JPMorgan had helped underwrite the company's 2014 IPO; it's not clear whether there's an interested buyer as of yet.
GoPro blamed a hostile regulatory environment in the USA and Europe along with an extremely competitive market for the decision to cut drones. The San Mateo-based company said that even though the $800 Karma has reached the No. 2 position in the United States for drones in its "price band", the company decided the drone market was "untenable" due to "a hostile regulatory environment in Europe and the United States (that) will likely reduce the total addressable market in the years ahead". GoPro Inc would be willing to partner with a larger sector player but is not actively engaged in a sale, the action camera-maker said yesterday, as its shares partly rebounded from earlier heavy losses.
The company also said that Woodman's compensation would drop to $1 during 2018 as it attempts to become profitable in the second half of the year.
CNBC also has a vast portfolio of digital products which deliver real-time financial market news and information across a variety of platforms including: CNBC.com; CNBC PRO, the premium, integrated desktop/mobile service that provides live access to CNBC programming, exclusive video content and global market data and analysis; a suite of CNBC mobile products including the CNBC Apps for iOS, Android and Windows devices; and additional products such as the CNBC App for the Apple Watch and Apple TV.
GoPro has been struggling financially for several years, and was counting on the Karma and the drone business to help them retain market share. Some of GoPro's biggest competitors include DJI and AeroVironment.
In an earnings report today, GoPro said that the Karma drone would be the last it would make.
GoPro says in today's announcement that it expects its fourth quarter revenue to be $340 million, a roughly 37% decline over 2016 levels.
The Nasdaq-listed tech firm, which is known for durable miniature cameras suitable for filming outdoor activities, reported a drop in sales yesterday and said it planned to cut its workforce.