Sen. Marco Rubio (R-FL) wants the FCC to take “all appropriate actions” to ensure the compliance of “malign” Chinese telecoms operating in this country. He praises the Commission’s recent actions to block or restrict such companies from U.S. communications network infrastructure, but says “Now is the time to take immediate action.”
Specifically, Rubio wants the FCC to initiate audits, formal review processes, and other disciplinary actions against Chinese telecoms in the U.S. That’s given “concerning reports” that some may be noncompliant, or are otherwise attempting to evade the restrictions placed on them.
Rubio commends recent FCC action against China Unicom, China Telecom, China Mobile, Pacific Networks, and ComNet. But Chinese telecoms “are notorious” to the degree they’ll try to circumvent restrictions and avoid compliance, according to the Senator. He wants the agency to follow through on recently announced actions that include asking the Commission to ensure all recently indicted Chinese telecoms “totally discontinue U.S. services within the required time period; confirming that all Chinese telecommunication companies on the FCC’s ‘Covered List’ – including subsidiaries or reconstituted entities intended to evade U.S. regulations – remain fully blacklisted; and conducting audits or other formal reviews of additional Chinese telecommunications companies that may pose a risk to Americans.”
FCC Chairwoman Jessica Rosenworcel recently told Rubio she agrees the agency must do all it can to address these kinds of national security threats. That’s why the Commission initiated a “first-of-its-kind” process for revoking a foreign carrier’s authorization when national security concerns are raised.
Over the past year, the FCC used this process to revoke the Communications Act Section 214 authority of China Telecom Americas, China Unicom Americas, Pacific Networks Corp., and its wholly owned subsidiary, ComNet. As a result of these orders, these four companies are no longer authorized to provide any domestic or international telecommunications services in the United States that require Section 214 authorization from the Commission.
The Commission has taken steps to confirm that the companies are complying with the revocation orders and discontinuing their U.S.-based telecom services. Last October, the FCC ordered China Telecom Americas to stop services within the U.S. by January 3 of this year. The company complied, she says, but also sought a review in the U.S. Court of Appeals; that request is pending. China Unicom Americas, Pacific Networks and ComNet also complied, and also sought reviews.
However, China Telecom Americas asserted it would continue to operate its private carrier business in the United States after the January 3 deadline. These services include its International Private Leased Circuit, International Ethernet Private Line, and Multiple Protocol Label Switching/Virtual Private Network services. China Telecom Americas has said that it offers these services to enterprise customers and not to the general public, according to the Chairwoman. “The company is asserting that these non-MVNO services are private carrier services that do not require Section 214 or other Commission authorization and, as such, fall outside our statutory jurisdiction,” wrote Rosenworcel.
She says so far, the company hasn’t provided “verifiable” evidence needed to back its claim. She referred the case to the Enforcement Bureau and cannot comment further, other than to write: “Should the Enforcement Bureau conclude that one or more of these companies violated federal law, I intend to take swift action.”
By Leslie Stimson, Inside Towers Washington Bureau Chief
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