Spy Concerns Slow China Mobile's U.S. Application

China Mobile said its application for a license to provide services between China and the United States was still being reviewed by U.S. regulators.
 
Recent media reports have said the company's application is likely to be denied over cyber-spying concerns.
 
China Mobile International Ltd., a wholly owned subsidiary of China Mobile, said the company's application, called an International Section 214 Application, was submitted to the U.S. Federal Communications Commission (FCC) in September 2011.
 
It said that officials from the FBI, Department of Homeland Security and Justice Department's national security division, known collectively as Team Telecom, had been processing the application over the past several months.
 
"The review of 214 license application is still under way," China Mobile said. "(The company) is waiting for approval made by U.S. regulators."
 
The license would also allow China Mobile to build facilities in the United States.
 
The Los Angeles Times reported that Team Telecom might advise the FCC to deny China Mobile's application because of espionage concerns. It cited Sean McGurk, a former Department of Homeland Security cyber security senior official, as saying that China Mobile's entrance into the U.S. market "would pose a concern to most people. We're not really sure, not only where the information is flowing, but what potentially is being left behind."
 
China Mobile said Team Telecom asked for extra materials and clarification of aspects of its application, and the company responded accordingly. The company said "it believes the U.S. government agencies will apply proper law and procedures on the process of its application."
 
China Telecom entered the U.S. market in 2002 and China Unicom did the same in 2003.
 
China Mobile has launched GSM international services with 403 telecom operators in 237 countries and regions, and GPRS international services in 186 countries and regions.