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The Wall Street Journal: FCC blocks China Mobile from providing service in U.S.

WASHINGTON — The U.S. blocked a Chinese telecom giant from providing services via American networks, the latest sign of escalating tension between the two global powers.

The Federal Communications Commission voted unanimously to deny an application by China Mobile Ltd.’s 0941, +0.14% U.S. arm, China Mobile USA, to provide international calls and other services. U.S. officials cited law enforcement and national security risks, saying the company is owned by the Chinese government and vulnerable to exploitation, influence and control.

“The Chinese government could use China Mobile to exploit our telephone network to increase intelligence collection against U.S. government agencies and other sensitive targets that depend on this network,” FCC Chairman Ajit Pai said.

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