The prohibition applies where the device would itself be prohibited from authorization under 47 CFR 2.903(a) had the Covered List entity produced the device as a whole. The FCC defines a "logic-bearing hardware component" as any physical component that generates and uses timing signals or pulses at a rate in excess of 9,000 pulses per second and uses digital techniques. It also includes any physical component that generates and uses radio frequency energy to perform data processing functions such as computation, storage, or transfer of data.

The FCC requires that any modification or permissive change to equipment by an entity identified on the Covered List undergo full certification. The agency clarified that its marketing rules reach any entity, including online marketplaces, that markets unauthorized equipment. This clarification extends regulatory oversight to digital platforms facilitating the sale of non-compliant communications devices.

The FCC requires online marketplaces to display a device’s FCC ID at the online point of sale, subject to limited exceptions. Online marketplaces with physical access to inventory must display FCC IDs by March 1, 2027. Online marketplaces relying on seller certifications must comply with FCC ID display requirements by June 1, 2027. These staggered deadlines allow different business models time to adjust their technical and operational systems.

The FCC amended its definition of "critical infrastructure" as used on the Covered List. The agency also corrected two administrative errors in its rules. The final rule is effective 30 days after its date of publication in the Federal Register. The FCC determined that the rule is "nonmajor" under the Congressional Review Act.

Timeline

On July 22, 2026, the Federal Communications Commission adopted a final rule titled "Protecting Against National Security Threats to the Communications Supply Chain through the Equipment Authorization Program". On that same date, the Federal Communications Commission requires online marketplaces to display a device’s FCC ID at the online point of sale, subject to limited exceptions. Also on July 22, 2026, the Federal Communications Commission prohibits the authorization of devices that incorporate logic-bearing hardware components produced by an entity identified on the Commission’s Covered List. The Federal Communications Commission clarifies that its marketing rules reach any entity, including online marketplaces, that markets unauthorized equipment on July 22, 2026.

On July 22, 2026, the Federal Communications Commission defines a "logic-bearing hardware component" as any physical component that generates and uses timing signals or pulses at a rate in excess of 9,000 pulses per second and uses digital techniques. The Federal Communications Commission amended its definition of "critical infrastructure" as used on the Covered List on July 22, 2026. On July 22, 2026, the Federal Communications Commission estimates one-time implementation costs for the rule at no more than $300 million.

What's New

Since 2022, the FCC has adopted a series of orders designed to prevent equipment identified on its Covered List from receiving FCC equipment authorizations and entering the U.S. market, according to hlc.com. This historical context establishes the regulatory pattern leading to the July 2026 final rule.

Why It Matters

The rule targets the integration of components from entities deemed national security threats into the U.S. communications infrastructure. By defining logic-bearing hardware components and extending marketing rules to online marketplaces, the Federal Communications Commission closes potential loopholes in the equipment authorization program. The requirement for FCC ID display at the point of sale increases transparency for consumers and retailers regarding the origin and compliance of communications devices.

The agency projects that the annual benefits from reduced security risks could exceed $1 billion, outweighing the estimated recurring annual costs of under $40 million. The one-time implementation costs are capped at $300 million. These estimates suggest the Federal Communications Commission views the security improvements as economically justified relative to the compliance burden placed on manufacturers and online marketplaces. The staggered compliance dates for marketplaces provide a structured transition period for the industry.