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Microchip Technologies and Nanoteq

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NODE c126dfa6Microchip Technologies and Nanoteq
Microchip Technologies, the "PIC" people, according to the grapevine is 
introducing smart card products apparently based upon Nanoteq's 
algorithm's.  Microchip calls it "Keeloq Code Hopping". Bruce Schneier's 
short description of the Nanoteq algorithm (p 390 2nd edition Applied 
Crypto ) is not too favorable. I'm not sure how code hopping interacts or 
is used in the system.  

Can anybody shed further light on this subject and the viability of this
cryptographic system?  

Regards:
-arc

Arley Carter
Tradewinds Technologies, Inc.
email: ac@hawk.twinds.com
www: http://www.twinds.com

"Trust me. This is a secure product. I'm from <insert your favorite 
corporation or government agency>."