GoPro to Enter AI and Defense Markets Through Merger With Optical Company; Shares Soar

[Financial News] Action-camera maker GoPro has announced plans to enter the artificial intelligence (AI) and defense markets.
On the 1st (local time), U.S. business news outlet CNBC reported that GoPro had entered into a definitive merger agreement with privately held optical company Starman Optical and would expand into the AI data center and defense sectors. Under the merger, GoPro shareholders will receive $1.14 per share, or a total of $280 million (approximately 390.7 billion won) in cash, while the company will remain listed on Nasdaq.
Starman is a privately held U.S. company that manufactures optical transceivers. GoPro plans to apply the technology to its business as it enters the AI data center market.
GoPro CEO Nicholas Woodman said in a statement, "Through this merger, GoPro will become a leading U.S. imaging and optical solutions company serving the consumer, commercial and defense markets. We expect to take on critical national security roles involving cameras, optics and AI infrastructure."
Following the news, GoPro shares surged 40% and closed the session sharply higher. After going public in 2014 at $38 per share, GoPro had faced declining investor interest as weak performance left its stock trading at penny-stock levels until recently.
According to foreign media reports, GoPro had been struggling as memory semiconductor prices soared amid Big Tech's investment in AI infrastructure, while competition from Chinese companies DJI and Insta360 intensified. In a filing with regulators in June, GoPro acknowledged, "Without additional financing or a strategic transaction, there is substantial doubt about our ability to continue as a going concern."
The merger has also drawn attention to major shareholders with substantial stakes in the company. According to a filing made in July, popular YouTuber Markiplier had acquired an 8.5% stake, while BlackRock was found to hold a 6.4% stake.
GoPro said it plans to repay its $92 million (approximately 126 billion won) in debt in full by the time the merger is completed. CNBC reported that the company also plans to continue supporting its existing consumer products, subscription and cloud platform services without disruption while focusing on new investments to diversify its business.
[email protected] Yoon Jae-jun Reporter