The Federal Communications Commission (FCC) has requested further federal funds to remove equipment made by Chinese telecom giants Huawei and ZTE from American wireless networks.
In a letter to Maria Cantwell, Chair of the United States Senate Committee on Commerce, Science, and Transportation, the FCC stated that roughly 40% of US telecom businesses getting government support require more cash to address security vulnerabilities connected with these devices.
FCC Urges More Funds to Continue Barring Huawei, ZTE
The anticipated cost of dismantling the equipment is $4.98 billion, much beyond the $1.9 billion set for by Congress for the "rip and replace" program.
FCC Chair Jessica Rosenworcel underscored the urgency of the situation, warning that failure to get full financing might have serious ramifications, including network shutdowns for those carriers participating in the compensation scheme.
Reuters reported that Congress has yet to agree on the White House's request for an additional $3.1 billion to remove Chinese telecom network equipment under the Secure and Trusted Communications Networks agree.
In 2019, Congress directed the FCC to compel the removal of such devices from US telecom networks, particularly those that receive federal subsidies.
The law prioritizes financing for applications servicing less than two million consumers, with smaller firms now getting just 39.5% of replacement expenses.
Telecom companies face deadlines ranging from May 29 to February 4, 2025, to remove, replace, and dispose of all Huawei and ZTE equipment and services.
The consequences of insufficient funding are severe, especially in rural and remote locations where these carriers may be the only mobile broadband service providers.
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Chinese Telecom Equiment's Threats to US Security
Rosenworcel emphasized that failing to adequately resolve the issue might jeopardize national security by keeping vulnerable devices on the country's networks.
The FCC's request for increased funds comes amid worries about the security implications of Chinese telecom equipment, highlighting continuing efforts to protect the United States' telecommunications infrastructure from possible attacks.
The other concern is that without funding, cellphone operators may be forced to employ installed Huawei or ZTE equipment, which the US claims poses an espionage danger.
Overall, 64% of the program's firms have "indicated that the lack of full funding continues to be an obstacle to completing the permanent removal, replacement, and disposal of the covered communications equipment," Rosenworcel said, according to PCMag.
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