CNBC: China’s Huawei and ZTE officially designated ‘national security threats’ by the FCC

The U.S. Federal Communications Commission (FCC) has officially designated Huawei and ZTE national security threats.

That means that companies cannot use an $8.3 billion government subsidy program, known as the Universal Service Fund, to purchase, maintain or support any equipment or services from the two Chinese telecommunications giants.

“With today’s Orders, and based on the overwhelming weight of evidence, the (FCC’s Public Safety and Homeland Security) Bureau has designated Huawei and ZTE as national security risks to America’s communications networks—and to our 5G future,” FCC Chairman Ajit Pai said in a statement.

Read more at CNBC.