The "South Carolina Technology Security Act" aims to enhance the state's security by prohibiting the purchase, lease, or use of telecommunications and video surveillance equipment from certain companies identified as posing national security risks, including Huawei, ZTE, and others. The bill establishes definitions for "banned companies," "covered products or services," and outlines the responsibilities of state agencies, political subdivisions, and individuals regarding these products. Specifically, it prohibits state entities from acquiring or using such equipment and imposes penalties for violations, including civil penalties and potential felony charges for knowingly transmitting data to the People's Republic of China.

Additionally, the act mandates that all container tracking technology must be reviewed and approved by a designated cybersecurity organization before use. It grants the Office of the Attorney General the authority to investigate violations and enforce compliance, including the ability to impose fines. The act also nullifies any existing contracts that violate its provisions and requires the Attorney General to report annually on investigations and compliance outcomes. The bill will take effect upon the Governor's approval.