Huawei, ZTE fight against FCC national security threat classification

Huawei and ZTE have each filed comments with the Federal Communications Commission urging the agency not to move forward in designating the Chinese vendors as US national security threats, which would bar carriers from using the $8.5 billion Universal Service Fund to purchase equipment from those firms. Huawei asserts that the FCC’s decision was not evidence-based, and aimed to single out Huawei and ZTE, claiming external pressure on the agency from Congress. “The designation was not based on a sober, objective assessment of reliable evidence developed and considered through a fair and lawful process, but rather a gerrymandered recitation of ad hoc, Huawei-specific conclusions designed to implement a campaign by certain government officials, including members of Congress, to single out Huawei for burdensome and stigmatizing restrictions; put it out of business in the United States; and impugn its reputation around the world,” Huawei’s filing says. ZTE, meanwhile, asked the agency to take more time before making a final determination. The Chinese vendor specifically called out its progress in two key areas, citing compliance with US export controls and economic sanctions, and cybersecurity assurance.