Page:2020-06-09 PSI Staff Report - Threats to U.S. Communications Networks.pdf/39

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evaluated foreign ownership on an ad hoc basis.[1] Over time, the FCC formalized its international Section 214 application review process, including documenting the criteria it considers in evaluating applications.[2] The FCC has also taken a number of steps to streamline the process for reviewing and approving applications.[3]

When evaluating Section 214 applications, the FCC must determine that a carrier's proposed operations serve the public interest.[4] In 1995, the FCC explained that it considers a variety of factors when evaluating the public interest. Included among the factors are "national security, law enforcement issues, foreign policy, and trade concerns brought to [the FCC's] attention by the Executive Branch."[5] The FCC recognized that federal agencies have "specific expertise" in these matters, such that the FCC's analysis would benefit from those agencies' input.[6] It "accord[s] deference to the expertise of the Executive Branch in identifying and interpreting issues of concern related to national security, law enforcement, and foreign policy"[7] and "considers any such legitimate concerns as [it] undertake[s] [its] own independent analyses of whether grant of a particular authorization is in the public interest."[8] The carrier applicant has the burden to show that its proposed services would serve the public interest despite any national security, law enforcement, or other risks identified by the Executive Branch.[9]

Upon "accepting" an international Section 214 application, the FCC releases a public notice summarizing the applicant's proposed services.[10] Where a carrier


  1. Id.
  2. See In the Matter of Mkt. Entry & Regulation of Foreign Affiliated Entities, Rep. & Order, 11 FCC Red 3873 (1995) [hereinafter 1995 FCC Foreign Entry Order]; In the Matter of Streamlining the Int'l Section 214 Authorization Process & Tariff Requirements, Report & Order, 11 FCC Red 12884 (1996) [hereinafter 1996 FCC Streamlining Order]; 47 C.F.R. § 63.18. In 1999, the FCC granted all telecommunications carriers blanket authority under Section 214 to provide domestic interstate services and to construct or operate any domestic transmission lines. Implementation of Section 402(b)(2)(A) of the Telecommunications Act of 1996 et al., Report and Order in CC Docket No. 97-11, Second Memorandum Opinion & Order in AAD File No. 98–43, 14 FCC Red 11364, 11365–66,¶ 2 (1999); 47 C.F.R. § 63.01.
  3. See generally 1995 FCC Foreign Entry Order, supra note 145; 1996 FCC Streamlining Order, supra note 145.
  4. 47 C.F.R. § 63.18; 47 U.S.C. § 214; 1995 FCC Foreign Entry Order, supra note 145, at 223; In the Matter of Rules & Policies on Foreign Participation in the U.S. Telecomm. Mkt., Report & Order, 12 FCC Red 23891, ¶¶ 65-66 (1997) [hereinafter 1997 FCC Foreign Participation Order].
  5. 1995 FCC Foreign Entry Order, supra note 145, at 3. See also 1997 FCC Foreign Participation Order, supra note 147, at ¶¶59-61.
  6. 1997 FCC Foreign Participation Order, supra note 147, at ¶¶61-62. See also 1995 FCC Foreign Entry Order, supra note 145, at ¶¶38, 62, 216–19.
  7. 1997 FCC Foreign Participation Order, supra note 147, at ¶63.
  8. 1997 FCC Foreign Participation Order, supra note 147, at ¶62.
  9. See In the Matter of China Mobile Int'l (USA) Inc., FCC No. 19-38, 34 FCC Red 3361, 3367, 11 (May 10, 2019).
  10. See 47 C.F.R. § 63.12(a). See, e.g., Fed. Commc'ns Comm'n, Public Notice—International Applications Accepted for Filing, Rep. No. TEL-01338S (Jan. 16, 2009); Fed. Commc'ns Comm'n,

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