". . .the best introduction to cryptography I've ever seen. . . .The book the National Security Agency wanted never to be published. . . ." - Wired Magazine
". . .monumental . . . fascinating . . . comprehensive . . . the definitive work on cryptography for computer programmers . . ." - Dr. Dobb's Journal
". . .easily ranks as one of the most authoritative in its field." - PC Magazine
". . .the bible of code hackers." - The Millennium Whole Earth Catalog
This new edition of the cryptography classic provides you with a comprehensive survey of modern cryptography. The book details how programmers and electronic communications professionals can use cryptography-the technique of enciphering and deciphering messages-to maintain the privacy of computer data. It describes dozens of cryptography algorithms, gives practical advice on how to implement them into cryptographic software, and shows how they can be used to solve security problems. Covering the latest developments in practical cryptographic techniques, this new edition shows programmers who design computer applications, networks, and storage systems how they can build security into their software and systems.
What's new in the Second Edition?
Applied Cryptography by Bruce Schneier is an old book, especially in computer time; it was out before Mark Zukerberg started high school and still it is the first book anyone who wants to understand the details of computer cryptography needs to read (the second book is Practical Cryptography). The value of this book is, first and foremost, the way it breaks down and explains every type of cryptographic primitive and protocol. You will learn all about the building blocks of cryptography and key management in this book, even if there are new cryptographic algorithms, the building blocks and key management protocols are still the same.
After reading this book you will not be able to create your own secure cryptographic algorithm and most likely will not be able to securely implement a cryptographic protocol with a third party cryptographic library. But you will have a firm understanding of the fundamentals of cryptography which is vital before you attempt create or implement cryptography. This book is a heavy read, but a vital one to anyone who needs more then a very basic understanding of cryptography.
Of course Bruce's book (even the second edition) is very dated in terms of the specific ciphers and hash functions that are prominently featured. But those will continue to evolve as time passes; no book is going to capture the modern developments for long.
The real value of Applied Cryptography is the fundamental understanding (and interest, in my case) it helps to build. Intros to terminology, theory, practical implementations, attack models, and protocol weaknesses are outlined here in great detail. I can honestly say that this book - along with lots of openssl / gnupg tinkering - have put a functional (for my sysadmin purposes) cryptography foundation within my grasp.
NB: this book is old enough that it pays to shop around for a used copy in good condition.