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Rising chip prices could lead to GoPro's bankruptcy

Cəmil Hüseynzadə
03 June 2026 11:57
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Rising chip prices could lead to GoPro's bankruptcy

Action camera maker GoPro has said it faces a risk of going out of business within the next year. The company has hired advisors to assess possible exits and is considering options such as a sale, merger, or even bankruptcy protection. GoPro shares fell about 14% after the announcement.

The company's revenue for 2025 fell 18.7% to $651.5 million, and its operating loss was $83.3 million. Experts point to the rising cost of memory chips, increased competition, and a decline in market share as the main reasons for the problems. In particular, Chinese company DJI is said to have risen to a leading position in the global action camera market due to its faster product innovations and technological advantages. GoPro also announced that it will cut about 23% of its employees in 2026 in order to reduce costs.

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