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ZTE Ban Gets Murkier as US Senators Seek Clarification

Dan Jones
6/26/2018

If you thought the ZTE saga was drawing to a close in the US, you might have another think coming.

The US government imposed a seven-year ban on selling US components in April. This caused the telecoms vendor to shut up shop in May. President Trump's administration put together a rescue deal in early June. (See ZTE Ceases Business Operations After US Ban and ZTE Fined Another $1B in Rescue Deal With US.)

US Senators rejected that top-down approach later in the month, however, causing the companies stock to tumble again. (See ZTE Tumbles Again as US Senate Rejects Rescue Deal.)

Now Republication Sentaors Tom Cotton and Marco Rubio, as well as Democrat Chris Van Hollen are writing Commerce Secretary Wilbur Ross for more information on one specific element of the initial April 15 denial order, which they reiterate broad support for.

"The Denial Order... has created uncertainty as to whether telecommunications operators and other customers can take actions to remove ZTE items from their network infrastructure and install products from other suppliers, and whether other suppliers can take actions to provide these customers with alternative products to ZTE items," the Senators wrote.

Of course, how and when prohibited Chinese network gear actually gets removed from a US network has cropped up as an issue before. (See Surprise! Sprint Still Has Huawei in Its Network.)

— Dan Jones, Mobile Editor, Light Reading

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dcharlap
dcharlap
7/5/2018 | 6:05:02 PM
Re: So what's the problem?
Understood, but the text of the article implied that there was some legal roadblock preventing carriers from removing ZTE from their networks.
DanJones
DanJones
7/5/2018 | 2:38:55 PM
Re: So what's the problem?
More that you don't win US govt contracts if you deploy ZTE.
dcharlap
dcharlap
7/3/2018 | 3:13:48 PM
So what's the problem?
I don't understand the issue here.  Is there a law preventing carriers and customers from replacing equipment whenever they want for any reason they feel like?
mrblobby
mrblobby
6/27/2018 | 2:53:56 PM
ZTE's stand at the MWC in Shanghai
is empty
Joe Stanganelli
Joe Stanganelli
6/26/2018 | 11:17:24 PM
Tracking equipment
The last tidbit reminds me of a study from a few years back that found that a Chinese-manufactured processing chip popular in all kinds of machines had a hard-coded backdoor -- and the fallout from that.
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