> While GoPro action cameras are built to withstand shock, the brand itself is looking distinctly shaky right now. Latest reports[1] are that founder Nicholas Woodman is propping the company up by extending it a loan of his own money to the tune of $20 million, at an annual interest rate of 6.5%, while a buyer is desperately sought. It’s believed GoPro may not survive the year without a new owner or fresh injection of cash, with Woodman’s intervention acting as a stopgap rather than bail-out per se.

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brookst 3 hours ago | parent | next [-]

$20m is really not much money to operate a company for 6 months. They must be close to break-even at least?

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uxhacker 3 hours ago | parent | prev [-]

Is this because of the cost of memory or because the product is no longer competitive?

	▲	antasvara 2 hours ago \| parent \| next [-]
		From the financials, it's a little of both? Memory is the acute issue causing their struggles; their most recent quarter saw a gross margin of 4.5% (that's revenue minus the direct cost of producing the cameras, divided by the revenue). That's a hefty fall from their previous margin of ~31%. This contributed to their operating loss of $57M in the last 3 months. Thag being said, they haven't had a positive quarterly operating income since the last quarter of 2022, even when the margin was higher than 4.5%. So it's not like they were succeeding before the memory crunch, just losing money slower.
	▲	wyclif 3 hours ago \| parent \| prev \| next [-]
		This article is not very satisfying to read, because it doesn't explore the reasons why GoPro is on the ropes.
	▲	whycome 3 hours ago \| parent \| prev [-]
		Adventure cams lose a market when people can’t afford to go on adventures?