FCC Closes 'Component Loophole': New Bans Hit Drones Using Covered List Entity Parts
By MATTHEW WEISSMAN
Starting on October 13th, the FCC began denying equipment authorizations to new drones with logic-bearing hardware components manufactured by companies on the FCC’s “Covered List,” including Chinese tech giants DJI and Autel. The new rules extend Covered List restrictions beyond finished devices to any product that incorporates these prohibited components.
This policy effectively closes a major loophole. Previously, while finished drones manufactured directly by Covered List companies were blocked from receiving new FCC authorizations, drones assembled by third-party companies were legally allowed to include components manufactured by those same entities.
The FCC has broadly defined "logic-bearing components" to include virtually any physical module capable of digital processing or managing radio frequency energy.
What is Restricted vs. Exempt:
Restricted Components: Any part that “generates and uses timing signals or pulses at a rate in excess of 9,000 pulses per second and uses digital techniques”.
Exempt Hardware: Structural and simple electrical elements, such as "housings, fasteners, resistors, wiring, and plain battery cells”.
Grandfathered Devices: The policy only impacts new drone authorizations; devices authorized or pending authorization prior to October 13th are exempt.
The FCC did not wait long to enforce these new supply chain rules. On October 22, the FCC prevented a dashboard camera and a wireless video transmitter from being marketed or sold in the United States because they contain a chip produced by HiSilicon, a subsidiary of Huawei (which is also on the Covered List). This swift crackdown serves as an early warning for drone manufacturers relying on global component supply chains.
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