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World’s largest drone maker DJI is unfazed by challenges like US blacklist


Chinese drone maker DJI is dominating the market – despite being blacklisted by the U.S.

The world’s biggest drone maker DJI found itself embroiled in the Russia-Ukraine conflict last year.

In March, three weeks after Russia’s invasion began, a Ukrainian minister called out DJI on Twitter for being complicit in the war.

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DJI is just one of many tech companies that has found its products used on the battlefield.

The Russian military allegedly used its drones on the battlefield. It includes the Mavic 3 drone, and Aeroscope, a drone-detection platform that enables users to identify the location of a drone operator. 

DJI — also known as Da Jiang Innovations — denied the allegations and insisted its products are designed for civilian use, and “do not meet military specifications.”

“We certainly don’t support their use for combat,” Adam Welsh, DJI’s Head of Global Policy, told CNBC.

“The unfortunate thing is that it’s a very reliable product. So, it’s become a product of choice, even for those who want to use a drone inappropriately.” 

DJI suspended its product sales to Russia and Ukraine in April. That suspension continues to be in place.

How popular is DJI? 

he DJI Mavic 3 Cine Drone in action on November 15,2021 in Guildford, England.

Chris Gorman | Getty Images

DJI currently employs over 14,000 employees.

According to Welsh, 25% of DJI’s employees are research and development-based, a testament to the company’s focus on innovation.

From filmmaking, agricultural seeding to search-and-rescue, DJI drones are used for many purposes spanning diverse industries.

U.S. investment blacklist

The use of DJI technology in military circumstances is not the first major concern that has plagued the company’s meteoric rise.

In December 2021, the U.S. government added the drone manufacturer, as well as numerous other Chinese firms, to its economic blacklist. The company was blacklisted because of its alleged involvement in the surveillance of Uighur Muslims, an ethnic minority in China’s Xinjiang region.

We’ve stated unequivocally that we have had nothing to do with treatment of Uighurs in Xinjiang.

Adam Welsh

Head of global policy, DJI

The blacklist also bans American investors from buying or selling shares in the company.

“It’s very unfortunate. We’ve stated unequivocally that we have had nothing to do with treatment of Uighurs in Xinjiang,” Welsh said.

The drone manufacture has also stepped up lobbying efforts against a national security ban by Washington, which alleged last year that it was a “Chinese military company.”

“The truth is that we’ve gone through numerous audits of our firmware and of our products,” he said, adding that the company has cooperated with U.S. authorities and “in no case have they found the data is going anywhere it shouldn’t.”

A drone’s firmware is what the drone uses to control all the important operations, like flight, battery management and data protection.

Security concerns

Still, DJI’s technology is not fail-safe.

Paolo Stagno, a cyber security expert, said there is a black market of modified DJI drones’ firmware.  

“Most of the pilots that want to unlock the drones download such firmware in order to remove limitation about the height and the distance from the drone operator,” Paolo told CNBC.

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