It seems like Huawei has had enough of the U.S. ban. The Wall Street Journal reported that Huawei is preparing a lawsuit against the Federal Communications Commission (FCC). Recently, the FCC imposed sanctions on the chinese company.
Earlier on Tuesday, the FCC decided not to allow small and medium-sized wireless carriers or broadband providers in the United States to use federal-backed subsidies for purchasing new or existing equipment from Huawei or ZTE. The FCC calls it as a ‘national security threat’.
The U.S. federal government’s Universal Service Fund provides subsidies to small and medium-sized wireless carriers that serve low-population areas. The FCC does not allow Huawei to spend the subsidies on equipment purchases or equipment maintenance budgets.
The WSJ said Huawei is expected to file a lawsuit with the 5th Circuit Court of Appeals in New Orleans, Louisiana. Accordingly, it plans to hold a press conference at his headquarters in Shenzhen, China, it added.
Huawei lawsuit against FCC: not the first one
Huawei also filed a lawsuit with a U.S. federal court in March, claiming that a clause in the Defense Authorization Act banning the use of its products was unfair.
The U.S. Defense Authorization Act prohibits the U.S. government from using the technology of Chinese telecom companies, such as Huawei and ZTE. As well as restricts deals with other businesses that use the technology of those companies.
Previously, Huawei stated in an interview with The Wall Sreet Journal that it “can survive without the U.S.”
The fact is, U.S. ban does not apply for U.S. only. The U.S. also put pressure to its allies to not do any transactions with Huawei.
For instance, New Zealand. The country is one of 5 U.S allies. Spark, a New Zealand company, insists on using Huawei’s technology for the 5G connection in the country. And for it, It has received rejection from the government before.