§ 791.3. Scope of Covered ICTS Transactions.
641 words·~3 min read·
/us/cfr/t15/s§ 791.3·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
(a)The Secretary may continue review under § 791.103(b) of this part for any ICTS Transaction that:
(1)Is conducted by any person subject to the jurisdiction of the United States or involves property subject to the jurisdiction of the United States;
(2)Involves any property in which any foreign country or a national thereof has any interest of any nature whatsoever, whether direct or indirect (including through an interest in a contract for the provision of the technology or service);
(3)Is initiated, pending, or completed on or after January 19, 2021, regardless of when any contract applicable to the transaction is entered into, dated, or signed or when any license, permit, or authorization applicable to such transaction was granted. Any act or service with respect to an ICTS Transaction, such as execution of any provision of a managed services contract, installation of software updates, or the conducting of repairs, that occurs on or after January 19, 2021 may be deemed an ICTS Transaction within the scope of this part, even if the contract was initially entered into, or the activity commenced, prior to January 19, 2021; and
(4)Involves ICTS and software, hardware, or any other product or service integral to one of the following:
(i)Information and communications hardware and software, including
(A)Wireless local area networks;
(B)Mobile networks;
(C)Satellite payloads;
(D)Satellite operations and control;
(E)internet-enabled sensors, cameras, and any other end-point surveillance or monitoring device, or any device that includes these components such as drones;
(F)Routers, modems, and any other networking devices;
(G)Cable access points;
(H)Wireline access points;
(I)Core networking systems;
(J)Long- and short-haul networks;
(ii)Data hosting, computing or storage, including software, hardware, or any other product or service integral to data hosting or computing services, including software-defined services such as virtual private servers, that uses, processes, or retains, or is expected to use, process, or retain, sensitive personal data of United States persons, including:
(A)internet hosting services;
(B)Cloud-based or distributed computing and data storage;
(C)Managed services; and
(D)Content delivery services;
(iii)Connected software applications, including software designed primarily to enable connecting with and communicating via the internet, which is accessible through cable, telephone line, wireless, or satellite or other means, that is in use by United States persons at any point over the twelve
(12)months preceding an ICTS Transaction, including connected software applications, such as but not limited to, desktop applications, mobile applications, gaming applications, and web-based applications;
(iv)Critical infrastructure, including any subsectors of the chemical, commercial facilities, communications, critical manufacturing, dams, defense industrial base, emergency services, energy, financial services, food and agriculture, government services and facilities, health care and public health, information technology, nuclear reactors, materials, and waste, transportation systems, and water and wastewater systems sectors, and
(v)Critical and emerging technologies, including advanced network sensing and signature management; advanced computing; artificial intelligence; clean energy generation and storage; data privacy, data security, and cybersecurity technologies; highly automated, autonomous, and uncrewed systems and robotics; integrated communication and networking technologies; positioning, navigation, and timing technologies; quantum information and enabling technologies; semiconductors and microelectronics; and biotechnology.
(b)The Secretary will not continue review of an ICTS Transaction under § 791.103 if the Secretary finds that:
(1)The ICTS Transaction involves the acquisition of ICTS items by a United States person as a party to a transaction authorized under a U.S. government-industrial security program; or
(2)The Committee on Foreign Investment in the United States (CFIUS) is conducting a review, investigation, or assessment, or has concluded action on, the specific ICTS Transaction as a covered transaction under section 721(a)(4) of the Defense Production Act of 1950, as amended, and its implementing regulations. \[86 FR 4923, Jan. 19, 2021, as amended at 88 FR 39358, June 16, 2023; 89 FR 96893, Dec. 6, 2024\]