The U.S. Federal Communications Commission (FCC) has denied an appeal from Huawei Technologies to reconsider its designation of the company as posing a national security threat to the safety of the U.S. communications network.
In a Memorandum Opinion and Order issued in mid-December, the Commission defends its June 2020 action to officially ban the use of monies from the Commission’s Universal Service Fund to purchase equipment or services from Huawei and other companies posing a threat to national security, noting the “overwhelming evidence of Huawei’s close ties to the Chinese Communist Party and China’s military and intelligence apparatus.”
According to the FCC, “the Commission’s review of the record found that Huawei is susceptible to Chinese government pressure to participate in espionage activities and that Huawei’s close ties to the Chinese military present significant risk.” The Commission also cites bans by other countries against the use of Huawei equipment as evidence of the potential threat.
Huawei filed an Application for Review in late July, challenging the FCC’s June Designation Order and arguing that the Commission lacked the authority to do so and that the Commission’s Public Safety and Homeland Security Bureau violated provisions of the Administrative Procedures Act in making its decision. However, in its Memorandum and Order, the Commission concludes that its decision to ban Huawei was based on a thorough assessment of the threat potential and that it acted within the full scope of its authority.