The FCC — the federal agency that regulates radio and wireless devices — is proposing $25,000 fines each against eight companies for refusing to answer questions about whether they sell equipment that the government has declared off-limits The Verge.

The companies have until July 20th to respond, or the FCC will move forward with the fines The Verge.

What Makes This About Drones?

One of the eight companies, SZ Knowact, makes Skyrover drones The Verge. On December 22, the FCC added all foreign-made drone companies to what it calls the Covered List — essentially a blacklist that prohibits the agency from approving their radio equipment on national security grounds The Verge.

Why the Timing Matters

Here is what makes this case tricky: the FCC has given itself the power to take back — or revoke — equipment approvals that it handed out before a company was added to the Covered List, if those devices are later found to contain parts from a banned company. This is like a store selling you something only to take it back later if the manufacturer turns out to be someone you shouldn't have bought from.

DJI, a major Chinese drone maker, got FCC approval for its Osmo Pocket 4 Pro on November 26th, roughly four weeks before foreign drone companies hit the Covered List on December 22 The Verge. Another company named Xtra received FCC approval on June 17th The Verge. But neither of these approval documents appears in the FCC's public database, raising questions about whether those filings were timed to slip through before the deadline The Verge.

The Testing Lab Investigation

The FCC is also investigating SGS-CTST, a laboratory that tests whether radio equipment meets safety standards before the FCC approves it The Verge. If that lab helped banned companies get approval, the agency wants to know. This suggests the FCC is not just policing the companies themselves but also the process they use to get approved.

The Bigger Picture

In December 2025, the FCC banned imports of new foreign-made drones, including DJI's products, for security reasons Reuters. DJI filed a lawsuit in February 2026 to fight that ban Reuters. In May, DJI argued that security experts found its products are safe Reuters.

But the government's approach has not been entirely one-sided. In June, a US agency softened its position and removed some Chinese toy drones from the ban list Reuters. More importantly, on July 1, the FCC said it would not ban all foreign-made parts outright, calling such a blanket approach too harsh FCC.

This tells us something about the FCC's plan. Instead of prohibiting all foreign parts across the board, the agency is focusing on specific companies and the labs that certify them. The eight companies facing fines fit this pattern — the FCC is not claiming they sold banned equipment, only that they are refusing to say whether they did.

What Happens Next

Two key questions hang over this case. First: did DJI or Xtra time their FCC filings to beat the regulatory deadline. Second: can the FCC actually take back approvals that were issued just before the Covered List went into effect. If you bought a drone or camera between November and December, those answers matter to you.