FAR 52.204-25 defines covered telecommunications equipment or services to include telecommunications equipment produced by Huawei Technologies Company or ZTE Corporation 1, and, for the purpose of public safety, security of Government facilities, physical security surveillance of critical infrastructure, and other national security purposes, video surveillance and telecommunications equipment produced by Hytera Communications Corporation, Hangzhou Hikvision Digital Technology Company, or Dahua Technology Company 2.
The rule reaches what you use, not only what you sell. One prohibition covers an entity that uses any equipment, system or service that uses covered telecommunications equipment or services as a substantial or essential component of any system, or as critical technology as part of any system 3. It applies to the use of covered telecommunications equipment or services regardless of whether that use is in performance of work under a federal contract 4.
Representations and reporting
Offerors answer FAR 52.204-24, Representation Regarding Certain Telecommunications and Video Surveillance Services or Equipment 5. If you identify covered equipment or services during contract performance, the clause sets a short first report: within one business day from the date of such identification or notification 6.
Worked example. While preparing a representation, Contractor T finds that the router carrying all of its office network traffic was installed years ago by its internet provider, and its label names a manufacturer the clause lists without any purpose condition. Because every system in the office runs through it, Contractor T treats it as a possible substantial or essential component, replaces it before answering, keeps the invoice and inventory as its record, and asks counsel to confirm its representation. Its cameras come from a maker the clause names only for listed security purposes, so it asks counsel about those separately.
Sourcing: domestic end products
Supply contracts can also limit where products come from. Under the Buy American supplies clause, the contractor shall deliver only domestic end products except to the extent that it specified delivery of a foreign end product 7.
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