US carriers ask the FCC for $5.6 billion to switch Huawei and ZTE gear

US carriers ask the FCC for .6 billion to switch Huawei and ZTE gear



The value of eradicating Chinese gear from American wi-fi networks is prone to price greater than the federal government had anticipated. According to Federal Communications Commission Chairwoman Jessica Rosenworcel, US carriers have requested roughly $5.6 billion in reimbursements to “rip and replace” their present Huawei and ZTE infrastructure.

In 2019, the FCC voted unanimously to ban US carriers from utilizing the Universal Service Fund to subsidize the price of buying networking gear from firms deemed a “national security threat.” The first two companies the company added to that checklist have been Huawei and ZTE. In 2020, former President Donald Trump signed the Secure and Trusted Telecommunications Networks Act, mandating that carriers change gear from the 2 producers.

That identical yr, the FCC established a program to reimburse smaller telecom operators for changing gear the legislation had deemed a threat to nationwide safety. At the time, the company estimated it could price carriers greater than $1.8 billion to adjust to the order, and it subsequently put aside $1.9 billion to cowl reimbursements.

“While we have more work to do to review these applications, I look forward to working with Congress to ensure that there is enough funding available for this program to advance Congress’s security goals and ensure that America will continue to lead the way on 5G security,” Rosenworcel stated.

US carriers despatched 181 purposes to the FCC for funding assist earlier than the submitting window closed on January twenty eighth, 2022. As issues stand, the company solely has sufficient cash to grant a couple of third of all of the requests it obtained.


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