The FCC has for years attempted to protect U.S. telecommunications networks from foreign penetration and possible sabotage. Each time a company applies for an FCC license, its level of foreign ownership is carefully reviewed. In addition, the agency recently created a list of Covered equipment and services provided by foreign countries that pose unacceptable risks to national security. Now the Commission is preparing to take further steps to protect our networks. At its upcoming May 22, 2025, meeting it will release a Notice of Proposed Rulemaking (Notice) in Docket 25-166. In the Notice, the Commission proposes to establish new certification and information collection requirements “that would fill gaps in its existing rules and provide a new and comprehensive view of threats from foreign adversaries in the communications sector.”
Specifically, the Commission proposes to apply new certification and disclosure requirements on entities holding every type of license, permit, or authorization, rather than only certain specific licenses, as the Commission currently does. Furthermore, the Commission proposes to go beyond foreign ownership to also cover all regulated entities controlled by or subject to the jurisdiction or direction of a foreign adversary. By focusing on foreign adversary ownership or control, rather than foreign influence more broadly, our proposed rules are tailored to avoid needless burden on regulated entities. (Draft Docket 25-166, at para. 1).
In the Notice the FCC makes the following proposals:
Propose to require entities holding certain licenses or authorizations to certify whether it is or is not owned by, controlled by, or subject to the jurisdiction or direction of a foreign adversary.
These include:
- Wireless providers operating under authorizations granted pursuant to parts 22 (Public Mobile Services), 24 (Personal Communications Services), 26 (Space Launch Services), 27 (Miscellaneous Wireless Communications Services), 30 (Upper Microwave Flexible Use Service), 80 (Stations in the Maritime Services), 87 (Aviation Services), 88 (Uncrewed Aircraft System Services), 90 (Private Land Mobile Radio Service), 95 (Personal Radio Services), 96 (Citizens Broadband Radio Service), 97 (Amateur Radio Service), and 101 (Fixed Microwave Services) of the Commission’s rules.
- Commercial radio operators licensed under part 13 of the rules.
- Satellite networks licensed based on the type of station.
- Entities with broadcasting licenses including radio and TV stations.
- Cable providers.
- Submarine cables.
- Common carriers under section 214.
Propose to require entities responding affirmatively to disclose all ownership interests of 5 percent or greater to the Commission and the nature of their reportable foreign adversary control;
Propose to require an initial certification, and a new certification within 30 days of any changes to ownership involving a foreign adversary or a new ownership interest of 5 percent or greater;
Seek comment on the scope of entities and licenses that should be subject to the proposed certification and reporting requirements;
Propose to collect this data through a single, consolidated system during a specified 60-day window; and
Propose to adopt a streamlined revocation procedure in the event an entity falsely certifies or fails to complete the certification and provide ownership information.
The FCC estimates that the new reporting requirements will cost each company $116, obviously not a significant cost when protecting our networks.
Industry comments on the Notice will be due 30 days after the Notice appears in the Federal Register. Reply comments will be due 30 days later.