The US FCC has ordered some US telecom companies to remove Huawei equipment from its network.
The Federal Communications Commission has also begun the process of revoking the license for China Telecom to operate in the United States.
The so-called “tear-and-replace” order is the latest US move against Huawei on national security grounds. The order includes subsidies for small telecom companies to remove and replace equipment. However, the Commission cannot in reality implement the payments without the approval of funding from Congress.
The Chairman of the Federal Communications Commission (Ajit Bei) said: Huawei has close ties with the Chinese military and intelligence communities as well as the Communist Party, and these relationships exist at “every level of the company – even its founder.”
“Concerns about Huawei are not just hypothetical: independent entities have identified many security vulnerabilities in Huawei equipment, and found them less secure than those of other companies, and the vulnerabilities may be present intentionally,” Bay said.
Bai said: Huawei is also subject to strict laws that oblige the company to assist and cooperate with Chinese intelligence services, and prevent them from disclosing that assistance.
The FCC will publish a list of communications equipment and services that have been identified as a national security risk. It estimated that the program would require at least $ 1.6 billion to compensate eligible service providers who take mostly federal subsidies to provide service in rural areas of the United States.
Huawei has long denied US accusations that it is a government-run company and a national security threat. In a statement, the company expressed its disappointment with the decision.
“This bypass is putting American citizens at risk in largely deprived rural areas – during a pandemic – when reliable contact is necessary,” the company said.
On Thursday, the FCC also rejected a petition from Huawei asking the agency to reconsider its decision to classify the company as a national security threat to telecom networks.
The Federal Communications Commission has also begun a process to revoke the license of China Telecom to provide local, interstate, and international telecommunications services within the United States.