Insta360 vs DJI: In-Depth Analysis of the Panoramic Drone Market Competition

Based on the collected information, I will provide you with an in-depth analysis report on the supply chain battle between Insta360 and DJI.

In July 2025, two major smart imaging giants in Shenzhen broke out a notable “cross-border war”. Insta360 announced its high-profile entry into the consumer drone market on July 23, launching its first panoramic drone brand “Antigravity A1”, targeting the core market where DJI has long held an absolute advantage[1][3]. Just 48 hours later (July 31), DJI quickly launched its first panoramic camera, Osmo 360, with a pricing of RMB 2,999, strongly entering the panoramic camera track that Insta360 has monopolized for years[2][4]. This “mutual market encroachment” offensive and defensive battle marks the upgrade of the two parties from non-overlapping competition to all-round market competition.

DJI’s price counterattack can be described as “fast, accurate and ruthless”. At the end of July, the standard set of its panoramic camera product Osmo 360 was priced at RMB 2,999, which was RMB 800 lower than the launch price of Insta360’s flagship model X5, directly breaking through the price defense line[1][2]. In September, DJI’s thumb camera Osmo Nano, which targets Insta360 GO Ultra, was launched shortly after. With the national subsidy, its price is RMB 900 lower than GO Ultra, and its monthly sales on Douyin exceeded 20,000 units[1]. In October, DJI further launched an aggressive price reduction strategy, cutting prices for its handheld imaging device Pocket3, Action4 sports camera, and panoramic camera Osmo 360.

According to the internal letter released by Liu Jingkang, founder of Insta360, on December 8, 2025, Insta360 accused a certain “industry giant” in Shenzhen of carrying out “unfair exclusive measures” against its distribution stores and supply chain[3]. Specific manifestations include:

• Sudden Exclusive Pressure on Core Suppliers
  : DJI pressured suppliers to stop supplying Insta360 or offering preferential terms to it
• Exclusive Agreements Imposed on Distributors
  : Multiple Insta360 distributors reported that their partners terminated cooperation with them on the grounds of “suspected operation of competing products” by DJI, due to reasons such as posting recruitment information on behalf of Insta360
• Case of Channel Blockade
  : A distributor in Hunan Photography Equipment City, who invested over RMB 1 million in renovating an Insta360 image store, was required by the mall to remove the store sign. The reason is that the mall signed a “Shop Lease Supplementary Agreement” with a DJI distributor, promising “not to introduce or allow third parties with brands that are strong competitors to DJI products to enter”[2]

This supply chain battle has directly affected the market shares of both parties. According to JQ Middle Office data, in Q3 2025, Insta360’s global market share in the panoramic camera market plummeted from the previous 85%-92% to 49%, while DJI captured a strong 43% share[1][3]. Although the Frost & Sullivan report shows that Insta360 still ranks first with a 75% market share and DJI has 17.1%, both reports confirm that DJI has successfully disrupted the panoramic camera track[1].

Facing DJI’s strong offensive, Insta360 chose to open up a new battlefield through technological innovation:

• Unique Positioning of Panoramic Drone
  : Antigravity A1 is the first drone that integrates 360° panoramic imaging, immersive flight perspective, and somatosensory control into one system, offering three configurations: standard version, standard battery life three-battery version, and long battery life three-battery version[1]
• Technology Integration Innovation
  : Combine panoramic technology advantages with flight platforms to create a “God’s view” panoramic shooting experience
• Software Ecosystem Construction
  : Launched Insta360+ cloud service, integrating cloud storage, cloud sharing, cloud playback, cloud editing, and cloud export into one platform

• Internal Letter Communication
  : Liu Jingkang released an internal letter to refute rumors of “sluggish sales”, revealing that Antigravity’s sales in China alone exceeded RMB 30 million within 48 hours
• Legal Actions
  : On December 22 and 23, two consecutive days, Insta360’s Legal Department issued statements stating that a large amount of malicious and false information targeting the new Antigravity drone appeared online, and offered a public reward for reporting “smear” content
• Data Refutation
  : Emphasized that the accuracy, completeness, and authority of third-party data cannot be verified, and reminded investors of risks

• Certification processes are underway in multiple overseas markets, and overseas launches will be rapidly promoted
• The proportion of sales through KA channels in the US market continues to increase
• High-end imaging technology expansion plan in cooperation with Leica

Based on the Insta360 case and industry research, the following is a systematic strategy for innovative enterprises to cope with suppression by industry giants:

Supply Chain Resilience Construction Path:
1. Supplier Diversification → Reduce reliance on a single supplier
2. Deepen Strategic Cooperation → Establish interest binding with core suppliers
3. Consider Vertical Integration → Self-develop or produce key links
4. Reserve Alternative Suppliers → Establish an emergency supply chain system

• Precise Positioning
  : Focus on young creator groups and build brand recognition
• Community Operation
  : Enhance user stickiness through user community operation
• Online Channel Advantages
  : Use e-commerce platforms to connect directly with consumers
• Content Marketing
  : Spread through KOLs and user-generated content

• Software Ecosystem
  : Build a complete ecosystem covering shooting, editing, and sharing
• Platform Cooperation
  : In-depth cooperation with platforms such as Apple (e.g., Flow Pro integrated with Apple DockKit technology)
• Industry Application Expansion
  : B-end scenarios such as VR house viewing, city monitoring, sports events, and film and television content production

1. Reshaping of Market Competition Pattern
   : From oligopoly to duopoly competition
2. Accelerated Technological Innovation
   : Competition between the two parties drives rapid technological iteration in the industry
3. Benefits for Consumers
   : Price reduction and accelerated product innovation
4. Prominence of Supply Chain Discourse Power
   : Supplier selection becomes a key battlefield

• Differentiated innovation is an effective path to break through the blockade of giants
• Emerging enterprises can open up new blue oceans through technological innovation
• Global layout can diversify market risks

• Giants can counterattack through supply chain and channel advantages
• Price wars will compress industry profit margins
• Supply chain security has become a strategic issue

1. Short-term (2026)
   : The two parties will continue to compete fiercely in each other’s core markets, and price wars may continue
2. Mid-term (2027-2028)
   : The market may form a relatively stable duopoly pattern
3. Long-term
   : The two parties may achieve differentiated coexistence in certain niche markets, or integrate the industry through mergers and acquisitions

The supply chain battle between Insta360 and DJI is a typical case of the smart imaging industry shifting from an incremental market to a stock game. This competition reveals several key facts:

1. Supply chain control is core competitiveness
   : Relying on its accumulated supply chain advantages over the years, DJI can quickly launch cost-competitive products and impose supply chain blockades on competitors
2. Technological innovation is the foundation of differentiation
   : Insta360 opened up a unique competitive track through the integrated innovation of panoramic technology and drones, and the sales of RMB 30 million within 48 hours prove market recognition
3. Brand and channel construction are equally important
   : Beyond product competition, brand recognition and channel coverage have become key battlefields for market share competition

[1] Sina Finance - “Insta360 vs DJI Competition Intensifies” (https://finance.sina.com.cn/jjxw/2025-12-13/doc-inhaqtkv5167240.shtml)

[2] The Paper - “Price Wars, Supply Chain Blacklisting, Channel Blockade: All-Round Showdown Between Insta360 and DJI” (https://m.thepaper.cn/newsDetail_forward_32294040)

[3] Guancha - “Insta360 vs DJI Business War Escalates? Liu Jingkang Says Core Suppliers Face Exclusive Pressure” (https://www.guancha.cn/economy/2025_12_09_799910.shtml)

[4] Securities Times - “King of Drones vs Overlord of Panoramic Cameras: Behind DJI and Insta360’s Mutual Market Encroachment” (https://www.stcn.com/article/detail/3170957.html)

[5] Kimi AI - “Insta360 Company Research Report” (https://www.kimi.com/share/zh/d19v3e8nnlr1nd3psl70)

[6] Shanxi Securities Research Institute - “Increase Holdings in Insta360 (688775.SH), a Consumer Electronics Device Company” (https://pdf.dfcfw.com/pdf/H3_AP202510131761220053_1.pdf)