Action camera maker GoPro said it is open to partnerships, while stopping short of stating it is actively seeking a buyer, as the company also announced plans to exit the drone market.
Reuters reported the company said it had “always been clear that we are open to any opportunity that will help us scale our mission”. However, following earlier claims it is up for sale, it said there is “no active engagement” to sell.
The comments came after the company published some preliminary results for Q4 2017, which indicated some of the challenges the company is facing. Revenue took a hit to the tune of $80 million related to “price protection” on a number of cameras, with customers “reluctant” to purchase its Hero5 Black at its launch price after 12 months on the market.
GoPro is looking to cut its global workforce from 1,254 to “fewer than 1,000” employees worldwide with Nicholas Woodman, founder and CEO, cutting his cash pay to $1.
And its Karma drone reached the end of the line.
“Although Karma reached the number two market position in its price band in 2017, the product faces margin challenges in an extremely competitive aerial market. Furthermore, a hostile regulatory environment in Europe and the United States will likely reduce the total addressable market in the years ahead. These factors make the aerial market untenable and GoPro will exit the market after selling its remaining Karma inventory,” a statement said.
Woodman said: “We expect that going forward, our roadmap coupled with a lower operating expense model will enable GoPro to return to profitability and growth in the second half of 2018.”