FCC begins process of halting China Telecom U.S. operations (updated)
10/12/2020 17:32
(Adds FCC action on China Telecom)
By David Shepardson
WASHINGTON, Dec 10 (Reuters) - The U.S. Federal
Communications Commission (FCC) said on Thursday it begun the
process of revoking China Telecom's authorization to operate in
the United States as it took further steps to crack down on
China's role in U.S. telecommunications.
FCC Chairman Ajit Pai noted several U.S. government agencies
had recommended the revocation citing national security
concerns. Pai said there are "significant concerns" that China
Telecom will be forced to comply with Chinese government’s
requests for information, including communications intercepts.
China Telecom, the largest Chinese telecommunications company,
has had authorization to provide telecommunications services for
nearly 20 years.
China Telecom Americas did not have an immediate comment.
The FCC in April had warned it might shut down the U.S.
operations of three state-controlled Chinese telecommunications
companies, citing national security risks, including China
Telecom Americas 0728.HK as well as China Unicom Americas
0762.HK , Pacific Networks Corp and its wholly owned subsidiary
ComNet (USA) LLC. urn:newsml:reuters.com:*:nL2N2CC10V
The U.S. Justice Department and other federal agencies in
April called on the FCC to revoke China Telecom's ability to
operate in the United States. urn:newsml:reuters.com:*:nL2N2BX1Z1
In May 2019, the FCC voted unanimously to deny another
state-owned Chinese telecommunications company, China Mobile Ltd
0941.HK , the right to provide services in the United States,
citing risks that the Chinese government could use the approval
to conduct espionage against the U.S. government.
The FCC also on Thursday rejected a petition from Huawei
Technologies Co Ltd HWT.UL asking the agency to reconsider its
decision designating the Chinese company as a U.S. national
security threat to communications networks.
The FCC said in June it had formally designated China’s
Huawei and ZTE Corp 000063.SZ as threats, a declaration that
bars U.S. firms from tapping an $8.3 billion government fund to
purchase equipment from the companies. The FCC affirmed its ZTE
designation last month. urn:newsml:reuters.com:*:nL1N2E71MS
<^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
FCC may halt U.S. operations of three state-controlled Chinese
telecom firms urn:newsml:reuters.com:*:nL2N2CC10V
U.S. agencies back revoking ability of China Telecom to operate
in U.S. urn:newsml:reuters.com:*:nL2N2BX1Z1
U.S. FCC issues final orders declaring Huawei, ZTE national
security threats urn:newsml:reuters.com:*:nL1N2E71MS
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(Reporting by David Shepardson, Editing by Franklin Paul and
Lisa Shumaker)
((David.Shepardson@thomsonreuters.com; 2028988324;))