After a considerable wait, a COVID-19 relief package was approved by Congress this past weekend. The primary focus of the legislation is to provide support to a public experiencing significant hardship following nearly nine months of economic disruption. While the $600 direct payments have received the most attention, the comprehensive $900 billion package contains numerous provisions worth examining.

Of particular interest is the allocation of several billion dollars to address broadband-related concerns, including $7 billion specifically designated to expand broadband availability for Americans with limited incomes. Speaker Nancy Pelosi and Senator Chuck Schumer jointly announced that these funds will be used to assist “millions of students, families and unemployed workers in obtaining the broadband service they require during the pandemic.” The agreement provides qualifying households with a $50 monthly subsidy for broadband service.

The absence of reliable internet access has presented a substantial challenge, especially with the widespread closure of schools nationwide to curb the spread of COVID-19. Insufficient internet connectivity can significantly impede effective remote learning.

Additionally, $1.9 billion has been allocated to “rip and replace” equipment manufactured by ZTE and Huawei, as reported by Reuters. Huawei, in particular, has long been a focus of scrutiny from the U.S. government. The Chinese technology company was placed on the Department of Commerce’s Entity List last year. The implications of these actions for companies such as Huawei and ZTE have continued to develop in the months since.

Earlier this year, legislation was enacted that officially prohibited U.S. companies from acquiring networking equipment from either of these firms, accompanied by plans to initiate a process to remove existing services. The new bill appears to include funding for the procurement of replacement equipment to substitute for the gear being removed from U.S. networks.

A Huawei representative previously stated that efforts to remove their products from telecommunications networks “puts U.S. citizens at risk in largely underserved rural areas — during a pandemic — when reliable communication is essential.”

The future standing of companies like Huawei and ZTE under the next presidential administration, however, is currently uncertain. It is worth noting that the Commerce Department recently expanded the Entity List to include an additional 77 entities, including well-known Chinese companies DJI and SMIC.