An optical system, apparatus, and method for sensing 360-degree horizontal and wide vertical field of view are shown. Powerful optics creates high resolution decompressed images on an image sensor. The compact panoramic camera includes two major optical components: (i) an axially symmetric convex aspheric reflector incorporated into a catadioptric optical element capable of providing a virtual curved image of a 360-degree panoramic scene with a specific image compression and (ii) a decompression lens with hardware aperture. The decompression lens is comprised of three single lens elements and accepts the virtual curved and compressed image and projects it onto the image sensor with high optical resolution and desirable image decompression to achieve a high digital resolution at the same time. Another version of decompression lens is comprised only of a single lens element and projects high resolution decompressed images onto an image sensor.