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FCC: Remove Huawei ZTE equipment at a cost of 1.8 billion US dollars

The U.S. Federal Communications Commission (FCC) said on the 4th local time that the U.S. rural telecom network operator, which has always relied on Huawei and ZTE’s low-cost network equipment, recently told the U.S. government that if it wants to remove or replace Huawei and ZTE’s equipment, it is expected to cost US$1.837 billion.

In November last year, the FCC identified Huawei and ZTE as companies that pose risks to US national security, and prohibited American rural telecom operators from using US$8.5 billion in government funds to purchase equipment or services from these two companies.

According to US media reports, in accordance with the "Secure and Trusted Communication Network Act" signed into effect by US President Trump in March this year, telecom operators must remove so-called "suspicious foreign network equipment." Although the federal government has established a set of procedures that it will reimburse operators for such expenses, so far, Congress has still not allocated this amount to operators.

The US technology website "Critical Point" has revealed that some US telecommunications companies purchase 500,000 US dollars (1 US dollar is about 6.9 yuan) of Huawei equipment, which can provide services to 4000 customers. If you want to replace equipment of the same level, the cost Will be between 1.2 million and 1.5 million US dollars.

Andy Purdy, a foreign executive of Huawei and a former U.S. Attorney, once pointed out that in the United States, about 40 rural telecom operators and tens of thousands of rural residents benefit from Huawei’s “safe and price-competitive” They are "unhappy" if they are forced to give up using these devices.