A Times Square store opening in September marked Insta360’s bold bet on the U.S. market, where Chinese tech companies face mounting restrictions. Dozens of customers lined up outside the flagship location, including YouTubers and cyclists in bright yellow Insta360-branded shirts. The event highlighted the company’s push to capture American creators, travelers, and sports enthusiasts—segments where DJI, its dominant rival, is now blocked.
Insta360’s move contrasts sharply with DJI’s struggles. The U.S. Department of Defense has labeled DJI a national security risk, and the Federal Communications Commission (FCC) banned new DJI drones and cameras in 2024. The company can still sell existing inventory but faces an uncertain future. Insta360, meanwhile, has avoided the FCC’s Covered List, a blacklist of restricted equipment, and continues to register new products.
The two companies share roots in Shenzhen but took different paths. DJI, founded in 2006, became the global leader in consumer drones before expanding into handheld cameras in 2016. Insta360, launched in 2015, focused first on 360-degree cameras before entering the stabilized camera market. Its co-founder, Max Richter, called the U.S. a 30% to 40% revenue driver, citing America’s strong influencer economy and outdoor sports culture.
Insta360’s strategy includes insulating its camera business from drone-related restrictions. Last year, it launched Antigravity, a separate drone brand incubated with third-party partners. The company secured FCC approval for its A1 drone just before the U.S. banned new foreign-made drones. Antigravity’s CEO, Michael Shabun, said the drone stores U.S. user data locally and limits payload weight to 50 grams, a design choice to prevent misuse.
The U.S. market shift favors Insta360 in the short term. Lars Kappler, a San Diego real estate consultant, recently switched from DJI to Insta360 after the FCC blocked new DJI products. “One of the big deciding factors was availability,” he said. “I can go into a store and buy [Insta360].” Similarly, Michael Alvarado, a Minnesota auto-body technician, adopted Insta360’s Luna Ultra camera, citing its features and DJI’s dwindling U.S. support.
Insta360’s success in America reflects a broader trend: Chinese brands entering the U.S. at a time when early movers like DJI and Huawei face stricter scrutiny. The company’s net profit dropped 94% in the first half of 2026 due to rising memory chip costs, but its U.S. push shows no signs of slowing. Richter dismissed concerns about sensitive technology, stating, “There’s nothing to hide.”
The Legal Battle Over Future Sales
DJI can still sell its current inventory in the United States. The company faces a major hurdle with future product releases. The 2024 National Defense Authorization Act required the FCC to place DJI and Autel Robotics on its Covered List. This action effectively prevents the agency from approving new products from these manufacturers. The FCC has not authorized any new DJI equipment since November.
Insta360 has avoided this specific restriction. An FCC spokesperson confirmed that the agency has not added Insta360 products to the blacklist. The company continues to register new items with the regulator. Max Richter, a co-founder, expressed confidence in their ability to remain in the American market. He stated there is no sensitive technology involved and that they fully comply with all regulations.