Xtra, the camera company that suddenly popped up last year, is canceling preorders and issuing refunds for its upcoming Xtra Muse 2 Pro gimbal camera.
"After reviewing our product and launch readiness, XTRA has decided to pause the current Early Bird program," the company said in a statement posted on its website and in emails sent to customers viewed by Mashable. "Because we are unable to confirm a reliable launch timeline at this stage, we do not believe customers' funds should remain on hold."
Xtra customers had put down a $20 reservation for the Xtra Muse 2 Pro in exchange for a pre-order and an early bird discount of $60 off the camera when it went on sale. Along with a refund, Xtra is also issuing a 10 percent off coupon to customers that can be used on their current line of products.
Despite taking preorders, Xtra never shared a prospective launch date for the camera, which was a major point of criticism for customers across social media.
Why did Xtra cancel camera preorders?
Xtra says the refunds were due to "product and launch readiness" and didn't provide any further explanation. However, the preorder cancellations come shortly after the FCC announced investigations into eight companies, including Xtra.
DJI, the popular China-based drone and action camera company, has effectively been banned in the U.S. As Mashable previously reported, the ban started late last year after Trump's FCC cited national security concerns and data-spying issues. DJI products that were for sale before the ban can still be sold for now. Consumers with DJI devices can still use them. However, the U.S. government has not approved any new DJI products, so they can't be imported into the country.
Enter Xtra. Xtra came onto the scene last year with its lines of cameras that appear to be clones of DJI's line of cameras. The company is rumored to be a "DJI front company," or a company explicitly set up to import DJI's banned products into the U.S. Online sleuths and outlets such as The Verge have previously looked into Xtra's potential relations with DJI and found numerous similarities and connections. Xtra's Muse 2 Pro camera, for example, looks exactly like DJI's new Osmo Pocket 4 Pro camera aside from a few design alterations.
In addition, DJI has gone after competitors like Insta360 with legal claims involving its camera patents. Yet, DJI has remained mum on Xtra's products, which would appear to infringe way more than others.
The eight companies under investigation were previously asked to provide information on whether any of the products it sells should be on the list of banned items. However, none of these companies apparently responded to the FCC. As a result, the FCC is demanding the information and has levied a $25,000 fine against each of them, including Xtra.
The FCC is now looking into retroactively banning Xtra's previously approved products as well.
At this point, the status of the Xtra Muse 2 Pro is unclear. The company is not outright canceling the launch; however, the preorder cancellations and the FCC news point to a potentially grim outcome for U.S. consumers. For now, at least, U.S. consumers looking to buy an Xtra Muse 2 Pro or DJI Osmo Pocket 4 Pro can look into the Insta360 Luna Ultra, which is not banned in the country.