Pursuant to a legislative requirement, GAO reviewed the Federal Communications Commission's (FCC) new rule on foreign participation in the U.S. telecommunications market. GAO noted that the: (1) rule would adopt a new standard for foreign participation in the United States telecommunications market in light of the World Trade Organization agreement concluded on February 1, 1997; (2) rule removes the effective competitive opportunities test and replaces it with an open standard; and (3) FCC complied with applicable requirements in promulgating the rule.