FCC Overhauls Undersea Cable Security Rules Banning Chinese Equipment and Requiring National Security Certification

The FCC on Thursday voted to require licensing for owners and operators of submarine line terminal equipment (SLTE), the onshore hardware connecting undersea cables to US terrestrial networks, marking the first time any federal agency has held licensing authority over that equipment 12. The new rules extend last year's ban on Huawei, China Telecom, ZTE and China Mobile equipment to cover products from anywhere in China or any other country designated a foreign adversary 13. Operators that certify compliance with security standards, agree to ongoing oversight and avoid the newly restricted foreign equipment can qualify for expedited review, including exemption from full "Team Telecom" interagency screening 34. FCC Chair Brendan Carr said the changes are meant to speed cable buildout to meet rising AI-driven connectivity demand while addressing threats to a system carrying up to 99 percent of global internet traffic 13. The order creates a two-tier licensing structure, granting automatic blanket licenses to compliant SLTE owners while requiring individual applications from Covered List entities such as HMN Tech; blanket licensees must file annual circuit-capacity reports and maintain cybersecurity and physical-security risk management plans 13.