U.S. House to vote on $3 billion plan to remove Chinese telecom equipment
WASHINGTON – The U.S. House of Representatives is set to vote next week on an annual defence bill that includes over $3 billion in funding for U.S. telecom companies to remove equipment made by Chinese telecom firms Huawei and ZTE from American wireless networks.
The Federal Communications Commission (FCC) has estimated that removing this equipment will cost $4.98 billion, yet Congress previously approved only $1.9 billion for the “rip and replace” program.
FCC Chair Jessica Rosenworcel last week called on the U.S. Congress to provide urgent additional funding, saying the program to replace equipment in the networks of 126 carriers faces a $3.08 billion shortfall.
She has warned that the lack of funding could lead to the shutdown of some rural networks, potentially eliminating the only provider in certain areas and thwarting 911 services.
Competitive Carriers Association CEO Tim Donovan on Saturday praised the announcement, saying, “Funding is desperately needed to fulfil the mandate to remove and replace covered equipment and services while maintaining connectivity for tens of millions of Americans.”
Senate Commerce Committee Chair Maria Cantwell stated that funding for the program, along with up to $500 million for regional tech hubs, will be covered by proceeds from a one-time spectrum auction conducted by the FCC. This auction, for advanced wireless spectrum in the AWS-3 band, aims to address the growing spectrum demands of wireless consumers.
