In Shenzhen, the rivalry between major Chinese tech firms DJI and Insta360 is heating up. Both companies are vying for market supremacy, particularly in the competitive hardware space, drawing attention amid increased US scrutiny.

In the southern tech hub of Shenzhen, a simmering rivalry between DJI and Insta360 has transformed their shared neighbourhood into a high-stakes corporate battleground. Both companies have long been hailed as the city’s poster children for Chinese innovation. DJI dominated the skies as the world’s undisputed leader in consumer drones, and Insta360 captured the niche market of panoramic cameras. Now they find themselves locked in a crosstown struggle for market supremacy that some say could...