HKT and PCCW Global to quit US carrier services by 1 September 2027 under FCC decree
The FCC has adopted a consent decree ending its show-cause case against HKT (International) and PCCW Global, with the companies agreeing to stop all US common carrier services by 1 September 2027. There is no fine and no Covered List designation.
HKT (International) Limited and its subsidiaries, including PCCW Global, have agreed to permanently stop providing US domestic interstate and international common carrier services by 1 September 2027, under a consent decree adopted by the Federal Communications Commission. The FCC released Order DA 26-1163 on 30 October 2026, closing the show-cause proceeding it opened against the companies on 15 October 2025.
Under the decree, the companies must start formal discontinuance processes within 30 days of the effective date and then file a surrender notice within 30 days of finishing the discontinuance. That notice will relinquish HKT's 12 international Section 214 authorisations and its domestic blanket operating authority. The companies also agreed not to offer such services in the US again without prior Commission authorisation.
The FCC cited HKT's links to China Unicom, which holds about 18.41 per cent of PCCW Limited, HKT's indirect parent. Light Reading, citing Reuters, described Unicom as an 18 per cent shareholder in PCCW, which it said owns 52 per cent of HKT. Regulators asserted that Unicom's minority interest and past board representation could give a foreign state leverage, following the FCC's 2022 revocation of China Unicom (Americas)' Section 214 authority.
HKT gets no penalty and no Covered List listing. The FCC acknowledged that none of the five entities is on that list and agreed the proceeding and decree cannot be cited to designate them. The settlement involves no admission of liability, and the FCC agreed not to start new revocation proceedings on the same record absent new material evidence.
Submarine Networks reported that the decree does not revoke HKT's submarine cable landing licences, including those for JUPITER and the legacy AAG cable. It said commercial and wet-plant operations touching US shores would nonetheless be significantly curtailed. The outlet also said that, because broadband is classified under Title II, the loss of Section 214 authority bars PCCW Global from operating its AS3491 network in the US, forcing it to leave its US points of presence and re-home peering to Canada, Europe and Asia.
The 10-month wind-down is longer than the standard 60-day period, according to Submarine Networks, reflecting PCCW Global's enterprise and wholesale customer base. It said the timeline gives customers room to run tenders and migrate circuits to other carriers. Light Reading said the FCC counts PCCW Global's US footprint as international services to and from the country plus interstate domestic services across 30 states.
HKT has made no public comment, but a spokesperson told the South China Morning Post the company remained "fully compliant with all applicable regulatory requirements." China's Ministry of Commerce urged the FCC to withdraw the order and said it was "severely undermining" China-US trade relations. Light Reading called the move largely symbolic, noting HKT's income comes overwhelmingly from Hong Kong, and said HKT's shares fell 1.2 per cent on Monday.