The First From Russia, Kaspersky Blacklisted As Threat Companies In US

JAKARTA - The US Federal Communications Commission (FCC) on Friday, March 25, added Russia's AO Kaspersky Lab, China Telecom (Americas) Corp, and China Mobile International USA to its list of communications equipment and service providers deemed a national security threat to the US.

Previously, the FCC last year designated five Chinese companies including Huawei Technologies Co and ZTE Corp as the first companies to be on the list, as mandated under the 2019 law. Now Kaspersky is the first Russian company to be blacklisted in the US.

"The new design will help secure our network from threats posed by Chinese and Russian state-backed entities seeking to engage in espionage and otherwise harm American interests," FCC Commissioner Brendan Carr said.

US officials have long said that running Kaspersky software could open up American networks to malign activity from Moscow and banned Kaspersky's flagship antivirus product from federal networks in 2017. However, Moscow-based Kaspersky has consistently denied being a tool of the Russian government.

In this mention of Kaspersky, the FCC announcement makes no mention of Russia's invasion of Ukraine or recent warnings by President Joe Biden of a potential cyberattack by Russia, in response to US sanctions and Ukraine's support.

Kaspersky said in a statement that it was disappointed with the FCC's decision. For that reason "made on a political basis." "The move is baseless and is a response to the geopolitical climate rather than a comprehensive evaluation of the integrity of Kaspersky's products and services," the company said.

The Chinese Embassy in Washington said on Friday that the FCC was "abusing the power of the state and maliciously attacking Chinese telecom operators again without any factual basis. They called on the US to immediately stop its unreasonable repression of Chinese companies."

"China will take the necessary steps to resolutely protect the legitimate rights and interests of Chinese companies," added the Chinese Embassy in the US.

The Chinese companies on the new blacklist did not immediately comment on the FCC's decision.

In October last year, the FCC had revoked the authorization in the US for China Telecom (America). The FCC said China Telecom (America) was "subject to exploitation, influence, and control by the Chinese government."

The FCC cited previous decisions to deny or revoke the ability of Chinese telecommunications companies to operate in the United States in its decision to add them to the threat list.

The FCC also revoked authorizations in the US for China Unicom and Pacific Networks and its wholly-owned subsidiary ComNet.

In 2019, the FCC rejected China Mobile's offer to provide the US with telecommunications services, citing national security risks.

Inclusion on a "closed list" means that money from the FCC's annual US$8 billion Universal Services Fund may not be used to purchase or maintain products from the company. The fund supports telecommunications for rural areas, low-income consumers, and facilities such as schools, libraries, and hospitals.

The FCC last year also named Hytera Communications, Hangzhou Hikvision Digital Technology, and Dahua Technology as security threats.

The head of the FCC, Jessica Rosenworcel, said the agency was working with the US national security agency to update the list. In fact, they will add new additional companies if needed.