The FCC is moving to expel Hong Kong Telecom (HKT) from US telecom networks, citing national security concerns. The agency sent HKT an "Order to Show Cause," which directs the company to explain why the FCC should not begin revocation proceedings against it.
The 30-page order outlines the agency's reasoning, including a focus on applying new certification and disclosure requirements to entities "owned by, controlled by or subject to the jurisdiction or direction of a foreign adversary."
“Today’s Order continues the FCC’s work of ensuring that CCP-controlled entities that pose national security risks to our country cannot connect to our telecom networks,” said FCC Chairman Brendan Carr in a statement announcing the move. HKT is one of the largest telecommunications companies in Hong Kong and is a subsidiary of communications giant PCCW. Roughly 18 percent of PCCW is owned by China Unicom, a state-owned telecommunications company.
HKT is not the only target of the agency's ongoing effort to root out potential vulnerabilities. On October 28, the FCC will be voting on steps to further strengthen guardrails under its equipment authorization program to protect US networks and the communications supply chain against national security threats.
The past month has seen ramped-up regulatory activity from both China and the United States aimed at companies that operate in or generate revenues from one another’s markets. Chinese regulators have been investigating large tech acquisitions, telling local companies not to buy American AI chips and tightening export controls on rare earth minerals. Much of this comes against the backdrop of trade negotiations between the two countries.
This article originally appeared on Engadget at https://www.engadget.com/general/the-fcc-wants-to-expel-one-of-hong-kongs-biggest-telecom-operators-from-us-networks-155204605.html?src=rss
