From July 22, 2022 post.
Today, Rep. Cindy Axne (IA-03) wrote to Congressional leadership asking for critical funding to be included in the Chips Act for America to allow rural telecommunications providers to replace potentially dangerous Chinese network equipment.
Many small cell phone and internet providers, unaware of the risks posed by foreign actors, have already built out networks using routers, antenna, and other equipment from Huawei and ZTE, two Chinese companies with government ties, because in previous years foreign options have been less expensive and allowed rural providers to deploy service faster.
Congress passed legislation in 2020 to require replacing this equipment, and provided some funding for small providers to replace this equipment. However, the demand for this program was wider than expected, and more funding is needed. This funding is especially important to build out broadband service through the Bipartisan Infrastructure Law.
“The FCC reported last week that they had a shortfall of more than $3 billion to fully fund the necessary replacement. This shortfall threatens the ability of internet providers to properly replace this risky equipment – and jeopardizes both our national security and our goals of delivering high-speed internet to every American,” Rep. Axne wrote. “Both the public and private sector will benefit from certainty of funding to replace this equipment, and the sooner that occurs, the sooner all Americans will be better protected from foreign threats. I urge you to include additional funding to replace network equipment as you move forward with the Chips Act for America and upcoming government funding legislation.”
Dear Speaker Pelosi and Leaders McCarthy, Schumer, and McConnell:
We write to urge you to include critical funding to allow rural telecommunications providers to replace potentially dangerous Chinese network equipment as you finalize the Chips Act for America and work on upcoming government funding legislation.
More than two years ago, Congress passed the Secure and Trusted Communications Networks Act (STCNA), recognizing the importance of protecting American networks from harmful foreign actors. Many small cell phone and internet providers, unaware of the risks, had built out networks using routers, antenna, and other equipment from Huawei and ZTE, two Chinese companies with government ties, because it was less expensive and allowed them to deploy service faster.
Congress recognized that while large networks could likely manage to replace equipment on their own, smaller providers are already stretched thin and would likely need assistance, so we appropriated a total of $1.9 billion to support those replacement efforts through the Federal Communications Commission (FCC). Unfortunately, it appears the need is far greater. The FCC reported last week that they had a shortfall of more than $3 billion to fully fund the necessary replacement. This shortfall threatens the ability of internet providers to properly replace this risky equipment – and jeopardizes both our national security and our goals of delivering high speed internet to every American.
Any piece of compromised equipment could potentially risk the security of the broader network it is connected to, requiring full replacement to protect our security. In addition, much of this equipment is critical to our effort to build out broadband service nationally. The National Telecommunications and Information Administration (NTIA) is working to distribute the more than $42 billion to build out additional broadband service provided by the Bipartisan Infrastructure Law, and the effectiveness of that funding will be weakened if we do not support small telecom companies in replacing this equipment.
The time to provide this funding is now. Next week, the Senate is expected to continue its work on the Chips Act for America, legislation focused on investing in American technology infrastructure, research and development, and competitiveness with China. That includes an appropriation to invest in American semiconductor manufacturing, since having those manufactured domestically will help protect our national security, in addition to supporting American jobs.
We believe these same goals would be served by additional funding to replace Chinese network equipment, and that the need is urgent. Telecom companies are currently placing orders and working to build out service, and as we speak, States are formulating their plans for how best to use the $42 billion from the Bipartisan Infrastructure Law. Both the public and private sector will benefit from certainty of funding to replace this equipment, and the sooner that occurs, the sooner all Americans will be better protected from foreign threats.
We urge you to include additional funding to replace network equipment as you move forward with the Chips Act for America and upcoming government funding legislation.
Sincerely,
Original source can be found here
