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Most requests for cash to replace Chinese telecom equipment, according to the FCC, are insufficient

Image: Reuters Berita 24 English -  On Wednesday, the Federal Communications Commission (FCC) informed Congress that it had discovered flaw...


Image: Reuters

Berita 24 English -  On Wednesday, the Federal Communications Commission (FCC) informed Congress that it had discovered flaws in two-thirds of applications for reimbursement of U.S. carriers for removing equipment from Chinese enterprises that were deemed national security concerns.

122 of the 181 applications filed by largely rural carriers under a $1.9 billion programme were deemed to be "first significantly defective," according to FCC Chair Jessica Rosenworcel.

The FCC has given applicants 15 days to revise their applications, and it "expects to finish this procedure by July 15," according to the agency.

The FCC presently estimates that removing Huawei and ZTE Corp's equipment from the "tear and replace" programme will cost $5.3 billion, far more than the amount set aside by Congress.

The FCC voted in July 2021 to complete the programme that Congress had funded in December 2020.

In July 2020, the FCC identified Huawei and ZTE as national security threats to communications networks, thereby barring US corporations from accessing a $8.3 billion government fund to buy equipment from the companies.

The FCC announced guidelines in December 2020 mandating carriers holding ZTE or Huawei equipment to "rip and replace" it.

Rural carriers are particularly affected, since they face high expenses and trouble getting people to dismantle and repair equipment.

"The FCC plan simply poses tremendous obstacles for carriers in the most rural/remote areas of the United States to retain the same high level and quality of service they deliver to their consumers without disruption," Huawei warned last year.

The FCC was mentioned in Rosenworcel's letter "would give priority to applicants with a budget of $2 million or less.

customers."

She stated that they should date "with the exception of one, all of the eligible

The first round of applicants falls into this category, and their collective demand surpasses the program's available money."



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