Chinese service provider defends US operating record

Pacific Networks and subsidiary ComNet (USA) defended their record of providing services in the US and pressed the Federal Communications Commission (FCC) not to revoke their operating licence, Reuters reported.

In a filing, the companies said they have conducted business in the US for 20 years without any FCC enforcement action, and insisted the Chinese government and the Communist Party never asked the businesses to act in a way which would “jeopardise the national security and law enforcement interests” of the US, the news agency wrote.

Pacific Networks is an international termination service provider, which the FCC said is indirectly owned by the Chinese government, an assertion the companies denied in their filing. They noted they “complied and cooperated” with the US government, Reuters stated.

In April, the FCC demanded Pacific Networks, China Telecom and China Unicom explain why it should not cancel clearances to operate in the US, requesting they prove they are not influenced or controlled by the Chinese government and do not pose a threat to national security.

Pacific Network and China Unicom were given until 1 June to file the information, and China Telecom until 8 June.

Increased pressure
In mid-April, China Telecom’s US subsidiary argued any move to terminate [1] an interconnection licence in the country would be unlawful, after the Departments of Justice, Homeland Security, Defence, State and Commerce pushed the FCC to withdraw its clearance.

Earlier in April, US President Donald Trump ordered a special committee be established to review telecoms licences [2] and applications to pinpoint potential national security threats.

And in May 2019, the FCC unanimously voted to block a China Mobile [3] interconnection licence application.

[1] https://www.mobileworldlive.com/featured-content/top-three/china-telecom-fights-for-us-licence/
[2] https://www.mobileworldlive.com/featured-content/top-three/trump-targets-non-domestic-telecom-licences/
[3] https://www.mobileworldlive.com/featured-content/top-three/china-mobile-denial-sparks-new-worry-at-fcc/

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