Tech

Shell companies bypass US drone ban using DJI technology, investigation reveals

An investigation by The Verge shows that Odyssey Robot and other entities are using false US manufacturing claims to circumvent the Federal Communications Commission’s prohibition on foreign-made consumer drones.

Author
Owen Mercer
Markets and Finance Editor
Published
Draft
Source: The Verge · original
Whack-a-drone
FCC’s reliance on outsourced certification bodies and lax vetting allows front firms to secure approvals for banned foreign hardware

An investigation by The Verge has revealed that the US Federal Communications Commission’s ban on foreign-made consumer drones is being circumvented by shell companies, such as Odyssey Robot, which falsely claim US manufacturing to secure approval for devices utilizing proprietary DJI technology. The FCC’s reliance on outsourced Telecommunications Certification Bodies and lack of rigorous vetting for US agents has allowed these entities to evade enforcement, prompting the agency to propose fines and retroactive bans against identified front companies.

Odyssey Robot, trading as Galiview Tech, became the first DJI-equipped drone brand to receive FCC approval since the ban began in December 2025. The devices utilise proprietary DJI OcuSync wireless transmission technology, a feature explicitly listed on the company’s website. Despite these clear indicators of foreign origin, the FCC approved the hardware after a self-styled compliance director declared on official forms that the drones were designed, developed, and manufactured in the United States.

The regulatory failure stems from a system where the FCC outsources authorisation to approximately 40 private Telecommunications Certification Bodies. Legal experts note that there is no active vetting of the US agents required for foreign companies, allowing entities to provide disconnected phone numbers and virtual addresses. In the case of Odyssey Robot, the declared US manufacturing address was a coworking space that prohibits onsite production, while the claimed assembly facility was identified as an e-waste recycling company.

In response to the identified front companies, the FCC has proposed fines and retroactive import bans. On July 10, the agency proposed $25,000 fines against eight DJI front companies, noting that their US agents failed to respond to regulatory correspondence. Subsequently, the FCC issued show-cause orders and threatened retroactive bans on the import, sale, and distribution of products from these entities, aiming to halt the flow of banned technology into the US market.

To prevent future circumvention, the FCC is also proposing new rules requiring online retailers to display FCC IDs on product pages. This measure aims to increase transparency for consumers and allow for easier verification of device origins. However, concerns remain that without more rigorous verification of manufacturing claims and US agent legitimacy, the current enforcement mechanisms may continue to be exploited by foreign entities seeking to bypass national security restrictions.

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