FCC may prevent mobile providers from receiving federal subsidies if they use Huawei & ZTE equipment

According to the Wall Street Journal reported that the U.S. Federal Communications Commission (FCC) is considering introducing a new regulation that would prevent small operators and mobile operators in rural remote areas from using products such as Huawei and ZTE in China. Business electronics. If operators use the electronic products of these Chinese manufacturers, they will not receive federal subsidies. According to reports, this new rule may be filed as early as next Monday, but it may also be postponed or shelved.

As a background, on March 22, US time, US President Trump signed the president’s memorandum. According to the results of the “301 investigation,” it will impose large-scale tariffs on goods imported from China and limit Chinese companies’ investment in M&A in the United States.

For the communications industry that was the first to participate in the global competition, since 2012, Huawei and ZTE have repeatedly been questioned and restricted by the United States because of issues related to “national security risks”.

On March 22, Reuters quoted sources as saying that Best Buy, the largest consumer electronics retailer in the United States, decided to stop selling Huawei phones in the United States. In January of this year, Huawei originally planned to announce at CES that it would cooperate with US operator AT&T to enter the U.S. market, and it eventually ran aground before the announcement. In the e-mail of a “US 18 MPs sent a letter to the Federal Communications Commission (FCC) Ajit Pai” in the media, US congressmen asked the FCC’s response to Huawei and US operators. The cooperation began an investigation and once again referred to the ban on Huawei devices issued by the US Congress in 2012. Shortly thereafter, Verizon, another major US operator, also terminated sales of Huawei mobile phones.