In gas-insulated switchgear (GIS), partial discharge (PD) can be monitored by detecting sulfur hexafluoride-nitrogen (SF6-N2) decomposition components. In this paper, silver oxide (Ag2O) modification was introduced to improve the gas-sensing properties of graphene-like indium nitride (InN). The adsorption process of NO2, SO2F2, SOF2 and SOF4 on Ag2O-InN was simulated based on the first principles calculation and density functional theory (DFT). The gas sensing mechanism was revealed by density of states theory and molecular orbital theory. It is found that Ag2O doping greatly improves the adsorption properties of InN to NO2 and SOF2 molecules. The adsorption capacity of Ag2O-InN to the four gas molecules is: NO2 > SOF2 > SOF4 > SO2F2. All adsorptions can proceed spontaneously, and the gas molecules are electron donors and Ag2O-InN is an electron acceptor. Through the analysis of recovery time, it is found that NO2 is difficult to desorb from the substrate due to the significant adsorption energy of −2.201 eV, while SOF4, SOF2 and SO2F2 have a moderate adsorption energy of −0.185 eV, −0.754 eV and 0.173 eV and extremely short desorption time. The conductivity of the whole system changed after these four gases were adsorbed on the Ag2O-InN monolayer. In summary, Ag2O-InN can be used as NO2 adsorbent and gas sensors to detect SOF4, SOF2 and SO2F2. This paper provides a method for on-line monitoring of partial discharge in GIS.