Market Chatter: US Congress to Vote on Bill Providing $3 Billion to Replace Chinese Telco Equipment

MT Newswires Live2024-12-10

The U.S. House of Representatives will vote next week on a law providing about $3 billion to allow US telecommunications companies to dismantle equipment made by Chinese firms Huawei and ZTE (HKG:0763, SHE:000063), Reuters reported Sunday.

The bill also included provisions targeted toward China, including reports on Chinese efforts to skirt US security regulations, the report said.

The US Federal Communications Commission earlier said disassembling the China-made equipment could cost $4.98 billion, with Congress only approving $1.9 billion for the program, the report said.

FCC Chair Jessica Rosenworcel asked Congress for more funding as efforts to replace the equipment have a shortfall of $3.08 billion, putting connectivity at risk, the report said.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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