Telecommunication

The Federal Communications Commission reached a $5 million settlement with voice over Internet provider (VoIP) magicJack regarding its failure to report its interstate revenues and contribute to the Universal Service Fund. The company, which sells a VoIP telephone service to consumers, agreed to the settlement, along with an extensive compliance plan. magicJack markets itself to consumers as a competitive replacement for traditional telephone service. It uses Internet service to allow consumers to make phone calls to and receive calls from traditional mobile and landline phones.

The Federal Communications Commission told the US Court of Appeals for the Fifth Circuit that Huawei is wrong on all counts in its challenge to the FCC's decision to exclude suspect tech in general from its Universal Service Fund subsidies and, tentatively, Huawei in particular. Even if the FCC had not moved to exclude technology deemed a national security threat from the Universal Service Fund dollars, Congress seconded that with legislation that required it.  The FCC filed in court with Huawei's appeal of the FCC decision, saying the court can make its decision based on those briefs but t

On April 15, 2020, 19 senators wrote to Federal Communications Commission Chairman Ajit Pai to urge the FCC to immediately call on telecommunications providers serving law enforcement facilities across the nation to provide free phone calls and video visitations to incarcerated and detained individuals during the COVID-19 pandemic. 

In joint letters Federal Communications Commission Chairman Ajit Pai and the Cybersecurity and Infrastructure Security Agency (CISA) Director Christopher Krebs encouraged the nation's governors to provide necessary access and resources to the communications workers helping to keep Americans connected during the COVID-19 pandemic. The FCC and CISA recommend the governors:

The Trump administration is signaling a broader crackdown on the Chinese communications sector — well beyond the companies that have already come under harsh US scrutiny. Deputy Assistant Attorney General Adam Hickey said that the government’s past objections to powerful Chinese telecommunications players operating in the US may provide a blueprint for the Federal Communications Commission to pursue other firms as well. “We’re concerned about providers that are subject to the undue influence and control of the Chinese government,” said Hickey.

On March 19, 2020, Senators Richard Blumenthal (D-CT), Ed Markey (D-MA), Michael Bennet (D-CO), and Brian Schatz (D-HI) wrote to Federal Communications Commission Chairman Ajit Pai regarding keeping Lifeline subscribers connected during the COVID-19 pandemic. "We strongly urge the FCC to commit that no one loses access to Lifeline at this time of crisis. Congress has invested the FCC with emergency powers to waive, suspend, or revise its policies and regulations for challenging times.

The Federal Communications Commission and Federal Trade Commission demanded that gateway providers allowing COVID-19 pandemic-related scam robocalls into the US cut off this traffic or face serious consequences. This is the second such action taken during the pandemic, following a successful push in April with similar letters from the agencies that led to the termination of other robocallers’ access to American phone networks. The letters sent May 20 give the companies 48 hours to cut off these scam robocalls.

Senator Marco Rubio’s (R-FL) appointment as acting chairman of the Intelligence Committee could mean more trouble for tech and telecommunication companies with ties to China. Senate Majority Leader Mitch McConnell (R-KY) announced Sen Rubio’s appointment in the absence of Sen Richard Burr (R-NC), who temporarily stepped down from the top spot while the FBI is investigating his stock trades.

The Bureau of Industry and Security (BIS) announced plans to protect US national security by restricting Huawei’s ability to use US technology and software to design and manufacture its semiconductors abroad. This announcement cuts off Huawei’s efforts to undermine US export controls. BIS is amending its longstanding foreign-produced direct product rule and the Entity List to narrowly and strategically target Huawei’s acquisition of semiconductors that are the direct product of certain US software and technology. 

On May 12, House Democrats unveiled the Health and Economic Recovery Omnibus Emergency Solutions (HEROES) Act. "We are presenting a plan to do what is necessary to address the corona crisis," said House Speaker Nancy Pelosi as she announced the legislation.