The House Ban On DJI Drones Is Mindless Anticompetitive Fear Mongering

from the hyperbolic-hyperventilation dept

When it comes to China, the U.S. likes to pretend its business policies are well-crafted, logic-driven decisions based on the welfare of the markets and the public, but very often that’s simply not the case. We’ve already noted how the TikTok ban is an unconstitutional mess that doesn’t have the public’s support, in large part because it doesn’t actually fix any of the problems supporters of a ban like to claim.

Similarly our ban of Huawei, based on the unproven premise that the company was using network gear to spy on Americans en masse, has also been a hot mess. The government demanded U.S. telecoms engage in the costly act of ripping out all Huawei gear then replacing it with more expensive hardware, but failed to follow up on the demand or ensure the effort was adequately funded. Then they just forgot about it.

Now the House of Representatives is back again “fixing stuff,” with a new narrowly passed bill that would ban Chinese dronemaker from doing business in the U.S. The “Countering CCP Drones Act,” rolled into a broader military funding bill, put DJI on an FCC “covered list” created by the  Secure and Trusted Communications Networks Act of 2019, effectively barring DJI from functioning in the U.S.

Republican bill sponsors Mike Gallagher and Elise Stefanik say the ban is necessary because China has somehow using the dronemaker to spy on Americans:

“DJI drones pose the national security threat of TikTok, but with wings. The possibility that DJI drones could be equipped to send live imagery of military installations, critical infrastructure, and the personal lives of American citizens to China poses too great a threat.”

As with past mass hyperventilation efforts of this type, there’s no actual evidence that’s true. But the fact there’s no evidence supporting any of these claims is barely mentioned in press coverage (try to find where the New York Times clearly informs readers of the total lack of evidence in this lengthy expose).

As Jason Koebler at 404 Media notes in a must-read piece, not only is there no evidence of DJI wrongdoing, the company is senselessly being punished for adhering to past drone regulations designed by the U.S. government:

“Essentially, the US government pressured drone manufacturers to implement privacy and safety features that required internet infrastructure to operate, DJI built those features, and now lawmakers say those same features could be used by China to spy on Americans and are the reason for the ban. Meanwhile, the only existing American drone manufacturers create far more invasive products that are sold exclusively to law enforcement and government entities, which are increasingly using them to conduct surveillance on American citizens and communities.”

As with TikTok, if Congress was genuinely worried about consumer privacy, they’d regulate data brokers and pass a meaningful internet-era privacy law (data brokers sell vast, detailed demographic, behavior, and location data to anybody with two nickels to rub together, including foreign intelligence). If they were concerned about meaningful Chinese influence on government, they’d battle corruption.

Almost every time you dig beneath the hyperventilation over Chinese tech you’ll find some U.S. company that is whispering bullshit in the ears of Congress. Facebook spent years seeding worries about TikTok across Congress. Cisco did the same thing to Huawei. It’s trivial to get already xenophobic, paranoid, and trigger-happy policymakers all hot and bothered on the subject of China:

“What happens is you get competitors who are able to gin up lawmakers who are already wound up about China,” said one Hill staffer who was not authorized to speak publicly about the matter. “What they do is pull the string and see where the top spins.”

DJI enjoys a massive (90%ish) market share on the U.S. drone market, and despite years of trying, most U.S. drone making companies have failed to compete on both quality and price. Since they can’t compete, competitors like SkyDio (themselves ironically tethered to U.S. first responder surveillance) want the competitor removed. It’s often genuinely that simple. Privacy or public welfare doesn’t enter into it.

This is all once again a byproduct of corruption, not malicious Chinese influence (not to suggest the Chinese government doesn’t routinely spy or can’t be malicious). But most of our tech policy “solutions” for China aren’t actual solutions; they’re hyperbolic freak outs carefully cultivated by companies that don’t want to compete with less expensive Chinese hardware.

It would be one thing if we implemented bans based on solid evidence and careful consideration, crafted to have a meaningful, lasting impact. But that’s rarely what happens. Instead we usually get a massive wave of hyperbole parroted by a broken press, a sloppy and rushed solution, and absolutely zero follow up.

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Companies: dji

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Comments on “The House Ban On DJI Drones Is Mindless Anticompetitive Fear Mongering”

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15 Comments
Kevin P. Neal (profile) says:

Wait...

So US government tried to solve a “problem” by created a new, larger one, and then they used the new problem as a justification for an even more sweeping law? And this whole time they aren’t actually fixing any problems along the way? Say it ain’t so!

What’s next? Creating vast databases of American IDs ripe for abuse in order to “solve” the problem of age verification?

Skyward Wings (profile) says:

Re: How New Solutions Can Create Bigger Problems

It sounds like you’re describing a common issue where attempts to solve one problem create new, larger ones. This can happen when policies are implemented without fully addressing potential side effects. For instance, creating large databases for age verification could lead to privacy concerns and other risks if not managed properly. At Skyward Wings, we advocate for carefully balanced solutions that address problems effectively without introducing new challenges.

9Blu (profile) says:

Side "Benefit"

One side benefit of this, at least for some in the government and private sector, is that it will essentially kill the recreational drone market. Companies working on commercial drone services would be very happy to have us out of the airspace. It will also destroy small part 107 commercial users doing things like inspections, mapping, or real estate photography. A lot of smaller operators won’t be able to afford moving to platforms like SkyDio which can cost 5x to 10x the price of a DJI drone.

Oliver Wendell Jones says:

Is this the pot calling the kettle black?

Am I imagining things, or didn’t the US Govt surreptitiously intercept packages of networking equipment made by “Safe and Secure American Network Manufacturers” and install spying hardware before delivering to other nation’s embassies and other political targets? Why is it when WE do it, it’s GOOD – but when the other side does it, it’s BAD?

Anonymous Coward says:

Way I look at it, we first should look at what the government doesn’t consider a problem, and that is the accidental discharge of a pathogen that wound up killing more than 1 million Americans.
https://www.nytimes.com/interactive/2024/06/03/opinion/covid-lab-leak.html

So Tik-Tok? The drone company, etc. The US fancies itself the world’s financial policeman, and China is getting too big for its britches. That’s what it is all about.

Meanwhile, I see that elephant in the room – that pathogen. That is what the government didn’t have a concern with.

cl2000 (profile) says:

It is about Foreign Ownership, Control or Influence

Similarly our ban of Huawei, based on the unproven premise that the company was using network gear to spy on Americans en masse, has also been a hot mess.

I’ve seen this incorrect statement several times on Techdirt. The ban on Huawei is based on the fact that they supply telecommunications infrastructure and are subject to foreign ownership, control or influence. From a national security perspective it would be foolhardy to wait until there is evidence of actual spying before banning them.

T.L. (profile) says:

Re:

No, that’s not how it works. You’re supposed to base national security risks on evidence, not feelings. To bar a company from doing business in the U.S. based on national security concerns that lack evidentiary basis is the equivalent of arresting someone for a crime they hadn’t committed without specifying what the crime is. The government’s foreign trade powers were not meant to be used that way.

That’s why TikTok’s suing the government for passing a law trying to ban it while refusing to specify any national security concerns that aren’t hypothetical in nature. In fact, Trump’s attempted TikTok ban in 2020 was blocked in part for lack of evidence of a credible security threat (on top of the implied First Amendment violations for using regulatory powers that didn’t allow the President to embargo First Amendment-protected materials, like Internet platforms).

cls says:

Hwawei had it coming!

I worked at Cisco, 25 years ago, when Hwawei (via a Cisco employee) stole the source code for IOS. I know who did it. It wasn’t hard to do. Proof was shown 9 months later, Hwawei demonstrated feature parity and exact same command structure with Cisco advanced features.

So Hwawei has had it coming for a long time.

That said, this banning DJI multicopter is ridiculous. Performative at best, self destructive for sure, and as noted above, cynically repressive of our freedoms at worst.

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