GoPro’s helmet-and body-mounted camera sales have slowed down with several cheaper ones coming into the market

GoPro fires 270 employees in a bid to return to profitability
Atom Technology Saturday, March 18, 2017 - 10:02

American technology company GoPro is steering the wheel back towards profitability. And the consequence? 270 employees to lose their jobs. According to a report by Reuters, GoPro has said that it will cut 270 jobs to reduce expenses in a bid to return to profitability.  

Maker of wearable action cameras, GoPro, has also said that this will be the only job cuts this year as it does not expect to restructure further this year to return to profitability.

Sales have been slowing for the company’s helmet-and body-mounted cameras with several cheaper ones coming into the market. Smartphones coming up with advanced cameras too, are affecting its business.

The Reuters report says that GoPro has also been plagued by missteps like the production issues for the Karma and delay in launching the Karma drone. Moreover, post the launch of the Hero5 camera in mid-September last year, they recalled the product.

GoPro CEO Nick Woodman told CNBC that they fell out a little in their post-IPO years, failing to make GoPro contemporary and failing to align with the smartphone movement

The announcement of job cuts come three months after it first announced that it would trim 15% of its work force and secure its entertainment business. Restructuring will be costing the company up to $10 million.

GoPro has also said that it expects to see double-digit revenue growth in 2017.

It previously forecasted its revenue to be $190 million to $210 million for the quarter ended March 31.

Image: Warrenski

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