China Telecom Is Banned From the U.S. Market, Raising Tension With Beijing

China Telecom Is Banned From the U.S. Market, Raising Tension With Beijing
·1 min read

The U.S. Federal Communications Commission voted Monday to “revoke and terminate” a unit of China Telecom removing its authorization to operate in the U.S., citing “potential security threats.” China Telecom (Americas) Corp (ticker: CN:601728) “is subject to exploitation, influence, and control by the Chinese government and is highly likely to be forced to comply with Chinese government requests,” the FCC noted. Beijing’s control presents “significant national security and law enforcement risks,” the FCC added, and could allow China to “access, store, disrupt, and/or misroute U.S. communications.”

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