After months of grappling with the US government-imposed sanctions, Huawei has filed another lawsuit against the US government and has decided on a legal battle with the US Federal Communications Commission that has ruled the company as a threat to national security.
Reportedly, the Chinese tech giant has stated in the complaint that the national security designation could impact its financial interests of the telecommunications industry as well. This lawsuit comes soon after Biden took over as the president. Since the legislation was signed by the ex-US president Donald Trump, Huawei is most likely trying to evaluate where President Biden stands.
The legislation stops US companies from using federal funds to purchase equipment from companies that have the national security threat designation. As a result, to help smaller telecoms with the cost of replacing equipment provided by Huawei and ZTE the government had to set up a $1 billion reimbursement program.
Furthermore, Huawei has also filed a lawsuit against the agency claiming that it unconstitutionally enforced the ban but the legal action was eventually dismissed last February on the grounds that Congress had all the rights to enforce the ban.
Huawei has not commented on the matter yet. We are unsure of what the results of the legal action will be.