China Telecom is said to have filed a lawsuit to overturn the US Federal Communications Commission’s (FCC) decision to withdraw the company’s license to operate in the nation. In late October, the FCC ordered China Telecom to cease offering domestic and international services according to recommendations from the Trump administration’s Justice Department.
China Telecom Americas, a subsidiary of a Chinese state-owned company based in the United States, is vulnerable to exploitation, sway, influence, and the Chinese government’s control. The FCC stated in its ruling that it is “very likely” to be forced to comply with Chinese government requests without adequate legal procedures subject to independent judicial scrutiny.
The Chinese government’s ownership and control of China Telecom Americas leads to significant national security and law enforcement threats by offering chances for China Telecom Americas, its parent corporations, and other Chinese companies, enabling the Chinese government to get access to, store, disrupt, or/and misdirect US communications, allowing them to conduct espionage and other destructive actions against the US.
Unless it is delayed or reversed, the order will take effect on December 4. Reuters reveals that China Telecom warned the US Appeals Court for the District of Columbia on Monday that the cancellation of its permission will affect its company, image, and connections irreparably.
The FCC had no proof that the corporation posed a national security or law enforcement threat. China Telecom’s argument is similar to Xiaomi’s request to be removed from the Department of Defense’s official list of Communist Chinese Military Companies (CCMC) at the start of the year.
Xiaomi claimed that the CCMC designation would create “immediate and irreparable injury to Xiaomi,” including limiting Xiaomi’s access to US financial markets in those court actions. The US courts finally ruled in Xiaomi’s favor, with the Defense Department agreeing to lift the embargo and enable the business to run in the country.
