The U.S. Federal Communications Commission (FCC) has revoked the authority of China Unicom Americas to provide telecommunications services in the United States, citing national security risks. The decision followed earlier warnings from the company in regulatory filings that such an action could cause significant disruption to global communications networks.
The order, approved by a unanimous 4-0 vote in January 2022, requires the company, a U.S. subsidiary of a Chinese state-owned enterprise, to discontinue its domestic and international services in the U.S. within 60 days of the order’s publication.
In its official announcement, the FCC stated that China Unicom Americas is “subject to exploitation, influence, and control by the Chinese government.” The commission noted concerns that this control could allow the company “to engage in espionage and other harmful activities against the United States.” The decision concluded a regulatory review process that began in March 2021 when the FCC initiated proceedings to determine if the company’s authorization should be revoked.
FCC Chairwoman Jessica Rosenworcel stated at the time, “There has been mounting evidence—and with it, a growing concern—that Chinese state-owned carriers pose a real threat to the security of our telecommunications networks.”
This action was preceded by public filings in which China Unicom Americas presented its case to regulators. In documents submitted to the FCC, the company argued against the revocation. It stated that prohibiting U.S. carriers from interconnecting with its network could have significant consequences for global internet traffic and communications.
The company warned that such a move would impact its customers, which include multinational corporations that rely on its network for global connectivity. In its filings, China Unicom Americas maintained that it had a two-decade record of complying with U.S. regulations and had operated in good faith. It further argued that its operations were independent and not influenced by the Chinese government in a manner that would threaten U.S. security.
The revocation of China Unicom Americas’ license is part of a broader U.S. government effort addressing security concerns related to Chinese technology and telecommunications firms. In March 2021, the FCC designated five Chinese companies, including Huawei and ZTE, as threats to national security under the Secure and Trusted Communications Networks Act of 2019. In October 2021, the commission took similar action against China Telecom Americas, another major Chinese carrier, revoking its authority to operate in the U.S. on similar national security grounds.
Following the FCC’s decision, China’s Ministry of Commerce issued a statement calling the U.S. action a “malicious suppression of Chinese companies” and urged the U.S. to stop its “unreasonable suppression of Chinese companies.”
