FCC Must Publicly List U.S. Telecom Companies Controlled by Foreign Adversaries Within 120 Days

The Foreign Adversary Communications Transparency Act is all about pulling back the curtain on who exactly owns and controls the infrastructure that runs much of our communication here in the U.S. Simply put, this bill forces the Federal Communications Commission (FCC) to create a public list of every company holding a U.S. communications license that is owned or significantly controlled by a government or entity from a designated “covered country”—that is, a foreign adversary. The clock starts ticking fast: the FCC has only 120 days from enactment to post the initial list, focusing on companies where foreign ownership is already known or where a national security agency has determined control exists.

Who Owns the Airwaves? The New Transparency Push

This legislation tackles national security concerns head-on by targeting the telecom sector. Think of the companies that provide your cell service, satellite TV, or specific wireless services—many of them rely on FCC licenses to operate. The bill defines a “covered entity” broadly: it includes the government of a foreign adversary country, any company organized under that country’s laws, and even subsidiaries of those companies, regardless of where the subsidiary is based. This comprehensive definition ensures that foreign influence can’t be hidden behind layers of corporate structure. For everyday people, this means that the list, once public, will offer unprecedented clarity on who has a stake in the critical systems we rely on every day.

The Two-Track System for Finding Foreign Control

The FCC’s task is split into two phases. The first phase, due within four months, requires the FCC to list companies that hold specific types of licenses (like certain broadcast or satellite licenses) where a covered entity already has a reportable equity or voting interest. Crucially, the list also includes companies that a national security agency has already determined are controlled by a covered entity, even if they don't hit the standard ownership percentage threshold. This is a big deal because “control” can mean influence that isn’t tied to simple stock ownership, giving security agencies significant discretion. The second phase is longer: the FCC has 18 months to write new rules to investigate other types of licenses and authorizations, ensuring that the net catches all forms of foreign adversary ownership, not just the most obvious ones. A year after those new rules are finalized, the newly identified companies will be added to the public list, which must be updated annually.

The Cost of Compliance and the Regulatory Shortcut

While the goal of increased security transparency is clear, the implementation introduces new complexities. For companies that are identified as being owned or controlled by a foreign adversary, this public listing could significantly impact their business, potentially leading to increased scrutiny from partners, investors, and the public. This creates a substantial new compliance burden, especially for entities that will be subject to the FCC’s new data collection rules in the second phase. Interestingly, the bill gives the FCC a pass on one administrative hurdle: any information gathering required to create this list is exempt from the usual federal paperwork reduction requirements. This speeds up the process but also reduces a layer of administrative oversight that typically ensures federal data requests aren't overly burdensome or inefficient. It's a trade-off between speed and regulatory rigor.