FCC Unanimously Blocks China Mobile's Bid For International Phone Services In The U.S.

"There is a significant risk that the Chinese government would use China Mobile to conduct activities that would seriously jeopardize the national security, law enforcement, and economic interests of the United States, among other things, if this application were granted, the Chinese government could use China Mobile to exploit our telephone network to increase intelligence collection against U.S. government agencies and other sensitive targets that depend on this network." FCC Chairman Ajit Pai said about the decision, which was unanimous.

If the application had been granted, the company would have been able to connect to the U.S. network, receiving greater access to telephone lines, cellular networks, fiber-optic cables and communication satellites — heightening the risk of communications being monitored, degraded and disrupted.
Looks like a sound decision, even by Pai's standards.

China Mobile USA is a Delaware corporation that is ultimately owned and controlled by the People’s Republic of China.  In 2011, China Mobile USA filed an application requesting authority under Section 214 of the Communications Act and section 63.18 of the Commission’s rules to provide international facilities-based and resale services between the United States and foreign destinations.

In 2018, after a lengthy review of the application, discussions with the applicant, and consultation with the U.S. intelligence community, the U.S. Department of Commerce’s NTIA filed a recommendation on behalf of Executive Branch agencies to deny China Mobile USA’s application.  This is the first instance in which Executive Branch agencies have recommended that the FCC deny a section 214 application due to national security and law enforcement concerns. Action by the Commission May 9, 2019 by Memorandum Opinion and Order (FCC 19-38).  Chairman Pai, Commissioners O’Rielly, Carr, Rosenworcel, and Starks approving and issuing separate statements.