DJI vs. the FCC: What the “Covered List” Could Mean for Drone Operators and Manufacturers

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DJI, the world’s leading manufacturer of civilian drones, has escalated its dispute with the Federal Communications Commission (FCC) by filing an appeal in the Ninth Circuit after the FCC placed many DJI products on its “covered list,” which the FCC uses for telecommunications equipment it deems an unacceptable national security risk. DJI says the decision effectively prevents it from “marketing, selling, and importing new products into the United States,” and that the order covers DJI communications and video surveillance equipment. Rather than waiting for the FCC to decide whether it will reconsider, DJI says it is appealing the decision now to protect its business and all of the consumers and businesses that reply on its products.

For drone users and manufacturers, the practical takeaway is that a regulatory designation can become an immediate operational and commercial disruption, even before the courts resolve the underlying legal issues. DJI alleges the FCC “exceeded its statutory authority, failed to observe statutorily required procedures, and violated the Fifth Amendment,” and also claims that the FCC has used the ruling “as a justification” to restrict DJI’s ability to import not only covered products but even other existing and new products “outside the scope of the ruling.” DJI’s earlier reconsideration petition also described the FCC’s approach as unprecedented, asserting that “for the first time,” the bureau added an “entire category of products” rather than particular products produced by particular entities. Right now drone operators can map their fleets and supply chain exposure by identifying which platforms, payloads, and support items are affected; review contracts, customer commitments, and lead times in case availability tightens (which could include replacement parts); consider contingency procurement and platform diversification where feasible; and prepare clear customer and internal communications so operational teams know what can be bought, serviced, and deployed while the appeal proceeds.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations. Attorney Advertising.

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