The Federal Communications Commission told U.S. telephone companies to report details on their use of equipment from Huawei Technologies Co. and ZTE Corp., Chinese gear-makers accused by the Trump administration of posing a risk of espionage.
The action is the next step in the FCC's response to warnings about the Chinese companies, which make parts vital to operating communications networks. The data can help inform further "potential actions" and will help design a reimbursement program for service providers that may need to remove and replace the gear, the FCC said in a news release.
Huawei equipment is cheaper than competitors' and is popular with smaller, rural U.S. telecommunications providers, which often rely on government subsidies.