The DJI Divide: Two Camps in a Changing Drone Industry
By Kevin Padilla
The drone industry is facing a turning point. What was once a field driven by innovation and affordability is now being reshaped by politics, security, and global economics. The upcoming FAA Part 108 rule, expected to be finalized in early 2026, will establish new certification requirements for Beyond Visual Line of Sight operations and align commercial drone standards more closely with manned aviation.
At the same time, the National Defense Authorization Act (NDAA) has set a hard deadline: if the Federal Communications Commission (FCC) does not complete a national security review of DJI by December 23, 2025, the company will be placed on the U.S. “Covered List.” This designation would block new DJI imports and radio authorizations, effectively cutting off their access to the U.S. market.
The drone world is now splitting into two camps. On one side are the DJI loyalists, operators who built their livelihoods on DJI’s reliability, affordability, and accessibility. On the other side are the realists, those who have accepted that U.S. regulation is closing in and have already begun investing in NDAA compliant systems.
The Loyalists: Waiting for Normal to Return
For many pilots, DJI has been the gold standard for nearly a decade. The systems simply worked. The interface was intuitive, customer service was responsive, and even DJI’s in-house insurance program was exceptional. Operators could buy a fully capable RTK drone for under $6,000 and deliver professional grade results.
Now, with growing federal restrictions, those same operators are watching anxiously as their primary workhorse faces a likely ban. The hope is that everything will go back to normal and DJI will somehow regain approval in the U.S. market. However, as the FAA’s Part 108 rulemaking and federal NDAA compliance requirements take start taking shape, it is becoming clear that Chinese made drones will not be permitted for sensitive or government linked projects. This will be REGARDLESS of the results of the covered list.
For many small commercial drone operation businesses this is devastating. The equipment they built their brand around, the workflows they refined, and the investments they made in training and insurance are all tied to a system that may soon be restricted.
Even clients who understand drone technology usually know only the DJI name. It is the brand they have seen on social media, in documentaries, and in marketing for years. That familiarity helped small operators win work and explain value quickly. Losing that recognition means they will now have to re-educate clients about why new aircraft cost more, look different, and are worth the change.
Rebuilding that foundation with compliant aircraft and new client expectations will be costly and time-consuming. Maybe.
The Realists: Preparing for the Post DJI Era
A growing group of operators has accepted reality.
They have begun shifting toward NDAA compliant drones such as the ACSL SOTEN (like us), or Skydio X10. These systems are more expensive, sometimes twice the cost, but they meet the standards that federal, energy, and infrastructure clients will soon require.
This group is not chasing performance gains. They are protecting their viability. Once the new certification requirements go live, those already operating compliant systems will be the only ones eligible for high trust contracts.
It is a painful transition, but a smart one.
It is also important to note that the Pentagon has officially designated DJI as a “Chinese Military Company” under Section 1260H of the National Defense Authorization Act for Fiscal Year 2021. This formal recognition of DJI’s connection to China’s defense industrial base signals that Chinese manufactured systems will face significant challenges in U.S. federal and critical infrastructure operations.
Furthermore, several shell companies and subsidiaries have been identified as using DJI’s core technology under different brand names to disguise origin and maintain access to restricted markets. This tactic has already drawn attention from both the Department of War (DoW… wild) and the Federal Communications Commission, which are moving to close those loopholes.
Recent investigations have raised questions about Anzu Robotics, a Texas-based firm that markets drones nearly identical to DJI models, and Xtra Technology, a Delaware company reportedly selling camera systems based on DJI’s hardware and firmware. While both companies have denied direct ties, federal lawmakers and industry analysts have expressed concern that such entities may be acting as passthroughs for DJI technology.
As these enforcement measures expand, operators relying on rebranded or derivative Chinese systems may find themselves subject to the same restrictions as DJI itself.
The Economic Divide: A New Barrier and a New Opportunity
For smaller drone operators, this shift feels like financial whiplash. DJI made professional aerial work accessible. With NDAA compliant aircraft now costing double for similar output, many operators will hesitate to reinvest. That hesitation will create a vacuum that others will fill.
As government and infrastructure clients phase out non compliant systems, demand will outpace supply for qualified and compliant pilots. Those who already hold the right hardware and follow proper processes will win contracts faster and command higher rates. The gap between those who are ready and those who are waiting will widen quickly.
AeroVis positioned early. By standardizing around NDAA compliant systems and aviation grade data governance, the company is built for the environment that is coming, not the one that is passing.
The Next Frontier: Data Compliance
Hardware is only half of the equation. The next regulatory bottleneck will be data handling. How imagery is transmitted, stored, and archived will determine compliance as much as which drone captures it.
Even if an operator flies an NDAA approved aircraft, using a foreign cloud service or unsecured server can invalidate a contract. Data sovereignty, encryption, and Criminal Justice Information Services (CJIS) aligned practices are becoming the new benchmarks.
Insurance and Liability Will Follow
The insurance market is already shifting. Expect policy renewals to require proof of compliance, both in hardware and data handling. Some carriers will begin excluding coverage for non-compliant systems, while others may charge higher premiums for DJI based operations.
This will surprise many operators but strengthen the market’s overall credibility. Those who fly secure systems with documented safety management and data protection will not only be compliant, but they will also be insurable.
Reputation and Trust Will Replace Spec Sheets
Clients are moving past questions about performance and into questions about trust. The issue is no longer “how sharp is your camera” but “can I trust your system.”
Companies that project aviation discipline, security, and transparency will lead the market. Veteran owned and compliance driven firms like AeroVis will naturally rise as the standard, not because of marketing but because of reliability.
Training and Documentation: The Next Gold Rush
Part 108 will introduce deeper scrutiny of how operators plan, document, and execute missions. FAA compliant operations will demand structured safety cases, risk assessments, and standardized mission logs that resemble manned aviation more than hobbyist flying.
That training gap will leave many operators unprepared. Those who invest early in proper documentation, process management, and disciplined workflows will hold a major advantage when the FAA tightens oversight.
Global Operations: The Advantage of Mobility
While U.S. regulations tighten, many international markets will remain open to Chinese manufactured drones. This will create a global split in drone economics. Compliant operators will be able to move between high value U.S. contracts and lower cost international projects without losing utilization.
AeroVis’ global footprint allows it to adapt quickly to that divide, maintaining secure and compliant U.S. operations while staying agile abroad.
Conclusion
The DJI ban is not just regulatory, it is geopolitical. It represents a collision between national security, global trade, and technological dominance. DJI controls an estimated 60 to 75 percent of the global drone market, and it is rumored that roughly one third of the company’s total revenue comes from the United States, where it also holds an estimated 75 to 80 percent of the domestic market share. That scale is extraordinary. By most business principles, including. The 22 Immutable Laws of Branding, no single company should be able to hold more than half of any industry for long, yet DJI has done exactly that.
This level of market concentration means the coming ban will not be a quiet transition. The ripple effects will reach far beyond hobbyists and small operators. It will affect training programs, global supply chains, and even the pace of technological innovation worldwide. Sectors such as agriculture, security, energy, and logistics will all feel the disruption as DJI’s footprint shrinks and compliant alternatives race to fill the gap.
For drone manufacturers, this moment is a once in a generation opening. The vacuum DJI leaves behind is a massive opportunity for new and existing companies to redefine the market through security, transparency, and domestic innovation. For operators, it is a call to evolve. Those who invest now in compliant platforms, secure data pipelines, and disciplined workflows will become the foundation of the industry that replaces DJI’s era of dominance.
Above. It. All
