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America needs a budget of 5 billion dollars to remove Huawei products from its networks

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Huawei has been at the center of various debates over the past few years. American officials reject any interaction and cooperation with the Chinese giant, and although the American government strongly wants to isolate Huawei in the world; But this issue will entail many costs for the United States. The US Telecommunications Regulatory Agency announced in a letter to Congress last Friday that it needs another $3 billion in funding. Such funding would enable the complete removal of equipment manufactured by Huawei and ZTE from US networks. Thus, the total cost required for the implementation of this project will reach 4.9 billion dollars.

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Jessica Rosen Worsel; The head of the United States Federal Communications Commission (FCC) in a letter addressed to Senator Maria Cantwell; The head of the Commerce, Science and Transportation Commission announced: “Based on the estimates, the total cost of implementing and supporting this project is equal to 4.98 billion dollars; While Congress has only budgeted $1.9 billion to finance this process. In the meantime, American companies can only reimburse about 40% of the costs.”

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The United States is looking to completely expel Huawei and ZTE from its communications network

In 2019, the US Congress passed a bill requiring the Federal Communications Commission to force US telecommunications operators that use federal subsidies to remove equipment that threatens national security from their telecommunications networks. The bill also notes that telecom operators will receive compensation for doing so. At that time, the Federal Communications Commission considered the production equipment of Huawei and ZTE companies to be a threat to US national security.

The said bill requires American companies to abandon the production equipment of the mentioned Chinese brands and otherwise they will be denied access to the 8.3 billion dollars budget considered by the government. However, Congress only allocated $1.9 billion to fund the so-called “removal” program, and this raised doubts about the project’s effectiveness.

According to Ms. Rosenworsel, in the absence of additional funding, the committee will use the prioritization plan set by Congress. He also mentioned in his letter: “The required budget will be provided in the coming days and the commission will start the process of processing requests for compensation. Of course, companies are not required to do anything before receiving compensation, and Congress has no explanation to offer.”

It is obvious that the United States will have to spend billions of dollars to completely remove Huawei and ZTE from its communication network. It seems that the government is willing to allocate and pay such a cost. However, the liberation of existence in turn is considered a challenging matter.

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Adib

Adib Zahedi is the CEO and Founder of mazhd.com. He has nearly a decade of experience in IT, including two years spent working on a Youtube Chennal. He is also an author and writes articles for mazhd.com. Has articles include tutorials and covers everything from Windows PCs to smartphone's software.

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