London Daily

Focus on the big picture.
Tuesday, Dec 09, 2025

US telecoms regulator designates China’s Huawei, ZTE as national security threats

US telecoms regulator designates China’s Huawei, ZTE as national security threats

US tech firms are banned from using Universal Service Fund to purchase or support any equipment or services provided by these suppliers. The announcement is a step forward in restricting 5G technological equipment made by Chinese companies from entering US telecoms infrastructure

The US telecommunications watchdog on Tuesday designated two Chinese companies – Huawei Technologies and ZTE – as security threats and banned American firms from using a fund to purchase their products.

Federal Communications Commission Chairman Ajit Pai said in a statement: “Based on the overwhelming weight of evidence,” the agency has identified the two companies as well as their parents, affiliates, and subsidiaries “as national security risks to America’s communications networks – and to our 5G future”.

“Both companies have close ties to the Chinese Communist Party and China’s military apparatus, and both companies are broadly subject to Chinese law obligating them to cooperate with the country’s intelligence services,” said Pai.

American tech firms will not be authorised to use money from the FCC’s annual US$8.3 billion Universal Service Fund to purchase or support any equipment or services provided by these suppliers, effective immediately.

The Universal Service Fund, established in 1997, is a programme of telecoms subsidies for companies to purchase equipment and service to maximise telecoms services access in the country. The programme typically funds between US$5 billion to US$8 billion each year.

Meanwhile, British Prime Minister Boris Johnson toughened his stance on Huawei, telling reporters on that on the company, “the position is very, very simple.”

“I do want to see our critical national infrastructure properly protected from hostile state vendors, so we need to strike that balance and that’s what we’ll do,” said Johnson.

A Huawei representative didn’t immediately respond to an email seeking comment.

Tuesday’s announcement by the FCC is a step forward in restricting 5G technological equipment made by Chinese companies from entering US telecommunications infrastructure.

And Britain’s statement showed a sea change in Huawei’s position in Europe, where a number of governments have been resisting requests by the Trump administration to exclude the Chinese telecoms provider.

Johnson, who in January allowed Huawei a limited role in Britain’s 5G network, has faced intense pressure from its own lawmakers to ban the 5G equipment maker for security reasons.

UK’s Culture Secretary Oliver Dowden told Parliament Tuesday that Huawei will not be part of the UK’s 5G networks in the long term, adding that he welcomes approaches from alternative vendors including South Korea’s Samsung Electronics and Japan’s NEC.

The FCC has proposed that Huawei and ZTE be added to this rule since November. The companies posed a national security threat to the integrity of communications networks or the communications supply chain, the FCC had said then.

In March, US President Donald Trump signed legislation to bar rural telecoms carriers from using US subsidies to purchase network equipment from companies deemed a national security threat, including Huawei and ZTE. Existing products in the system are required to be ripped out and be replaced.

The FCC is establishing a programme to assist small providers with the costs of removing prohibited equipment or services from their networks.

“Once you get through all of that rip and replace, you clear out the underbrush problems of 5G spectrum, you start looking at how can the government compete against the Chinese government who, I would argue, illegally subsidises these contracts around the world,” said Mike Rogers, former House Intelligence Committee chairman.

“Then look at what benefits we can give to research and development for things like Open RAN or other technologies that are closing on the horizon. We need to ramp all of that together and understand that we’re going to be competitive. It’s in our national security interest,” Rogers said on Tuesday at a discussion about 5G hosted by the United States Telecom Association, a trade organisation representing companies such as AT&T and Cisco.

The US telecoms authority has been cracking down on Chinese firms after Congress criticised that the government agencies – Homeland Security, Justice and Defence – which advise the FCC on national security risks lacked consistent oversight in analysing threats by Chinese telecommunications companies.

US government officials have warned that Chinese state-owned carriers are subject to exploitation, influence, and control by the Chinese government and can be used in the Chinese government’s cyber and economic espionage efforts targeted at the United States.

ZTE, a Chinese telecoms giant, was cut off from doing business in the US in 2018 after the government found out the firm sold products to US-sanctioned Iran.

The company later agreed to pay US$1.4 billion in fines and was saved from the brink of collapse after US President Donald Trump directed the Commerce Department to lift the ban as a favour to his Chinese counterpart Xi Jinping.

Huawei – the Chinese telecoms company that is a key player in next-generation 5G technology – has been a top target by the Trump administration. The company was placed on an “entity list” last May, barring it from buying critical components from its American suppliers.

Telecommunications companies, while acknowledging the importance to safeguard national security, cautioned against policies that simply excludes Chinese firms.

“Things like the export control restrictions and other things that the US government’s looking at vis-a-vis China are so significant. But at the end of the day, industry needs to have a broad base of suppliers,” said Chris Boyer, vice-president of global security and technology policy at AT&T on Tuesday. “What we’d like to see is policies that will help advance more competition and more diversity in the supply chain.”

The FCC has recently moved toward revoking the licenses or refused to issue licenses for China Mobile, China Telecom, and China Unicom, commonly referred to as the “Big Three”, to provide telecoms services in the US.

Also on Tuesday, Indian government ministers discussed the 5G rollout plans and whether Huawei should be allowed to participate, according to a report from the The Times of India.




Newsletter

Related Articles

0:00
0:00
Close
UK Consumer Spending Falters in November as Households Hold Back Ahead of Budget
UK Orders Fresh Review of Prince Harry’s Security Status After Formal Request
U.S. Authorises Nvidia to Sell H200 AI Chips to China Under Security Controls
"App recommendation" or disguised advertisement? ChatGPT Premium users are furious
"The Great Filtering": Australia Blocks Hundreds of Thousands of Minors From Social Networks
Mark Zuckerberg Pulls Back From Metaverse After $70 Billion Loss as Meta Shifts Priorities to AI
Nvidia CEO Says U.S. Data-Center Builds Take Years while China ‘Builds a Hospital in a Weekend’
Indian Airports in Turmoil as IndiGo Cancels Over a Thousand Flights, Stranding Thousands
Hollywood Industry on Edge as Netflix Secures Near-$60 Bln Loan for Warner Bros Takeover
Drugs and Assassinations: The Connection Between the Italian Mafia and Football Ultras
Hollywood megadeal: Netflix acquires Warner Bros. Discovery for 83 billion dollars
The Disregard for a Europe ‘in Danger of Erasure,’ the Shift Toward Russia: Trump’s Strategic Policy Document
Two and a Half Weeks After the Major Outage: A Cloudflare Malfunction Brings Down Multiple Sites
UK data-regulator demands urgent clarity on racial bias in police facial-recognition systems
Labour Uses Biscuits to Explain UK Debt — MPs Lean Into Social Media to Reach New Audiences
German President Lays Wreath at Coventry as UK-Germany Reaffirm Unity Against Russia’s Threat
UK Inquiry Finds Putin ‘Morally Responsible’ for 2018 Novichok Death — London Imposes Broad Sanctions on GRU
India backs down on plan to mandate government “Sanchar Saathi” app on all smartphones
King Charles Welcomes German President Steinmeier to UK in First State Visit by Berlin in 27 Years
UK Plans Major Cutback to Jury Trials as Crown Court Backlog Nears 80,000
UK Government to Significantly Limit Jury Trials in England and Wales
U.S. and U.K. Seal Drug-Pricing Deal: Britain Agrees to Pay More, U.S. Lifts Tariffs
UK Postpones Decision Yet Again on China’s Proposed Mega-Embassy in London
Head of UK Budget Watchdog Resigns After Premature Leak of Reeves’ Budget Report
Car-sharing giant Zipcar to exit UK market by end of 2025
Reports of Widespread Drone Deployment Raise Privacy and Security Questions in the UK
UK Signals Security Concerns Over China While Pursuing Stronger Trade Links
Google warns of AI “irrationality” just as Gemini 3 launch rattles markets
Top Consultancies Freeze Starting Salaries as AI Threatens ‘Pyramid’ Model
Macron Says Washington Pressuring EU to Delay Enforcement of Digital-Regulation Probes Against Meta, TikTok and X
UK’s DragonFire Laser Downs High-Speed Drones as £316m Deal Speeds Naval Deployment
UK Chancellor Rejects Claims She Misled Public on Fiscal Outlook Ahead of Budget
Starmer Defends Autumn Budget as Finance Chief Faces Accusations of Misleading Public Finances
EU Firms Struggle with 3,000-Hour Paperwork Load — While Automakers Fear De Facto 2030 Petrol Car Ban
White House launches ‘Hall of Shame’ site to publicly condemn media outlets for alleged bias
UK Budget’s New EV Mileage Tax Undercuts Case for Plug-In Hybrids
UK Government Launches National Inquiry into ‘Grooming Gangs’ After US Warning and Rising Public Outcry
Taylor Swift Extends U.K. Chart Reign as ‘The Fate of Ophelia’ Hits Six Weeks at No. 1
250 Still Missing in the Massive Fire, 94 Killed. One Day After the Disaster: Survivor Rescued on the 16th Floor
Trump: National Guard Soldier Who Was Shot in Washington Has Died; Second Soldier Fighting for His Life
UK Chancellor Reeves Defends Tax Rises as Essential to Reduce Child Poverty and Stabilise Public Finances
No Evidence Found for Claim That UK Schools Are Shifting to Teaching American English
European Powers Urge Israel to Halt West Bank Settler Violence Amid Surge in Attacks
"I Would Have Given Her a Kidney": She Lent Bezos’s Ex-Wife $1,000 — and Received Millions in Return
European States Approve First-ever Military-Grade Surveillance Network via ESA
UK to Slash Key Pension Tax Perk, Targeting High Earners Under New Budget
UK Government Announces £150 Annual Cut to Household Energy Bills Through Levy Reforms
UK Court Hears Challenge to Ban on Palestine Action as Critics Decry Heavy-Handed Measures
Investors Rush Into UK Gilts and Sterling After Budget Eases Fiscal Concerns
UK to Raise Online Betting Taxes by £1.1 Billion Under New Budget — Firms Warn of Fallout
×