HKT to Exit US Telecom Market Following FCC Agreement

MT Newswires Live11-02 10:00

HKT (HKG:6823) will discontinue its U.S. telecommunications services after reaching a deal with the Federal Communications Commission, according to an order by the regulator on Friday.

Under the agreement, HKT and its units must cease providing telecom services within the U.S. and between the U.S. and other countries by Sept. 1, 2027, and surrender relevant authorizations.

The agreement ends proceedings launched by the FCC in October 2025 to consider revoking HKT's operating authority over national security concerns linked to its affiliation with China Unicom (HKG:0762), which holds a stake in HKT's parent company PCCW (HKG:0008), Reuters reported.

The move comes amid a broader U.S. crackdown on Chinese telcos. The FCC previously barred China Mobile (HKG:0941, SHA:600941), China Telecom (HKG:0728, SHA:601728) and China Unicom from providing international telecom services to the U.S., according to Reuters.

HKT and PCCW did not immediately respond to MT Newswires' requests for comment.

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