The security and integrity of undersea cables, the infrastructure enabling global internet traffic, have come under renewed scrutiny in the United States. The Federal Communications Commission (FCC) has adopted measures targeting foreign-controlled entities seeking licenses for submarine cables in U.S. waters. This heightened focus on safeguarding vital communications links reflects increasing concern over geopolitical vulnerabilities. While these cables are underwater and out of view, their disruption could impact international business, critical services, and everyday communications.
Earlier developments around submarine cable regulation largely focused on commercial growth and technology collaboration, with only incremental changes addressing national security. Regulatory attention previously centered on oversight of permits and technical standards rather than actively limiting foreign involvement. The new FCC rules mark a significant escalation in direct action intended to limit foreign adversary influence over U.S. internet infrastructure, setting them apart from prior, more permissive approaches.
Why Did the FCC Introduce New Licensing Barriers?
Under the new rules, the FCC will presumptively deny license applications from companies controlled by designated foreign adversaries. The restrictions also extend to leasing agreements related to undersea cable capacity and ban certain types of equipment that meet undefined security criteria. A number of new physical and cybersecurity measures will also be mandatory for affected applicants. The Commission stated that these requirements were established to address growing threats and maintain global leadership in the digital economy.
How Will the Communication Infrastructure Be Affected?
Current FCC data shows there are 90 submarine cable systems operating under agency licenses, with that number projected to grow as the demand for data-intensive applications expands. Commissioner Brendan Carr remarked,
“We not only want to unleash the deployment of new undersea cables — we want to make sure those cables are secure.”
By tightening controls around licensing, the FCC aims to ensure the expansion of this infrastructure does not compromise national security or information integrity.
What Are the Main Concerns and Industry Reactions?
Industry observers point to an increasing threat landscape, noting both accidental damage and intentional interference, such as anchor dragging and cyber incidents. Commissioner Anna Gomez highlighted the challenge of modernizing regulations, explaining,
“The hard work of this item really was in finding the balance between… necessary security measures… and… clarifying and streamlining processes to provide economic certainty that will facilitate investment.”
Gomez also stressed that collaboration with federal agencies remains a key element in addressing the evolving risk profile for international communication cables.
The FCC’s revised rules indicate a shift toward prioritizing security as submarine cables become increasingly critical for digital infrastructure. Recent incidents suggest cyber and physical threats to these systems are on the rise, creating urgency for robust controls. For companies interested in building or leasing U.S. undersea cable infrastructure, the new rules mean closer scrutiny, reduced reliance on foreign equipment or partners, and higher compliance costs. Understanding the evolving regulatory landscape will be essential for maintaining operational certainty and avoiding potential delays or denials. As the global reliance on stable communications infrastructure grows, ongoing dialogue among regulatory authorities, private sector participants, and international partners will be crucial to managing risk while maintaining innovation and economic growth.
