With the widespread use of the Internet, the popularity of group communication-based applications has grown considerably. Since most communications over the Internet involve the traversal of insecure networks, basic security services are necessary for these collaborative applications. These security services can be facilitated if the authorized group members share a common secret. In such distributed applications, key agreement protocols are preferred to key distribution protocols. In the past two decades, there have been many proposals for key agreement protocols. Most of these protocols are not efficient and limit the size of the underlying group. In this paper, we consider the scalability problem in group key agreement protocols. We propose a novel framework based on extension of the Diffie-Hellman key exchange protocol. The efficiency of our protocol comes from the clustering of the group members, where the common session key is established collaboratively by all participants. We present the auxiliary protocols needed when the membership changes. We show that our protocol is superior in complexity in both communication and computation over-heads required to generate the session key. Copyright © 2006 John Wiley & Sons, Ltd.