US Senator asks for probe on whether China is trying to thwart US spectrum efforts

Technology
US Senator asks for probe on whether China is trying to thwart US spectrum efforts
WASHINGTON (Reuters) - Senate Commerce Committee chair Ted Cruz on Tuesday asked US Director of National Intelligence Tulsi Gabbard to investigate if China is covertly working to prevent Congress from extending authority to auction wireless spectrum.
In 2023, the Federal Communications Commission lost the broad authority from Congress for wireless spectrum sales and lawmakers are considering legislation that would approve new auctions to free up spectrum for growing wireless use.
"China is actively working to capture global leadership in this area and ensure the next generation of global telecommunications technologies live and work on a technological backbone of their making," Cruz said in a letter seen by Reuters.
The Chinese Embassy and Gabbard's office did not immediately respond to requests for comment.
Cruz said on Tuesday that he is working to get spectrum auction authority attached to broad tax legislation Congress is expected to take up in the coming months.
China has announced it would open more spectrum bands for future 5G and 6G wireless use while the United States is debating next steps, Cruz noted.
"Freeing up spectrum for commercial use in the United States is not just important for our economic growth; it is critically important for our global leadership," Cruz wrote.
He said a new spectrum auction could raise $100 billion or more.
"If we do not catch up and lead, it will be Huawei that creates the backbone of tomorrow’s global communication networks through which much of the world’s economic traffic -- and indeed, much of our government’s traffic -- will flow," Cruz said.
China-based Huawei, the world's largest telecommunications equipment maker, did not immediately respond to a request for comment.
with shares of American Express, Capital One, Synchrony, and Discover down between 15 to 22 percent over the past month.
It is the latest in a series of actions against Chinese telecom and technology firms by Washington. The FCC previously barred Chinese companies from providing telecommunications services in the United States, citing national security concerns.