. `    2.Notwithstandinganyotherprovisionoflaw,nopersonisrequiredtorespondto,norshallanypersonbesubjecttoapenaltyforfailuretocomplywithacollectionofinformation,subjecttotherequirementsofthePaperworkReductionAct(PRA),unlessthatcollectionofinformationdisplaysacurrentlyvalidOMBControlNumber.ThisruleinvolvesacollectionofinformationsubjecttothePaperworkReductionActof1995(44U.S.C.3501etseq.)This  collectionhasbeenapprovedbytheOfficeofManagementandBudgetundercontrolnumber06940088.  3.ThisruledoesnotcontainpolicieswithFederalismimplicationssufficienttowarrantpreparationofaFederalismassessmentunderExecutiveOrder13132.  4.TheprovisionsoftheAdministrativeProcedureAct(5U.S.C.553)requiringnoticeofproposedrulemaking,theopportunityforpublicparticipation,andadelayineffectivedate,areinapplicablebecausethisregulationinvolvesamilitaryandforeignaffairsfunctionoftheUnitedStates(5U.S.C.553(a)(1)).Further,nootherlawrequiresthatanoticeofproposedrulemaking -`'* andanopportunityforpubliccommentbegivenforthisinterimrule.BecauseanoticeofproposedrulemakingandanopportunityforpubliccommentarenotrequiredtobegivenforthisruleunderX8XXX8theAdministrativeProcedureAct#X8XXX8e#Ԁorbyanyotherlaw,theanalyticalrequirementsof   theRegulatoryFlexibilityAct(5U.S.C.601etseq.)arenotapplicable.   However,becauseoftheimportanceoftheissuesraisedbytheseregulations,thisruleisissuedininterimformandcommentswillbeconsideredinthedevelopmentoffinalregulations.Accordingly,theDepartmentencouragesinterestedpersonswhowishtocommenttodosoattheearliestpossibletimetopermitthefullestconsiderationoftheirviews.Theperiodforsubmissionofcommentswillcloseon[INSERTDATE30DAYSFROMDATEOFPUBLICATION].TheDepartmentwillconsiderallcommentsreceivedbeforethecloseofthecommentperiodindevelopingfinalregulations.Commentsreceivedaftertheendofthecommentperiodwillbeconsideredifpossible,buttheirconsiderationcannotbeassured.TheDepartmentwillnotacceptpubliccommentsaccompaniedbyarequestthatapartorallofthematerialbetreatedconfidentiallybecauseofitsbusinessproprietarynatureorforanyotherreason.TheDepartmentwillreturnsuchcommentsandmaterialstothepersonsubmittingthecommentsandwillnotconsidertheminthedevelopmentoffinalregulations.Allpubliccommentsontheseregulationswillbeamatterofpublicrecordandwillbeavailableforpublicinspectionandcopying.Intheinterestofaccuracyandcompleteness,theDepartmentrequirescommentsinwrittenform. -`'* ЇOralcommentsmustbefollowedbywrittenmemoranda,whichwillalsobeamatterofpublicrecordandwillbeavailableforpublicreviewandcopying.CommunicationsfromagenciesoftheUnitedStatesGovernmentorforeigngovernmentswillnotbemadeavailableforpublicinspection.ThepublicrecordconcerningtheseregulationswillbemaintainedintheBureauofExportAdministrationFreedomofInformationRecordsInspectionFacility,Room6883,DepartmentofCommerce,14thStreetandPennsylvaniaAvenue,N.W.,Washington,D.C.20230.Recordsinthisfacility,includingwrittenpubliccommentsandmemorandasummarizingthesubstanceoforalcommunications,maybeinspectedandcopiedinaccordancewithregulationspublishedinPart4ofTitle15oftheCodeofFederalRegulations.InformationabouttheinspectionandcopyingofrecordsatthefacilitymaybeobtainedfromtheBureauofExportAdministrationFreedomofInformationOfficerattheaboveaddressorbycalling(202)4820500.ListofSubjectsin15CFRpart774  Exports,ForeignTrade.  Accordingly,part774oftheExportAdministrationRegulations(15CFRparts730through799)isamendedasfollows:  1.Theauthoritycitationforpart774isrevisedtoreadasfollows: -`'*   Authority:X8XXX8Ԁ50U.S.C.app.2401etseq.;50U.S.C.1701etseq.;10U.S.C.7420;10 R U.S.C.7430(e);18U.S.C.2510etseq.;22U.S.C.287c;22U.S.C.3201etseq.;22U.S.C.6004; 2 Sec.201,Pub.L.10458,109Stat.557(30U.S.C.185(s));30U.S.C.185(u);42U.S.C.2139a;42U.S.C.6212;43U.S.C.1354;46U.S.C.app.466c;50U.S.C.app.5;E.O.12924,59FR43437,3CFR,1994Comp.,p.917;E.O.13020,61FR54079,3CFR,1996Comp.,p.219;E.O.13026,61FR58767,3CFR,1996Comp.,p.228;NoticeofAugust10,1999(3CFR,1999Comp.302(2000))#X8XXX8%#X8XXX8.""#X8XXX8ߌ(# X8XXX8#X8XXX8>)#X8XXX8#X8XXX8)# X8XXX8"""" @  #X8XXX8i)#PART774AMENDEDSUPPLEMENTNO.1TOPART774AMENDED  2.InSupplementNo.1topart774(theCommerceControlList),Category3Electronics,ExportControlClassificationNumber(ECCN)3A001isamendedbyrevisingtheLicenseExceptionssectiontoreadasfollows: 3A001Electroniccomponents,asfollows(seeListofItemsControlled).  2&" @$***** LicenseExceptions  +%(  -`'*   LVS:N/AforMT   ` $1500:3A001.c̀  $3000:3A001.b.1,b.2,b.3,.d,.eand.f   Ѐ  $5000:3A001.a,and.b.4tob.7       GBS:Yes,except3A001.a.1.a,b.1,b.3tob.7,.cto.f     0  CIV:Yes,except3A001.a.1,a.2,a.3.a(forprocessorswithaCTPgreaterthan4500Mtops),a.5,a.6,a.9,a.10,anda.12,.b,.c,.d,.e,and.f (#(# @$*****X8XXX8  3.InSupplementNo.1topart774(theCommerceControlList),Category4  Computers,ExportControlClassificationNumber(ECCN)4A003isamendedbyrevisingtheLicenseExceptionssectiontoreadasfollows:#X8XXX8-#X8XXX8 `  4A003 Digitalcomputers, electronicassemblies,andrelatedequipmenttherefor,and r"  speciallydesignedcomponentstherefor.  R$  @$***** LicenseExceptions  )#&   LVS:0 ` $5000;N/AforMTand"digital"computerscontrolledby4A003.bandhavinga -`'* CTPexceeding10,000MTOPS;or"electronicassemblies"controlledby4A003.candcapableofenhancingperformancebyaggregationof"computingelements"sothattheCTPoftheaggregationexceeds10,000MTOPS. x  ` (#` (# 0  GBS:0` (#(#Yes,for4A003.d,.e,and.gandspeciallydesignedcomponentstherefor,exported   separatelyoraspartofasystem. ` (#` (# 0  CTP:0` (#(#Yes,forcomputerscontrolledby4A003.a,.band.c,totheexclusionofother `  technicalparameters,withtheexceptionofparametersspecifiedascontrolledforMissileTechnology(MT)concernsand4A003.e(equipmentperforminganalogtodigitalordigitaltoanalogconversionsexceedingthelimitsof3A001.a.5.a).See740.7oftheEAR. ` (#` (# 0  CIV:0` (#(#Yes,for4A003.d(havinga3Dvectorratelessthanorequalto100M  vectors/sec),.e,and.g. ` (#` (# """"""@$*****""#X8XXX83/#!!""""DATED:R.RogerMajakAssistantSecretaryforExportAdministration