The U.S. Federal Communications Commission (FCC)’s decision to classify HUAWEI has a national security threat — barring it from getting government subsidies for telecommunication infrastructure — caused HUAWEI to sue the regulator.

Just last month, FCC voted to label HUAWEI as a national security threat and said that its telecom infrastructure could be hijacked for spying due to its relationship to the Chinese Government. This has led to HUAWEI and ZTE being cut off from the Universal Service Fund’s supplier list, preventing it from getting telecom infrastructure for rural carriers.

HUAWEI files lawsuit in hopes of revoking FCC ban 2“Banning a company like HUAWEI, just because we started in China—this does not solve cyber security challenges,” said Huawei’s chief legal officer, Song Liuping. HUAWEI also said the FCC decision was “political”, which is why they filed a petition in New Orleans.

HUAWEI has been granted a 90-day license to continue doing business in the U.S., but perhaps the current move will get HUAWEI a permanent solution once and for all.

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