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Wassenaar agreement not to apply to free software?

The Free Software Foundation states that the Wassenaar agreement does not apply to free-software. It'd be nice to know why. Is this a provision for research, or some sort of loophole? Link countesy of Linux Today.
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Wassenaar agreement not to apply to free software?

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GREAT MOMENTS IN HISTORY (#7): April 2, 1751 Issac Newton becomes discouraged when he falls up a flight of stairs.

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