March 04, 2019

Trump’s Huawei ban will hit rural US carriers the hardest as replacing equipment will cost ‘millions’

Featuring Elsa B. Kania

Source: South China Morning Post

Journalist Zen Soo

It took Jim Kail’s telecommunications company LHTC Broadband nearly five years to equip almost 1,000 customers in the rural township of South Canaan, Pennsylvania, with high-speed fibre broadband. But now, Kail could be at risk of having to undo all that work, simply because LHTC had chosen to install hardware made by Chinese telecoms equipment supplier Huawei Technologies.

Huawei’s equipment, the US government says, is a potential security threat that could be used for Chinese intelligence. Government agencies are already banned from using its gear, and the Federal Communications Commission (FCC) is deliberating over whether to ban carriers from using subsidies received to procure Chinese telecoms equipment.

“If we had to replace that equipment for over 950 customers, it would take us one to two years of doing nothing but that, and we’d have to put ongoing projects on hold,” said Kail, the chief executive of LHTC Broadband. “I don’t even want to think about it.”

Read the full article and more in the South China Morning Post.

  • Elsa B. Kania

    Adjunct Senior Fellow, Technology and National Security Program

    Elsa B. Kania is an Adjunct Senior Fellow with the Technology and National Security Program at the Center for a New American Security (CNAS). Her research focuses on Chinese m...