Committee Sends Secure Equipment Act to Full Senate

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The Senate Commerce Committee yesterday marked up and sent to the full Senate legislation yesterday aimed at protecting U.S. telecom networks from companies deemed to be a national security risk — especially Chinese companies such as Huawei, ZTE, Hikvision and Dahua. The bipartisan, bicameral bill directs the FCC to clarify that it will no longer review or approve applications from companies on the agency’s “covered list,” closing a loophole that previously allowed Chinese companies a way into U.S. networks.

In 2020, the FCC adopted new rules to require that U.S. telecoms “rip and replace” equipment provided by “covered” companies. That was an important step, however those rules only apply to equipment purchased with federal funding. The same equipment can still be used if purchased with private or non-federal government dollars. 

Senators Markey and Rubio introduced the Secure Equipment Act to close the loophole and further prevent identified security threats from having a presence in U.S. telecoms networks. Subsequently, the FCC initiated a rulemaking that mirrors the lawmakers’ proposal, Inside Towers reported. In fact, yesterday, the agency finalized its application process, cost catalog and replacement list for the “Rip & Replace” equipment reimbursement program.

In 2020, the FCC adopted new rules to require that U.S. telecoms “rip and replace” equipment provided by “covered” companies. That was an important step, however those rules only apply to equipment purchased with federal funding. The same equipment can still be used if purchased with private or non-federal government dollars. 

Reps. Anna Eshoo (D-CA) and Steve Scalise (R-LA) introduced companion legislation in the House; it was recently advanced by the House Commerce Committee.

FCC representatives praised the committee action. FCC Acting Chairwoman Jessica Rosenworcel said the measure “will help keep our country safe by ensuring that untrustworthy communications equipment is not authorized for use within our borders.” She added the latest efforts align with her efforts to update the agency’s equipment authorization procedures.

FCC Commissioner Brendan Carr said the measure “would help ensure that insecure gear from companies like Huawei, ZTE, and other Chinese state-backed entities can no longer be inserted into America’s communications infrastructure. This gear poses an unacceptable risk to our national security.”

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