The Extinction of GoPro

Summary by Krater

This video examines the rise, fall, and strategies of GoPro, tracing its journey from a category-defining action camera startup to its current struggles in the consumer electronics market.

From the video

Answers: What caused the rise and fall of GoPro?

• GoPro business strategy
• Action camera market
• GoPro IPO
• Karma drone failure
• Subscription revenue model

What it concludes

• GoPro's stock has dropped 95% since its IPO, trading at less than the price of a McDonald's french fry.
• GoPro failed because saturation commoditized action cameras while leadership made strategic blunders and misjudged the market.
• The $199 price point for the HERO4 Session was a game-changer that helped grow GoPro's total addressable market.
• GoPro's Karma drone failed because it lacked competitive flight time, range, and speed compared to DJI models while costing the same.
• Subscription services and software have become GoPro's primary financial engine, driving recurring revenue and higher margins.
• GoPro's core business remains challenged as annual camera shipments have fallen below 3 million units per year.