Stenography is one of the NSA's worst nightmares. Encrypted strings sent over the Internet they know are encrypted, and often know what algorithm and key length. But the fact that any image can contain an encrypted message, and there's know way to know whether or not something exists within, scares the shit out of them. So, good work.
>"Uncrackable encryption is allowing terrorists — Hamas, Hezbollah, al-Qaida and others — to communicate about their criminal intentions without fear of outside intrusion," FBI Director Louis Freeh said last March during closed-door testimony on terrorism before a Senate panel. "They're thwarting the efforts of law enforcement to detect, prevent and investigate illegal activities."
So law enforcement is fine with encryption so long as it's crackable...
[1]http://usatoday30.usatoday.com/tech/news/2001-02-05-binladen...