US authorities bans tech exports to high drone maker DJI

Enlarge / A DJI Encourage drone flying in Brandenburg, Germany. (credit score: Patrick Pleul / Getty Photographs)
The US Division of Commerce has added dozens of Chinese language firms to its “entity listing” of firms that will not buy know-how from US firms and not using a license from the feds. The brand new listing contains DJI, the world’s largest drone producer. It additionally contains SMIC, a significant Chinese language chipmaker that has carried out enterprise with Qualcomm and different Western firms.
This is likely one of the authorized weapons the Trump administration used in opposition to smartphone-makers Huawei and ZTE a couple of years in the past. The export ban in opposition to these two firms had a devastating impact on the businesses as a result of it meant they could not get entry to Google software program, Qualcomm chips, and different Western applied sciences.
It isn’t clear if the export ban will likely be as damaging to DJI because it was to Huawei and ZTE. Not solely has DJI dominated the drone enterprise for years, however Chinese language firms dominate important elements of the drone provide chain. So DJI won’t have as a lot bother sourcing elements from home provide chains. Nonetheless, the announcement will definitely make it troublesome for DJI to take care of its dominance of the drone enterprise exterior of China.Learn three remaining paragraphs | Feedback

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