Huawei: FCC proposal would hurt poor, rural communities

Huawei: FCC proposal would hurt poor, rural communities
© Getty

Chinese telecommunications giant Huawei is fighting back against some of the negative claims that U.S. government officials have been making about the company in recent months.

In a Thursday filing with the Federal Communications Commission (FCC), Huawei focused on recent moves by the agency to restrict rural carriers from purchasing telecommunications equipment made by Huawei and other Chinese companies.

ADVERTISEMENT

Huawei, with the help of telecommunications economist Allan Shampine, argued that by imposing new rules, the agency could hurt poor, rural communities.

“These high costs, which would particularly harm Americans in remote and low-income areas, cannot be justified by the supposed national security benefits of the proposed rule, because these are speculative,” Huawei wrote.

The company argued that some rural providers would likely stop participating in the Universal Service Fund (USF), an FCC program that subsidizes broadband and telecommunications services and equipment for low-income households and communities.

Huawei said it would make more sense for them to do this, than to “rip out and replace their core network.”

Many small, rural providers rely on Huawei equipment.

“At best, the proposed rule would only target one of many potential threats to the integrity of the supply chain, leaving many other vulnerabilities unaddressed,” Huawei argued.

The FCC in April voted in favor of considering a rule to not spend USF money on equipment from companies that pose a national security threat.

Their consideration of the policy was a direct response to prodding from lawmakers, such as Sen. Tom CottonThomas (Tom) Bryant CottonOvernight Defense: Fallout from tense NATO summit | Senators push to block ZTE deal in defense bill | Blackwater founder makes new pitch for mercenaries to run Afghan war Hillicon Valley: DOJ appeals AT&T-Time Warner ruling | FBI agent testifies in heated hearing | Uproar after FCC changes rules on consumer complaints | Broadcom makes bid for another US company | Facebook under fire over conspiracy sites Hillicon Valley: Justice Department appeals AT&T-Time Warner ruling | New report on election security | FBI agent testifies in marathon hearing MORE (R-Ark.), who have warned of the national security risks that Chinese telecommunications companies pose.

Cotton and others, including Sen. Marco RubioMarco Antonio RubioRubio: Trump's remarks on Russian election meddling 'not accurate' The Hill's Morning Report — Trump, Putin meet under cloud of Mueller’s Russia indictments Scottish beer company offering ‘tiny cans’ for Trump’s ‘tiny hands’ MORE (R-Fla.) and Rep. Mike ConawayKenneth (Mike) Michael ConawayHuawei: FCC proposal would hurt poor, rural communities Senate panel upholds finding that Russia backed Trump, contradicting House Trump era ramps up tech worker revolt MORE (R-Texas), have moved to push other Chinese telecommunications firms out the of the U.S. by attempting to reimpose harsh penalties on ZTE for violating sanctions.

Other agencies, such as the Defense Department, have taken action as well. The Pentagon earlier this year barred Huawei and ZTE from selling phones on U.S. military bases.