US House to vote on $3b plan to replace Chinese telecom equipment

The US House of Representatives is preparing to vote next week on a key defence bill that allocates over $3 billion to help American telecom companies remove Chinese-made equipment from their wireless networks, addressing national security concerns.

The 1,800-page legislation, unveiled late Saturday, includes measures targeting China, such as requiring reports on efforts to bypass US security regulations and an intelligence assessment of China’s biotechnology capabilities.

The Federal Communications Commission (FCC) estimates the cost of replacing Huawei and ZTE equipment in US networks at $4.98 billion. However, Congress has so far allocated only $1.9 billion, leaving a shortfall of $3.08 billion. FCC Chair Jessica Rosenworcel has warned that without additional funding, some rural networks might shut down, jeopardising connectivity in remote areas and potentially disrupting 911 emergency services.

The proposal comes as Washington intensifies efforts to push allies to remove Chinese telecom equipment from their networks. Competitive Carriers Association CEO Tim Donovan welcomed the funding announcement, noting its critical role in maintaining connectivity for millions of Americans while adhering to security mandates.

In 2019, Congress directed the FCC to require telecom carriers receiving federal subsidies to remove Chinese equipment. Funding for the programme and an additional $500 million for regional tech hubs will be sourced from a one-time auction of advanced wireless spectrum in the AWS-3 band.

The White House had requested $3.1 billion for the programme earlier in 2023, emphasising its importance for safeguarding both national security and rural connectivity.

Attribution: Reuters

 

 

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