The US Federal Communications Commission (FCC) has initiated a comprehensive investigation, which it terms a “broad inquiry“, into Chinese companies that are currently listed on its “Covered List”. These companies include Huawei, ZTE, and China Telecom, all of which the US government suspects have ties to the Chinese Communist Party. In 2022, the Biden administration prohibited the sale of communications equipment, video surveillance gear, and services from these companies, aiming to safeguard national security and prevent “unreliable communications equipment” from being authorized for use within US borders.

According to FCC Chairman Brendan Carr, the agency has grounds to believe that certain entities on the Covered List are still operating within the US. This is because these entities claim that the ban does not apply to “specific types of operations or otherwise.” They are “attempting to circumvent FCC restrictions by continuing to conduct business in the US on a private or ‘unregulated’ basis,” Carr stated.

This investigation marks the first significant initiative under the newly formed Council for National Security, established by Carr within the FCC. The primary objectives of this council are to reduce the American technology and telecommunications sectors’ dependence on foreign adversaries, minimize the country’s vulnerability to cyber threats and espionage, and ensure the US “emerges victorious in the strategic competition with China over critical technologies.”

The FCC plans to collect a broad range of information on entities listed on the Covered List, including details about their ongoing US operations and the activities of companies that may be supporting their operations. The agency stated it will “close any loopholes that have allowed untrustworthy, foreign adversary state-backed actors to evade its regulations.”