DJI Cuts Prices, Insta360 CEO Apologizes, Citing ‘Possible Fault on Our Side’
DJI Technology cut prices by up to 1,478 yuan ($204) on flagship products including the Pocket 3 gimbal camera and Mini 4 Pro drone, sparking customer backlash and an unusual public apology from a key rival's chief executive.The dramatic price reductions, announced October 8 for a six-day promotional period, triggered immediate sellouts of popular models and complaints from recent buyers who felt blindsided by the sudden markdowns. DJI's Pocket 3 standard edition dropped 700 yuan ($97) while the all−in−one kit fell 900 yuan.
Insta360 Technology CEO Liu Jingkang acknowledged his company may have contributed to DJI's pricing pressure, offering 100-yuan vouchers to customers who purchased DJI products between October 2-8. The rare cross-competitor gesture highlights intensifying competition in the smart imaging sector.
The price war underscores broader challenges facing DJI as smartphone manufacturers prepare to enter the handheld imaging market while growth in the company's core drone business decelerates from 32% in 2023 to a projected 20% by 2025.
Competitor CEO Takes Unusual Step
Liu Jingkang's October 13 social media post marked an unprecedented move in the typically fierce consumer electronics sector. "There may be a part of DJI's significant price reduction due to our Insta360," he wrote on Weibo, offering compensation vouchers to affected DJI customers who could provide purchase receipts.
The apology followed months of escalating competition between the two Shenzhen-based companies. DJI launched its first 360-degree camera, the Osmo 360, in July for 2,999 yuan ($414), directly challenging Insta360's dominance in panoramic imaging. Meanwhile, Insta360 partnered to create drone brand Antigravity, targeting DJI's aerial photography stronghold.
Liu characterized the rivalry as market-enhancing rather than zero-sum competition, noting Insta360 had anticipated prompting DJI's entry into 360-degree cameras five years ago. "Even at this cost, we chose to set sail," he said.
Market Share Under Pressure
DJI's handheld imaging market share declined from 19.1% in 2023 to 13.2% in 2024 as competitors including Insta360 and GoPro Inc. intensified their offerings. The company maintains over 70% of the global consumer drone market but faces slowing sector growth.
The Pocket 3, launched in October 2023, shows limitations compared to newer rivals. Unlike action cameras, it lacks waterproofing for rain or swimming scenarios. Its single lens also constrains telephoto and macro photography capabilities that multi-camera smartphones now provide.
Smartphone manufacturers pose the next competitive threat. OPPO plans handheld imaging devices by 2026, while Vivo's gimbal camera project targets 2025 launch. These companies offer ecosystem advantages through seamless smartphone integration for editing and sharing content.
Expansion Challenges
DJI's August launch of the ROMO robot vacuum, priced 4,699-6,799 yuan, represents diversification efforts but faces execution hurdles. Users reported cleaning performance issues, with the device leaving water streaks and struggling with obstacle avoidance despite dual-camera sensors and lidar technology.
The cleaning robot market shows increasing concentration, with top five manufacturers capturing 63.4% of Q1 2025 shipments according to IDC. Established players including Roborock Technology and Ecovacs Robotics have built technical expertise and service networks over years.
Industry analysts suggest DJI's pricing strategy aims to maintain market leadership while funding research and development to preserve technological advantages. The approach reflects broader pressure on consumer electronics companies to defend market share through competitive pricing as cross-industry rivals emerge with ecosystem-based advantages.