GoPro is not going through its best moments, as you can see in the last quarterly report from last year, which they have shared today.
They announced that they are closing their drone division, and reducing 20% of their workforce, with the dismissal of more than 200 employees. They also mention the problems posed by their line of Karma drones:
… faces margin challenges in an extremely competitive air market. In addition, a hostile regulatory environment in Europe and the United States will probably reduce the TAM (Total Addressable Market) in the coming years.
Given this context, GoPro abandons the drone market. However, it will continue to market the Karma units that are in inventory, and provide support to users who have already purchased it.
And this is not the only measure they intend to take, Nick Woodman, CEO of GoPro, said they are open to a sale, or some strategic partnership, but with options to continue operating independently:
If there are opportunities for us to join with a larger parent company, to scale GoPro even further, that is something we would consider …
According to CNBC, although there is still no sale, nor potential buyer, they leave the doors open to offers that may arise.
In the report they have shared, they provide more details about their strategic map for this year.