Discuss how and why companies use cryptography.

Cryptography existed long before the age of information technology (Koreneff, & Sims-McLean, 2005). Nonetheless, cryptography has in the past and continues to remain of assistance to both individuals and institutions to maintains the secrecy of information. In the past, cryptography was mainly used by government agencies and institutions in the maintenance of confidentiality of communications between diplomats, spies, and even military leaders. However, the extensive innovations in technology have led to the adoption and use of cryptography in businesses, where companies are using the information management tool to conceal and maintain confidentiality of a variety of issues. Modern day companies and business institutions can use cryptography in different ways and for various purposes, depending on their needs and functionalities. 

Authentication of identities

Most companies use cryptography in their access control systems to authenticate and verify the identities of individuals going in and out of their institutions, as well as restricted areas. Cryptography works in the same way as the password systems used to identify the authenticated access of individuals (Matsui & Zuccherato, 2005). Companies that use modern technology use cryptographic transforms, combined with other individualistic characteristics to provide an efficient and reliable identity authentication system. Additionally, the encryption of passwords makes it difficult for unauthorized individuals to gain access to certain restricted areas.

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Secure communication

There are numerous voice and message conversations that take place within a company environment. In most instances, the communication that occurs within a company is private and confidential and is not required to get out either to the public or to competitors. As such, most companies use cryptography to secure their communication, either through the use of encrypted links or by coding messages transmitted to each other (Kirkby, 2001). Cryptography makes it difficult for eavesdroppers to comprehend the contents of any organizational communication, made possible by the scrambling of texts in message communications. It is also important to note that cryptography can also help secure voice conversations that occur through telephones made possible by the creation of an encrypted link that enables individuals to call and talk without divulging the contents of their conversation to outsiders. 

Secure transmission and storage of data

Companies vary from one to the other, depending on the goods and services they provide, as well as their marketing strategies. As such, it is important that companies shield the contents of all the information they own, as well as ensure that it does not leak to unintended recipients during transmission. Cryptography allows companies to internally share and exchange information with each other without the fear of it leaking to the public. Additionally, cryptographic systems enable the encryption of data so that it is stored in concealed language that prevents spillage even when hacked or if it lands in the wrong hands. 

Securing digital signatures

A digital signature is more or less a digital code, generated and authenticated by the public key encryption system that is usually attached to electronic documents to verify the identity of the sender and also that of the recipient. For companies, digital signatures help to separate online or electronic communications of one organization from another, since each company has its own unique digital signature (Nahari & Krutz, 2013). In this modern age of technological advancements and social media presence, owing a digital signature is critical for every company, especially when it comes to differentiation of authentic from fake organizational messages and communication. As such, cryptography helps in the generation and maintenance of digital signature integrity. 


Kirkby, A. (2001). Cryptography and E-Commerce: A Wiley Tech Brief. Network Security, 2001, 9.

Koreneff, I., & Sims-McLean, K. (2005). Information technology. Glebe, N.S.W: Pascal Press.

Matsui, M., & Zuccherato, R. (2005). Selected Areas in Cryptography: 10th Annual International Workshop, SAC 2003, Ottawa Canada, August 2003, Revised Papers. Springer.

Nahari, H., & Krutz, R. L. (2013). Web commerce security: Design and development. Hoboken, N.J: Wiley.

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