Dronemaker DJI buys into 3D printer manufacturer Elegoo — move seen as way to diversify away from drones amid worries of U.S. ban
It's moving from making flying machines to making machines that can make flying machines.
Embattled drone maker DJI has reportedly invested in 3D printer manufacturing, helping diversify its business as it faces challenges in the U.S. According to TechNode, 3D printing brand Elegoo’s parent company, Shenzhen Zhinengpai Technology, added DJI as one of its shareholders following an update to its business registration on November 18. It has also reported a capital of CNY 6.44 million, or around US$900,000, which should be a small amount given the company’s standing as the world’s largest drone maker.
This move can be seen as the company hedging its bets and diversifying its business, especially as it’s currently targeted by Washington, D.C. There have been security concerns with DJI drones since 2016, with the authorities growing more concerned in 2017 when Beijing passed its National Intelligence Law, which requires companies to cooperate with state intelligence when asked. By 2020, the company was added to the U.S. Department of Commerce’s Entity List, which prohibited it from buying from U.S. firms. Despite that, it was still allowed to sell its drones to the American public.
2024 saw significant action in the U.S. House of Representatives, where a provision that would have banned all DJI sales in the U.S. was dropped at the last moment from the 2025 NDAA. Despite that, the company was given one year to prove that it is not a national security risk. The company received another blow earlier this year when a U.S. court ruled that the Department of Defense could designate it as a “Chinese military company.” Even though the court rejected the DoD’s justifications for adding DJI to its list, it still upheld the move, saying that its products have “substantial dual-use applications.” The drone maker is not taking this lying down, though, and it’s currently appealing this ruling.
However, the deadline to clear itself is quickly approaching, especially as we only have a few days left until December of this year. So, it seems that its investment in 3D printing is a way for the company to diversify its business and move away from drones. Elegoo has been manufacturing affordable 3D printers, like the Elegoo Centauri Carbon, and it has a massive Black Friday and Cyber Monday sale with a lot of great deals.
Although DJI is unlikely to step away from drone manufacturing, it makes sense for it to invest in 3D printer manufacturing, especially as the industry is burgeoning.
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Jowi Morales is a tech enthusiast with years of experience working in the industry. He’s been writing with several tech publications since 2021, where he’s been interested in tech hardware and consumer electronics.
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edzieba Interestingly not Bambu Lab, since Bambu was founded by ex-DJI engineers. Sour grapes, maybe?Reply