Page:2020-06-09 PSI Staff Report - Threats to U.S. Communications Networks.pdf/85

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CUA also provides a range of business data services, including international private lines and lease circuits.[1] According to CUG's website, private lines provide customers "end to end dedicated and permanent digital point to point connectivity between two regions."[2] CUA also provides end-to-end connectivity through international Ethernet connections and multi-protocol label switching ("MPLS") VPN.[3] MPLS VPN is either "built on the IP carrier network" or uses a "series of virtual switches leased to" customers to allow them to securely transmit data, such as internal data, voices, images and videos, between different locations.[4]

CUA's primary business line is broadband internet services for customers in both the United States and China.[5] CUG "ha[s] direct connection[s] to major [internet service providers] in many countries makes [sic] Internet access faster and minimizes distance delays."[6] CUA informed the Subcommittee that it peers with 26 IP partners for the exchange of internet traffic.[7] CUA also provides data center, and cloud computing services,[8] for which Section 214 authorization is not needed.[9]

To provide these services, CUA has established 11 points of presence—five on the East coast, five on the West coast, and one in the Midwest.[10] The points of presence consist of CUA-owned routers installed in colocation facilities leased from third-parties.[11] China Unicom also advertises that it operates points of presence across the world, specifically mentioning the locations in Los Angeles, New York, and San Jose, which "provide . . . for customer and partner network interconnections."[12] In fact, China Unicom promotes its international MPLS VPN


  1. Briefing with China Unicom Americas (Apr. 16, 2020). See also Customer Solutions, China Unicom Global, at 15, https://www.chinaunicomglobal.com/group1/M00/00/08/CngaWFoofQOAfarRAPYieoOnUf8345.pdf.
  2. See Customer Solutions, China Unicom Global, at 15, https://www.chinaunicomglobal.com/group1/M00/00/08/CngaWF00fQOAfarRAPYieoOnUf8345.pdf.
  3. Briefing with China Unicom Americas (Apr. 16, 2020). In its recommendation to revoke CTA's authorizations, Team Telecom described MPLS VPN services as falling into a "regulatory gray area." Executive Branch Recommendation re CTA, supra note 56, at 7-9 (Apr. 9, 2020).
  4. See MPLS VPN, China Unicom Global, https://www.chinaunicomglobal.com/hk/mplsvpn.
  5. Briefing with China Unicom Americas (Apr. 16, 2020).
  6. See Customer Solutions, China Unicom Global, at 25, https://www.chinaunicomglobal.com/group1/M00/00/08/CngaWF00fQOAfarRAPYieoOnUf8345.pdf.
  7. Briefing with China Unicom Americas (Apr. 16, 2020); Email from Squire Patton Boggs, counsel to CUA, to the Subcommittee (June 3, 2020) (on file with the Subcommittee).
  8. Briefing with China Unicom Americas (Apr. 16, 2020). CUA resells the services of a data center provider. It does not own, control, or manage the data center itself. Id.
  9. Executive Branch Recommendation re CTA, supra note 56, at 10.
  10. Briefing with China Unicom Americas (Apr. 16, 2020). The points of presence are located in (1) Seattle, WA; (2) Hillsboro, OR; (3) Palo Alto, CA; (4) San Jose, CA; (5) Los Angeles, CA; (6) Dallas, TX; (7) Reston, VA; (8) Ashburn, VA; (9) Chicago, IL; (10) New York, NY; and (11) Miami, FL.
  11. Id. The routers are used for CUA's 3 IP data networks. Id.
  12. See Customer Solutions, China Unicom Global, at 17, https://www.chinaunicomglobal.com/group1/M00/00/08/CngaWF00fQOAfarRAPYieoOnUf8345.pdf.

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