FCC poised to ban all U.S. sales of new Huawei and ZTE equipment

2022-10-15 03:02:18 By : Ms. Jay Wong

The Federal Communications Commission plans to ban all sales of new Huawei and ZTE telecommunications devices in the U.S. — as well as some sales of video surveillance equipment from three other Chinese firms — out of national security concerns, sources with direct knowledge of the private deliberations told Axios.

Why it matters: The move, which marks the first time the FCC has banned electronics equipment on national security grounds, closes a vise on the two Chinese companies that began tightening during the Trump administration.

Behind the scenes: On Oct. 5, FCC Chairwoman Jessica Rosenworcel circulated a draft order among her fellow commissioners. The order — which still needs to be voted on — would effectively ban new equipment sales in the U.S. from firms that pose a threat to national security, two sources with direct knowledge told Axios.

Yes, but: The ban is not retroactive, so the companies can continue to sell products that the FCC previously approved, one source told Axios.

What they're saying: "Hikvision presents no security threat to the United States," a Hikvision spokesperson told Axios in a statement. "There is no technical or legal justification for why Hikvision should be impacted by the forthcoming Federal Communications Commission (FCC) rules."

Flashback: The FCC was required to vote on the order within a year of the passage of the Secure Equipment Act, which President Biden signed into law on Nov. 11, 2021.