April 29, 2025

Web and Technology News

The FCC is investigating whether Huawei, other Chinese companies are evading US ban

The US Federal Communications Commission has launched what it describes as a "sweeping investigation" on Chinese companies already on its "Covered List." Those companies include Huawei, ZTE and China Telecom, which the US government believes are aligned with the Chinese Communist Party. In 2022, the Biden administration banned the sale of communications equipment, video surveillance gear and services from those companies in an effort to protect the country's national security and ensure that "untrustworthy communications equipment is not authorized for use within [US] borders."

According to FCC Chairman Brendan Carr, the agency has reason to believe that some of the entities in the Covered List are still operating in the US, because they don't think the ban covers "particular types of operations or otherwise." These companies are "trying to make an end run around those FCC prohibitions by continuing to do business in America on a private or 'unregulated' basis," he said. 

This investigation is the first major initiative under the Council for National Security that Carr recently established within the FCC. The new council's main purposes is to reduce American technology and telecommunications sectors' reliance on foreign adversaries, mitigate the country's vulnerability to cyberattacks and espionage, as well as to ensure that the US "wins the strategic competition with China over critical technologies."

The FCC intends to gather a wide range of information on entities in the Covered List, including details about their ongoing business in the US and the business of companies that may be aiding their operations. It said it will "close any loopholes that have permitted untrustworthy, foreign adversary state-backed actors to skirt [its] rules." 

This article originally appeared on Engadget at https://www.engadget.com/mobile/smartphones/the-fcc-is-investigating-whether-huawei-other-chinese-companies-are-evading-us-ban-150002185.html?src=rss
Previous Article

The 20 hottest open source startups of 2024

Next Article

Amazon Spring Sale Apple deals include the M4 Mac mini for $100 off

You might be interested in …

Twitter investors sue Elon Musk over stock manipulation claims

Elon Musk is facing yet another lawsuit over his planned Twitter acquisition. Reutersreports investors have sued the Tesla CEO for allegedly manipulating stock prices ahead of his $44 billion takeover bid. As in an earlier suit, Musk supposedly saved $156 million by failing to disclose that he’d bought more than a 5 percent stake in Twitter by March 14th, violating SEC rules. The investors said Musk only disclosed his investments in early April, when he revealed that he owned a 9.2 percent slice of the social network.

Musk’s post-announcement statements also amounted to manipulation, the investors said. They were particularly concerned about his claim that the deal was “on hold” until Twitter could prove that bots weren’t a major problem and represented less than 5 percent of accounts.

The plaintiffs in the case are hoping for class action status, and ask for unspecified damages if they’re successful. Twitter has declined comment, and Musk hadn’t responded to Reuters‘ requests for comment.

Musk’s hoped-for purchase has already sparked a flurry of legal action. In addition to the previously mentioned lawsuit from April, a Florida pension fund sued Musk for purportedly violating a Delaware law that would bar the merger until 2025. The SEC, meanwhile, is investigating Musk’s disclosure timing. There’s no certainty any of these actions will succeed, but they still pose serious challenges to Musk’s ambitions.

Leave a Reply

Your email address will not be published. Required fields are marked *