The Iron Throne Teeters/AI-Generated Image

Manual Labor/Wage Bro

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Produced by/Unicorn Observer

During the recent Spring Festival, Insta360 was surpassed by DJI in online sales of panoramic action cameras.

According to Luotu Technology's 'China Action Camera Online Retail Market Weekly Tracker,' during Weeks 7-8 of 2026 (February 9-22), among the top brands in China's online panoramic action camera market, Insta360 secured a 45.1% sales share, ranking second, while DJI Osmo 360 took the lead with 52.9%.

It should be emphasized that third-party data lacks official authority due to differences in statistical methods and margins of error. However, the fact remains undeniable that Insta360's once-dominant position has eroded, moving from a clear lead to a significant market share decline. This shift reflects the 'domestic and international pressure' Insta360 now faces.

Externally, U.S. market leader GoPro has attempted to block some of Insta360's camera products by alleging design patent infringement. Internally, Chinese drone giant DJI has aggressively entered the panoramic camera sector, launching its first consumer-grade model, the Osmo 36, which quickly gained traction and continues to erode market share.

Relying on its technological edge and first-mover advantage, Insta360 established formidable barriers in the panoramic camera market, securing the global top spot for eight consecutive years. Now, facing both internal and external challenges, how can Insta360 break free?

01 The Fortress Begins to Crumble

Insta360's rise began with its strategic positioning in the panoramic camera market.

In 2015, when founder Liu Jingkang established Insta360, panoramic cameras were still niche professional devices, bulky and expensive, as seen in products from Ricoh and Samsung, making widespread adoption difficult. Insta360 targeted the consumer market, launching the compact and affordable Insta360 Nano, which quickly opened up the market and initiated the transition of panoramic cameras from professional to consumer use.

For Insta360, panoramic cameras are not only its foundation but also its core pillar.

From a revenue perspective, panoramic cameras have long contributed over 55% of total revenue. The X series, in particular, is a flagship product, with 2024 sales reaching 2.92 billion yuan, accounting for 52.74% of total revenue, making it Insta360's largest cash cow. Its self-developed technologies, such as dual-lens stitching and FlowState stabilization, have long led the industry, forming its core competitiveness.

Leveraging its first-mover advantage and technological iterations, Insta360 swiftly defeated early competitors, maintaining the top global position in the panoramic camera market for eight consecutive years starting in 2018, establishing a near-monopoly.

According to data from Jiuqian Zhongtai, in Q1 2025, Insta360 held a 91% share of the global consumer panoramic camera market, maintaining this level through the first half of the year, with virtually no competitors able to challenge its position.

Insta360 was synonymous with panoramic cameras, and the brand had become firmly entrenched in users' minds.

This pattern (pattern) was disrupted at the end of July 2025. Chinese drone giant DJI crossed over into the consumer panoramic camera market with its first model, the Osmo 360. Priced lower and offering a stronger ecosystem than Insta360's flagship Insta360 X5, it quickly seized market share.

According to Jiuqian Zhongtai, in just one quarter, DJI's Osmo 360 surged from zero to a 43% global share in Q3 2025, while Insta360's share plummeted from 91% in Q1 to 49%, Completely lose control (completely losing) its monopoly.

The attack was even more pronounced in China's e-commerce channels. Jiuqian Zhongtai data shows that in Q3 2025, DJI's Osmo 360 captured a 49% share in China's e-commerce market (GMV basis), surpassing Insta360's 47% and achieving a temporary lead.

On March 9, Jiuqian Zhongtai released its 'Handheld Smart Imaging Industry Research' annual market report, reaffirming the Q3 channel share pattern (pattern) and emphasizing that Q3 2025 marked a 'dramatic shift' in the panoramic camera market—after the launch of DJI's Osmo 360, its domestic e-commerce GMV share approached 50%, nearly equaling Insta360's position.

Luotu Technology's latest weekly data also confirms that online, DJI and Insta360 are now evenly matched.

02 Dual Pressure from Inside and Outside

Insta360's precipitous market share decline is the result of dual pressure from internal and external forces.

Domestically, DJI has directly challenged Insta360 with high cost-performance, cross-platform ecosystems, and brand strength. Overseas, GoPro has re-entered the market and initiated patent lawsuits, further eroding Insta360's share. Insta360's 'moat' is gradually being breached.

The core of the direct challenge comes from DJI. As the undisputed leader in the drone market, DJI's 2024 revenue exceeded 80 billion yuan, far surpassing Insta360's 5.6 billion yuan, giving it overwhelming advantages in technology, supply chain, and branding.

DJI's key strength lies in its cost-performance: the Osmo 360 is priced at 2,999 yuan, 800 yuan lower than Insta360's X5 at launch, with comparable core specifications, making it highly attractive to the consumer market and forcing Insta360 to lower prices, eroding profit margins.

Second is cross-platform ecosystem synergy, DJI's core competitive edge over Insta360. DJI offers a complete ecosystem from drones to stabilizers, and the Osmo 360 seamlessly integrates with its product lineup, providing a 'one-stop creative solution' that is far more appealing to professional creators than standalone hardware. This ecosystem advantage has enabled DJI to quickly convert its existing user base, becoming key to its rapid market share gains.

Additionally, DJI's strong brand momentum and supply chain advantages provide further support. Its reputation in the smart imaging space requires no additional brand education, and its massive supply chain scale allows it to control costs while maintaining high configurations, further enhancing its cost-performance.

GoPro's resurgence poses a flanking threat.

In September 2025, GoPro re-entered the panoramic camera market with the Max2, priced at $500, $50 cheaper than Insta360's X5, while promoting 'true 8K' to attract professional users.

Even more damaging was the patent lawsuit. In March 2024, GoPro filed a Section 337 investigation with the U.S. International Trade Commission (ITC), accusing Insta360 of patent infringement in an attempt to block it from the North American market—which accounts for 23% of Insta360's total revenue.

In February 2026, the U.S. ITC issued its latest ruling, banning the import of certain Insta360 camera products due to alleged design patent infringement.

Although Insta360 stated that the ban only affects its older models, the two-year lawsuit has cost over $10 million in legal fees, distracted management, and allowed GoPro to seize market share.

In the second half of 2025, Insta360's share of the North American panoramic camera market declined significantly, while GoPro's Max2 gained traction by leveraging its local brand presence and price advantage.

This competition is essentially a clash of technological barriers and ecosystem moats, with Insta360's shortcomings in ecosystem and cost control being magnified.

Under dual pressure, Insta360's monopolistic advantage has vanished, and its 'Iron Throne' has been thoroughly shaken.

03 How Can Insta360 Break Free?

From near-monopoly to being closely pursued by rivals, Insta360 lost its core position in less than six months, far faster than industry expectations.

However, Insta360 has raised objections to the sharp market share decline reported by third-party agencies.

At an earnings briefing in early November last year, Insta360 executives directly questioned the accuracy of some third-party data, citing a counter-report from Frost & Sullivan as evidence. Frost & Sullivan data showed that in Q3 2025, Insta360 still held a 75% global market share, while DJI's was just 17.1%.

While both reports show a decline, the magnitude differs greatly from Jiuqian Zhongtai's figure of '49% for Insta360 and 43% for DJI in Q3 2025.'

The core of this data dispute lies in statistical methods: Frost & Sullivan focuses on retail terminal sales, while Jiuqian Zhongtai bases its analysis on 680,000 SKU e-commerce data points and channel estimates, emphasizing GMV.

While the extent of the decline is disputed, it is undeniable that DJI's aggressive entry has broken the monopoly, and Insta360's dominant position is no longer secure.

Facing fierce competition, Insta360 has not remained passive. It is now fighting back on multiple fronts—technology, pricing, and marketing—to defend its core market.

Technologically, Insta360 has ramped up R&D investment, spending 1.649 billion yuan in 2025, exceeding the total of the previous three years, with a focus on custom chips and AI algorithms. In response to DJI's square CMOS innovation, Insta360 optimized sensor performance in its existing products, upgrading panoramic stitching and stabilization features. Its flagship X5 now features a 1/1.28-inch sensor and an external AI chip to enhance on-device capabilities, strengthening software differentiation. It also accelerated product iterations, launching the X4 Air for women and beginners, seeking growth in niche segments.

Pricing-wise, Insta360 has proactively engaged in price competition. The Insta360 X4 Air, released in October 2025, is priced at 2,399 yuan, lower than DJI's Osmo 360. It also moderately reduced prices for its flagship models, boosting competitiveness through e-commerce discounts and bundle offers. Jiuqian Zhongtai data shows that in Q4 2025, the average online price of Insta360's panoramic cameras fell 7% quarter-on-quarter, effectively slowing the share decline but also impacting profitability.

Insta360's 2025 earnings preview showed that annual revenue reached 9.858 billion yuan, up 76.85% year-on-year, a record high. However, net profit fell 3.08%, reflecting the combined impact of sharply increased R&D and marketing spending, cost pressures, and intensifying competition.

Marketing-wise, Insta360 has strengthened brand promotion and channel expansion. It increased online investment, leveraging short videos and livestreams to showcase usage scenarios. It improved domestic e-commerce and offline experience stores, consolidated overseas channels, and focused on expanding in Europe and Southeast Asia. It also launched accessory bundles to drive camera sales and boost user loyalty.

To defend its core market, Insta360 has launched a full-scale 'defense and counterattack.' However, DJI's ecosystem advantage and GoPro's overseas foothold will not be easily overcome, and Insta360's response awaits market validation.

Broaden the perspective, and DJI's aggressive entry may not be entirely negative. Insta360, which once had no serious competitors, has been forced out of its comfort zone. This competition is pushing it to accelerate innovation and address weaknesses.

For the industry, competition drives technological progress and market expansion. Whether Insta360 can reinvent itself and reclaim the 'Iron Throne' may become the biggest story in the 2026 smart imaging sector. (End)