FCC rejects China Mobile application to provide US services

News Wireless China 9 MEI 2019
FCC rejects China Mobile application to provide US services
The US Federal Communications Commission (FCC) has rejected China Mobile USA’s application to offer telecom services between the US and foreign destinations. The US watchdog says its decision follows a review by the Commission and consultations with Executive Branch agencies which have expertise in national security and law enforcement.

In the Memorandum Opinion and Order adopted by the Commission on 9 May, the FCC claims China Mobile USA has not demonstrated that its application for the authority to provide international telecom services is in the public interest. The FCC found that, due to factors related to China Mobile USA’s ownership and control by the Chinese government, grant of the application would raise ‘substantial and serious national security and law enforcement risks that cannot be addressed through a mitigation agreement between China Mobile and the federal government”. 

Delaware-based China Mobile USA is owned and controlled by the People’s Republic of China. Back in 2011, China Mobile USA requested authority under Section 214 of the Communications Act and section 63.18 of the Commission’s rules to offer international facilities-based and resale services between the US and foreign destinations. 

In 2018, after the review of the application, discussions with the applicant, and consultation with the US intelligence community, the US Department of Commerce’s NTIA recommended, on behalf of Executive Branch agencies, to deny China Mobile USA’s application.

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