FCC Expands Supply Chain Ban to Components and Online Marketplaces
New FCC rules prohibit equipment authorization for end products containing 'covered' hardware components and impose verification duties on e-commerce platforms.
The Federal Communications Commission (FCC) has significantly expanded its equipment authorization prohibitions to further secure U.S. communications supply chains. Under a new Third Report and Order, the FCC will now deny authorization to any end product containing "logic-bearing hardware components," such as chipsets, produced by an entity on its national-security Covered List. This rule applies regardless of whether the final product manufacturer itself is on the list, creating substantial new diligence obligations for technology companies.
Sophisticated counsel should advise clients that the order also extends the FCC’s authority to online marketplaces that facilitate third-party sales. Platforms engaged in services like fulfillment or warehousing will now be responsible for verifying that listed radiofrequency devices are properly authorized by the FCC and must display the product's FCC ID online. This imposes a significant new compliance framework on e-commerce operators. The component ban takes effect on October 13, 2026, while the marketplace rules phase in through mid-2027, requiring immediate attention to supply chain verification and platform compliance protocols.