New FCC rule cracks down on hidden banned components
The US Federal Communications Commission (FCC) has formally launched a new regulatory power that is already blocking commercial certification for two devices because they contain a surveillance‑grade system‑on‑chip (SoC) made by HiSilicon, Huawei’s chip‑design arm. The move, which took effect on 13 October, closes a long‑standing loophole that allowed third‑party manufacturers to sell products bearing their own brand while using hardware supplied by companies on the US “Covered List” of national‑security risks.
Devices caught in the ban
The two products halted before they could receive FCC approval are:
- A vehicle‑mounted camera.
- A wireless video transmitter.
Neither item is marketed under the Huawei name, but both share a critical internal component: the HiSilicon Hi3516CV610 integrated circuit. According to the manufacturer’s technical documentation, this chip is designed for “the surveillance market” and incorporates built‑in facial‑recognition algorithms.
Why the chip triggered the block
HiSilicon has been on Washington’s Covered List since March 2021, meaning US regulators consider its products a threat to national security. The previous FCC rules only prohibited the sale of end‑products that were directly manufactured by listed firms such as Huawei or Hikvision. Assemblers could therefore place their own branding on a device and integrate banned parts without the FCC having grounds to deny approval.
The new regulation eliminates that gap. Under the updated framework, **any** equipment that incorporates a “hardware component with logical capability” supplied by a blacklisted company is ineligible for certification. FCC Chair Brendan Carr described the devices as presenting “an obvious and unacceptable risk to the nation and its people.”
Scope and market impact
The rule is not retroactive. Devices that received FCC approval before 13 October may continue to be sold, provided the manufacturer does not introduce a revised version that swaps in a banned component. The policy also extends to other strategic sectors, notably US‑made drones, which can no longer be certified if they contain logical components from Chinese firms such as DJI or Autel.
Because applicants are now required to disclose the full hardware and software bill of materials—supported by internal board photographs and sworn statements—the FCC has opened a public comment period to refine these disclosure requirements. The agency aims to make the verification process more transparent and to prevent future circumvention of the ban.
Broader implications for the tech supply chain
This enforcement action signals a tougher stance by the United States on the presence of Chinese‑origin technology in everyday consumer and commercial gear. Companies that rely on third‑party component suppliers must now conduct deeper due‑diligence to ensure that none of their products contain parts from firms on the Covered List, even if those parts are hidden inside a seemingly innocuous device.
For manufacturers, the practical effect is twofold: they must either source approved components or risk having their products blocked from the lucrative US market. For consumers, the ban underscores growing concerns about privacy‑invading features—such as embedded facial‑recognition—being embedded in devices they may not even realize are compromised.
Key takeaways
- The FCC’s new rule (effective 13 October) blocks any product containing a logical component from a blacklisted company.
- Two devices—a vehicle camera and a wireless video transmitter—were recently halted because they use HiSilicon’s Hi3516CV610 surveillance chip.
- The Hi3516CV610 includes facial‑recognition algorithms and is manufactured by Huawei’s chip arm, which has been on the US security blacklist since 2021.
- The regulation is not retroactive, but it will affect any new product submissions or revisions made after the effective date.
- Sectors such as US drones are also impacted, and the FCC is seeking more detailed component disclosures from applicants.
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Source: fayerwayer.com





