Blackberry faces India ban

Research In Motion's encrypted BlackBerry email and instant messaging services will be shut down if the Canadian maker does not address Indian national security concerns by August 31.

The ultimatum was issued hours after senior officials from government, intelligence and state-run telecom operators met to discuss how to gain access to the content, the latest global headache for Research In Motion (RIM).

In a matter of a few weeks, the BlackBerry device - long the darling of the world's CEOs and politicians - has become a target for its sealed email and messaging services with governments around the world.

An Indian Home Ministry spokesperson said that if the demands were not met phone operators would be required by law to close the rock-solid encrypted BlackBerry Enterprise email and Messenger services running through their networks.

The Indian demands follow a deal with Saudi Arabia, where a source said RIM agreed to give authorities codes for BlackBerry Messenger users. The United Arab Emirates, Lebanon and Algeria also seek access.

Bharti Airtel and Vodafone's India unit are the largest providers of BlackBerry services in India, the world's fastest growing mobile phone market. A shutdown would affect one million of the smartphone's 41 million users. India is one of RIM's fastest growing markets.