In a statement released today on the Federal Communications Commission's (FCC) website, FCC chairman Ajit Pai said that he opposes China Mobile's attempt of becoming a USA telecommunications provider.
FCC said China Mobile USA is a DE corporation that is indirectly and ultimately owned and controlled by the Chinese government.
FCC chairman Ajit Pai has announced that he will deny an application from the world's largest mobile carrier to operate in the United States.
"Therefore, I do not believe that approving it would be in the public interest", Pai said in a statement. China Mobile first filed an application all the way back on September 1, 2011, requesting authority to provide worldwide facilities-based and resale telecommunications services between the USA and what was referred to as "foreign destinations".
We've reached out to China Mobile for comment and will update this story if we hear back. The draft Order would also find that China Mobile is vulnerable to exploitation, influence, and control by the Chinese government.
China Mobile first applied back in September 2011 for a license to provide facilities based and resale telecommunications services between the U.S. and overseas destinations.
China Mobile first filed its application in 2011, but no action was taken until past year, when the Commerce Department recommended that the FCC reject it amid "concerns about increased risks to US law enforcement and national security interests [that were] unable to be resolved".
It's unclear whether or not other commissioners feel the same way about China Mobile as Pai. China Mobile offered potential solutions to mitigate the presumed risk, but the NTIA found these were not sufficient. Efforts, which include failed attempts to get European allies to block equipment makers Huawei and ZTE, have focused on potential national security risks posed by Chinese involvement in the sector. They have also charged Huawei and its affiliates with bank and wire fraud on allegations that they violated sanctions against Iran. Pai said on Friday that proposal is still pending.
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