US total costs to remove Huawei and ZTE from telecom infrastructure increased to $4.9 billion

According to the Federal Communications Commission (FCC), the communications regulator in the United States, an additional $3 billion will be needed to remove Huawei and ZTE technology from the country’s infrastructure. huawei usa removal

According to estimates by the communications regulator in the United States, the total cost of removing Chinese technologies from US telecommunications infrastructure is now US$4.98 billion.

In a letter sent to Senator Maria Cantwell, responsible for the Committhuaweiee on Commerce, Science and Transport, Jessica Rosenworcel, chairman of the FCC, details that the total cost of removing Chinese technologies from US telecommunications infrastructures now rises to 4,980 millions of dollars, advances Reuters .

It is recalled that, in 2019, the United States Congress instructed the FCC to appeal to US telecom operators that receive federal subsidies to remove and replace Chinese technologies, declared by the regulator as threats to national security.

Operators were also prevented from using the $8.3 billion Universal Service Fund (USF) fund to buy equipment from Huawei and ZTE.

However, the US Congress has allocated only $1.9 billion for the removal of the technologies from the targeted companies. According to Rosenworcel, this situation means that operators will be reimbursed for only 40% of the removal costs.

“Absent an additional appropriation, the Commission will apply the prioritization scheme Congress specified,” Rosenworcel said in the letter, adding that the Commission would begin processing reimbursement claims “as allocations are issued in the coming days.”

Companies are not required to complete the work until after they receive reimbursement.

According to the first calculations carried out, the measure would cost a little less than two billion dollars, however, the final numbers were much higher. In February of this year, 181 applications had been received for the financial support program for the removal and replacement process, with the sum of requests totaling around US$5.6 billion. huawei usa removal

 

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