It is all likely for a Huawei vs. the US-based FCC situation to unfold within a New Orleans court pretty soon. The Chinese company is apparently not too happy about a decision being made by the US Federal Communications Commission. Reportedly, the FCC passed a bill last week that prohibits the US rural carrier consumers from using an $8.5 billion fund belonging to the government for the purpose of purchasing equipment from Chinese firms Huawei and ZTE. This was stated by the Wall Street Journal.
The previous week, the FCC voted in favor of removing any Huawei equipment from existing telecommunications networks spread across the US. This move would largely affect Huawei’s business related to telecom equipment in the US.
The US-based FCC has taken this step by citing security reasons. Apparently, it feels that with telecom-related equipment belonging to these two firms existing on their communication networks, there could be a high chance of spying on such networks. In response to this action, Huawei feels that the FCC has taken this decision on the basis of certain misunderstanding situations and selective pieces of information. It went on to add that this decision of the US would increase connectivity issues for the people residing in the not-so-well connected areas of America.
Huawei is expected to file a lawsuit sometime next week in the Fifth Circuit Court of Appeals in New Orleans against this step taken by the FCC. Terming this action as extremely unlawful, Huawei has stated that this decision taken by the US of banning telecom equipment from its networks would not work out in favor of many people residing in rural areas of the country.
Huawei feels that it has been isolated by the FCC owing to national security reasons; however, it does not have any solid proof stating that Huawei equipment could pose security risks. Rather, Huawei feels that the FCC has mistaken the Chinese law, wherein it feels that Huawei would come directly under the rule of the Chinese government.
The fight between Huawei and US agencies is not something new. Rather, it is a saga that has been going on for some time now. There have been instances in the past wherein the US government has tried to restrict Huawei’s products into entering the American market. However, at present, various regulations have been eased, and the existing Huawei customers in the US are still receiving the company’s services.
On the other hand, Huawei has accused the US agencies of cyberattacks and stated their behavior as extremely irrational and unacceptable. They have even gone to the extent to sue the US government. The company has not provided any specific details on this aspect so far. However, it is not at all surprising to note that Huawei can drag the US-based FCC to the courts.
By looking at these tense conditions and the various course of events, it does not seem that the situation between these two countries is all set to improve anytime soon. One can really hope that both these parties can settle the matter amicably, which works out in favor of the best interests of the people.