US Investigates Security Threats of Chinese Telecom Companies' Internet and Cloud Services

The Joe Biden administration in the United States is investigating the potential national security risks posed by Chinese state-owned telecommunications companies operating within the U.S.

According to major foreign media on the 24th (local time), the U.S. Department of Commerce is investigating concerns that China Mobile, China Telecom, and China Unicom could provide data within the U.S. to Chinese authorities through their internet and cloud businesses.

So far, the U.S. government has restricted these Chinese telecommunications companies' operations in the U.S. citing potential security threats. The Federal Communications Commission (FCC) rejected China Mobile's international calling service application in 2019 and revoked the operating licenses of China Telecom and China Unicom in 2021 and 2022. Additionally, in March, it banned these companies from providing broadband internet services within the U.S.

However, Chinese telecom companies continue to operate cloud services and internet traffic routing businesses in the U.S. Through these, they can access data of American users. Authorities are concerned that this data could be provided to the Chinese government or that it could be used to obstruct Americans' access to information.

Accordingly, U.S. regulatory authorities plan to investigate whether these companies should be blocked from operating data centers and conducting transactions necessary for data routing.

China has protested. The Chinese Embassy in Washington stated regarding this investigation, "We hope the U.S. will stop suppressing Chinese companies under false pretenses," and added, "China will continue to defend the rights and interests of its companies."