Alert for Information and Communications Technology and Services Industries: Proposed New Rule Implements Unprecedented Regime to Review and Restrict Transactions -
The Department of Commerce (DOC) is accepting comments from now through December 27, 2019 on a proposed rule (the “Rule”) that would restrict certain foreign-involved transactions, including investment and services contracts, in the information and communications technology and services (ICTS) industries. The Rule as proposed has a very broad scope, and would impact telecommunications service providers, internet and digital service providers, and vendors and manufacturers of ICTS. The long-anticipated Rule would implement the May 15, 2019 Executive Order 13873, ‘‘Securing the Information and Communications Technology and Services Supply Chain.” This EO, while it does not name any particular entities or countries, is widely regarded as targeting China, and particularly Chinese companies such as Huawei, for the risks their presence in the global ICTS supply chain may pose to U.S. national security.
Please see full Issue below for more information.