* India security worries echo other countries' concerns
* India says begins accessing some BlackBerry communications
* Expanded scrutiny may even help RIM - analyst

By C.J. Kuncheria and Alastair Sharp

NEW DELHI/TORONTO, Sept 1 (Reuters) - India added Google
and Skype to its electronic security crackdown on Wednesday and
began accessing some of the traffic carried on its initial
target, Research In Motion's BlackBerry.

In the latest salvo of a campaign driven by fear that
unmonitored email puts Indian security at risk, Home Secretary
G.K. Pillai said notices were being sent to Google and
Skype asking them to set up servers in India and allow
officials access to web data that militants could misuse.

A Google spokeswoman based in India said the company had
not yet received any such government request. "If and when we
do, we will review and respond," she said.

Analysts said a crackdown that includes Google's email and
software services, or internet phone company Skype could end up
helping RIM , which was India's initial target in its
efforts to monitor electronic messages.

It could push corporations to think twice before ditching
their BlackBerrys.

"It probably makes enterprises realize there's not much
benefit in trying to go elsewhere because the same situation
applies to everybody," said Matthew Robison from Wunderlich
Securities.

Other countries, mostly in the Middle East, also fear
consumers might use the BlackBerry to aid terrorism or peddle
pornography. RIM has insisted it cannot decode the encrypted
corporate email that is at the heart of its business.

<^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
For a Q+A on BlackBerry's security, click [ID:nN12132220]
For a graphic on countries with Blackberry concerns , click:
http://link.reuters.com/ryr37n
For a FACTBOX on BlackBerry's problems in India, click,
[ID:nSGE67P0AR]
For a SCENARIOS in case India bans BlackBerry, click
[ID:nSGE67T08D]
^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^>

It's unclear exactly what BlackBerry traffic India is
accessing. But any change could impact the shape of India's
mobile phone market, the world's fastest-growing, and possibly
hand gains to Apple Inc and Nokia,
BlackBerry's two biggest smartphone rivals in India.

Data sent from non-RIM devices are easier to intercept and
only require the approval of the carrier, whereas RIM says
carriers have no access to its encrypted data.

LOW-COST RESOLUTION

Few analysts see an Indian ban for RIM as likely and most
expect a relatively quick resolution at a marginal expense.

"The only near-term concern, and it is probably going to be
a temporary thing, is distributors, carriers, customers and
retailers may hold off on purchasing if there is concern a ban
could go into effect," said Avian Securities analyst Matthew
Thornton.

India's Home Minister Palaniappan Chidambaram said RIM had
begun giving India access to its secure data from Wednesday.

"Discussions for technical solutions for further access are
continuing and the matter will be reviewed within 60 days,"
Chidambaram said in a statement.

Shares in RIM were up almost 2 percent in Toronto, just
above a 20-month intraday low. The shares lost more than 18
percent of their value last month as growth in its marquee
secure email services came under pressure. [ID:nN27271835]

Analysts said a complete shutdown of BlackBerry or Google
may not be in India's economic interest, nor would it
necessarily help track militants, who can easily switch to more
ad-hoc methods.

In addition, India is keen to retain its position as a
leading information-technology nation and a BlackBerry ban
would jeopardize its status and limit the efficiency of Indian
and international businesses that rely on the smartphone.

"There could be various ramifications for this. If this
happens, every other country may want a similar thing and then
the whole issue of efficiency and management of the services
and data will become difficult," said Romal Shetty, director at
consultancy KPMG.

A BlackBerry shutdown would affect about 1 million users in
India out of a total 41 million BlackBerry users worldwide.

Analysts see no easy final fix as RIM says it has no way of
intercepting the data that countries want to access. RIM has
denied media reports that say it provided unique wireless
services or access to any one country. [ID:nWEN8334]
(Additional reporting by Sumeet Chatterjee and Devidutta
Tripathy; Writing by Krittivas Mukherjee and Alastair Sharp;
Editing by Janet Guttsman)